pull down to refresh
61 sats \ 16 replies \ @grayruby 9 Aug \ on: How Governments Can Easily Kill Bitcoin bitcoin
I don't think a sudden 180 on gov spending would magically erase the value of bitcoin. I mean people have witnessed what has happened the last 20 years and understand such a pivot would likely be short lived.
I also don't think the stopping of censorship and freezing bank accounts kills bitcoin. There is still centralization risk, institution insolvency risk, high fees, slow settlement that create friction for users in traditional banking.
While I don't think this two prong attack would kill bitcoin, it would likely diminish its perceived usefulness to a lot of normal folk.
I think Professor Krattert was making his point tongue-in-cheek.
reply
Yes, I assumed that. I am just playing out the thought experiment.
reply
I had similar thoughts as you, while watching.
Part of the case he's making has to do with how long bitcoin goes between difficulty adjustments. Someone else was talking about this recently and I don't know enough to say whether they're right or wrong.
If demand plummeted and the vast majority of miners left suddenly, Bitcoin might stop being able to function well and it could take a very long time to get to the difficulty adjustment.
reply
You should check out Preston's podcast with Bob Burnett. He predicts over the coming years you will essentially have a futures market for blockspace the same you do for oil where companies can smooth out the variance in revenue.
Now if there was no demand for block space there would be no need or demand for this type of market but it was an interesting conversation and somewhat adjacent to what we are talking about, which is why I brought it up.
reply
Sounds interesting
reply
A futures market for hash rate
There are a few markets for buying hash rate like nice hash.
I even won a BCH block!
reply
reply
Lower
I forget the exact number. I received a fraction of what the entire mining team received. I purchased 12 dollars worth of hash rate. My reward was 50 dollars.
I can double check the exact amount in my nice hash account
reply
Most miners leave temporarily. If most left permanently new miners would enter or existing miners would increase their hashrate
Too many miners have made large capital investments
reply