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This comes up every single time banning cryptocurrency for wasting electricity comes up. Using a clothes drying machine and just about anything else that you ca
by 300bps 5y ago
This comes up every single time banning cryptocurrency for wasting electricity comes up. Using a clothes drying machine and just about anything else that you can think of that uses electricity is fundamentally different than PoW cryptocurrency.
If I want to use a machine to dry my clothes, I pay for that electricity. This puts a limit on the amount of electricity I can consume to do it.
Cryptocurrency is different. The more electricity you burn, the more money you make. I know this first hand - the computer I'm typing this on is running gminer to mine ETH on flexpool.io with my RTX 3070 card. I've mined $2,800 of ETH in the past 10 months.
Something that most people don't understand is that there is a finite amount of ETH that can be mined per day. Hashrate determines the size of the slice of that pie you get. Therefore the incentive is to consume infinite electricity! Of course miners can't do that because mining gear (i.e. GPUs, ASICs, FPGAs, whatever) is hard to purchase and electricity isn't infinite.
But that doesn't stop miners from trying. I know people that do anything they can to acquire GPUs - they have bots combing the Internet, they buy whole systems that have GPUs, rip out the GPU and sell the system, they've signed up for every GPU manufacturer's wait list, they stalk Microcenter, whatever they can do. They seek out areas with cheap or even subsidized electricity and latch onto it like a parasite. It is nothing like anything else you spoke of.
- chii 5y ago> The more electricity you burn, the more money you make. there will be a new equilibrium - the more electricity you use, the less of it is available, and thus the price would rise to match the demand. This means there's a limit to how much you can earn (unfortunately you wont know this limit until you reach it, because the full demand for crypto is unknown atm). But high prices of electricity would spur developments in energy production. In any case, energy use is energy use, regardless of the purpose. As long as the person using it is paying for it, then it is a valid use.