4 ms·
The Tragedy of Dogecoin
- exclipy 4y agoI was nodding along until this, which lost me: > The entire stream of 10,000 Doge rewards is known ahead of time. The market therefore factors all future mining-related sales into Doge's current price. So if you own some Dogecoin you never experience anything akin to "sell pressure." It's already priced in. You get to consume Dogecoin as-if it was free. This doesn't make sense and I don't think it's right. I think all holders of Dogecoin do experience sell pressure, caused exactly as described, by the need for miners to sell to pay their electricity bills. But it is balanced out (temporarily) by the greater-fool force. It is the latecomers who pay for all the mining that came before.
- smokey_circles 4y agoOf course, as we all know, using electricity is the real danger. Nevermind how it's produced, it's the configuration of transistors and how they are used that does real damage to the environment. Coal? No no no, GPUs are the real killer!
- bawolff 4y agoI generally think crypto is rediculously stupid but this seems like some stretched logic. You're paying for the electricity via inflation of dodge coin the same way that you pay indirectly when governments fund things through seigniorage. The fact that stuff is very indirect doesn't magically make the electricity free. For some reason i have never bee able to comprehend, people think this is worth it as emonstrated by the price of dodge.
- h2odragon 4y agoWonder what the total energy bill for say, EVE online is? All the servers and client computers together and then add the "But its a $CAUSE!" 10x factor...