Inevitable as I wrote many times.
Please revisit my Personal Opinions on the Bitcoin.
I couldn’t have been more obvious.
No wonder the persons or persons who invented this idiocy never wanted to be identified…
Did you know that there are now more than 1384 crypto currencies…?
And you know what…?
And they are stolen very often from the “depositor vaults” and exchanges…
As I write these lines at 08:04 LIS/LON time the Bitcoin is trading at 6192 1992 USD down 908 USD on the day…
I rest my case.
Francisco (Abouaf) de Curiel Marques Pereira
(BBG) Bitcoin miners who’ve decided to stay
in the game amid plunging prices may soon find that the well has
A 70 percent price drop since the heady days of mid-
December has cut profitability to the bone. With the
cryptocurrency hitting $6,000 on Tuesday, only the biggest and
most efficient can stay above water, but even these are
balancing on a knife edge, according to a Gadfly analysis.
Unless you’re a mining outfit running the fastest rigs
bought at wholesale prices, chances are you’re losing money. The
arms race among participants has brought 40 percent more mining
power online since Bitcoin prices went above $19,000 on Dec. 18.
That’s resulted in the rebalancing system built into the digital
currency making it 51 percent more difficult to complete a
block, according to data from Bitcoin.info.
Miners forced to work ever harder for each Bitcoin have
shrugged off this escalating requirement for computational power
— up 18-fold in two years — because a 21-fold price increase
over the same period made the cost worth the investment.
Had Bitcoin stayed at its 50-day moving average of $13,200,
then the average miner could expect to print $80 per week in
profit at current levels of computation (hash rate) and
difficulty. This is based on the very generous assumption that a
miner is running Bitmain Technologies Ltd.’s Antminer S9 at 13.5
TH/s (retail price $2,320), one of the most advanced systems
available, and the set-up is in China at wholesale prices. Older
equipment will have lower returns, and a lot of those mines are
If the price doesn’t rise, then the average miner is set to
lose $3 per week at current levels. Mining syndicates such as
Antpool — which are probably buying their mines at less than
the retail price — may still be making money, but will be
getting returns 90 percent lower than they would at that 50-day
The only way for miners to return to sustained profits is
if Bitcoin prices rise, or some miners turn off the lights,
lowering competition. History shows that while the latter is
possible, it’s unlikely. In fact, those who have plunked down
millions of dollars to build their Bitcoin mining operations
seem to be playing chicken in the hope that competitors will
If that happens, they reason, then the bravest miners will
be left alone to enjoy the spoils. If it doesn’t, then expect a
lot to drive off the cliff together.