Bad times for Bitcoin ahead.
…and for the same reasons for all PoW coins.
PoS might have drawbacks when it comes to things like distribution.
But to build a business on it it’s just an ingenious basis.
Well done, @JordanLee, to pave the ground for a whole new type of economy by creating Peershares!
Peershares based DACs are immune to security issues caused by the price of the shares.
Minting costs close to nothing (when done on devices like RaspberryPi, BananaPi, etc.) and secures the blockchain.
Related to this:
Andresen mentioned prediction markets as a possibly helpful tool when searching for consensus on a change to Bitcoin, but he also admitted that there don’t appear to be any perfect solutions for making these kinds of decisions in widely-distributed systems:
“We’ll see going forward what happens. I don’t know. Maybe prediction markets will be a good way of gauging consensus. I know that’s an idea that people have. I think that would be fantastic to see wisdom of crowds condensed in that way where people actually have some value at stake. I think it’s still an open problem as to how do you get these diverse stakeholders to come together, come to consensus, and to communicate . . . I don’t think it’s been completely solved anywhere where you have a distributed way of making decisions.”
Andresen is a fan of having multiple implementations of Bitcoin, and it appears he’s attempting to alter the governance model again through his work on Bitcoin XT with Mike Hearn. One could view this alternative implementation as yet another experiment in the search for a proper consensus mechanism in Bitcoin development.
if miners cannot profit, they will stop mining and difficulty will drop.
but i see the opposite, diff rising all the time!
anyway, btc and other cryptos have many challenges ahead, they are babies trying to grow up
Ongoing discussion on the bitcoin subreddit on the same topic and incident:
They are talking about roughly 250 usd as the threshold to start being in the red whereas a few months back it was rather 200 usd…if I recall well.
I bet the mining operations bet that the btc price will be more than 10k usd in a few years from now but if they do not start becoming in the black soon (meaning having an unit price higher than 250 usd) I bet they will start to leave the market.