What happens if you lower it? Think of a satoshi as the cryptocurrency and a Bitcoin bitcoin as a word why million satoshis. Be aware that Twitter, expensive. September 26, This is also known as Inflation. Make sure you back up your wallet regularly! The distribution of the bitcoin supply is done via mining which currently gives
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Why bitcoin so expensive? Is this controlled supply to ensure trust in the currency? This is called a satoshi, after the inventor of Bitcoin. The currency notes do not have a value of their own but they are backed by government reserves. Spam is discouraged by the community, and may result in action from the cheetah bot. I imagine it only means there'd be plenty more bitcoins than there are now but what effect does it really has? In the early days, mining was easy; anyone could do it with a regular ol' CPU miner and get a buttload of coins--but they were all but worthless at the time.
Bitcoin has a limited supply of 21 million bitcoin. Bitcoin Core is the backbone of the Why network. No compilations of free Bitcoin sites. Bitcoin difficulty automatically adjust to ensure block generation time remains constant, and your generation rate is always relative to the expensive of the network, CPUs simply can't keep up. D3m1r4wanti on September 26, Imagine the same scenario applied to dollars. As of now,
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But as a currency, if everyone could create millions and millions of Bitcoins we would all in theory have an unlimited amount, this does two things: People used to mine on CPU. Then someone figured out a more efficient way with GPU. Since difficulty automatically adjust to ensure block generation time remains constant, and your generation rate is always relative to the rest of the network, CPUs simply can't keep up.
You can mine on CPU, but it's so slow compare to every other miner, your share of reward is tiny. Every bitcoin transaction needs to be legit. This means computers must verify that the transaction is legit, and this takes computing power.
Computing power isn't free, so bitcoins are paid out to people that verify transactions, making bitcoin possible. Naturally, people will want to own as much as possible by increasing their computing power known as hash rate. This creates a competitive environment where everyone is trying to 1-up the other. Difficulty is the amount of computing power required to verify a transaction to put it in simple terms. You can mine on a laptop, just not very efficiently.
It's only fair that those contributing more computing power get paid more. The bitcoin protocol dictates that there should be one block every 10 minutes. The more people want those blocks and the coins within them the harder mining is going to be.
As you've noticed lots of people want those blocks so mining is hard! Thanks, for phrasing better what I meant to say. But why exactly is that? What happens if you lower it? I imagine it only means there'd be plenty more bitcoins than there are now but what effect does it really has? Would it lose its worth compared to dollar? In the long run, why should that even matter? Imagine the same scenario applied to dollars. Why would it matter how many dollars were printed? We could print trillions.
We could print enough that every single person on earth could swim in a pool full of dollars just like Uncle Scrooge! Everyone on earth would be rich! In case of bitcoins, I don't see this as a disadvantage at all because the goal isn't to get rich, it's to distribute mining power among many users. Coming to dollar, if you gave printing machine to everyone, it'd be essentially the same as the govt printing more money. No one would get rich, but Apply the same thing with Bitcoin, no one still gets rich, but now we don't have BTCguild hogging up all the minings, right?
Unless, BTCguild would still keep mining more than everyone else and the situation would be exactly the same Can't you understand why this works the same way?
If mining were easy, everyone would be able to get bitcoin easily, and bitcoin would be worthless. Mining is hard right now because bitcoin is valuable--and the reverse is true as well--bitcoin is valuable now because mining is difficult.
In the early days, mining was easy; anyone could do it with a regular ol' CPU miner and get a buttload of coins--but they were all but worthless at the time. Nowadays, they're worth a lot--and mining is expensive and difficult to get into. Use of this site constitutes acceptance of our User Agreement and Privacy Policy. Log in or sign up in seconds.
Submit link NOT about price. Submit text NOT about price. Bitcoin subscribe unsubscribe , readers 19, users here now Bitcoin is the currency of the Internet: You can also explore the Bitcoin Wiki: Only requests for donations to large, recognized charities are allowed, and only if there is good reason to believe that the person accepting bitcoins on behalf of the charity is trustworthy.
News articles that do not contain the word "Bitcoin" are usually off-topic. This subreddit is not about general financial news. Submissions that are mostly about some other cryptocurrency belong elsewhere.
Promotion of client software which attempts to alter the Bitcoin protocol without overwhelming consensus is not permitted. No referral links in submissions. Full Member Offline Activity: It makes no sense to call Bitcoin expensive, it is like calling dollars expensive. You know you can just by a fraction of it? This is called a satoshi, after the inventor of Bitcoin.
Think of a satoshi as the cryptocurrency and a Bitcoin just as a word for million satoshis. Now it isn't really expensive is it? It is too cheep even. All the bitcoins in the world cost billions of dollars, is that what you mean by expensive?
If that is the case, then take a notice that the amount of money in the world is easily in trillions. That makes Bitcoin an insignificant part of it and it is technologically far superior to fiat currency. Hero Member Offline Activity: It depends on the currency, but as a good point to that is that bitcoin is really a great to invest with as you can see the more it become expensive the more potential earnings you could have, if you really have the guts to invest then try a little some and you would see the outcome, it is not necessary how much you will buy it is up to you how much you are willing.
Try Open Beta on January Its because the bitcoin has many users and investors,that's why the demand is getting higher and the bitcoin is getting rich,as the bitcoin continues to grow up and being known many people are getting interested its because they saw the real effect when using this,and now people are continue using these in many various ways.
And many factor of being the most expensive crypto,because bitcoin is the global currency as I say it is the most known crypto,and it has the potential to rule the money.
Amount of people who are bitcoin users is more than the amount of bitcoin in the world. More and more demand is unbalanced with a stock of only a few million my estimates. The point is a rare bitcoin, the price will be expensive. Bitcoin is expensive simply because it has high demand, and with a very very limited supply; and don't even say "only a cryptocurrency".
This is innovation, and the future of money. Also, you don't need to buy one whole bitcoin. You can buy in decimals e. I suggest doing research on this. So you may know why bitcoin isn't "only a cryptocurrency". D3m1r4wanti on September 26, , Raffy11 on September 26, , CryptoBnB step closer to home! Of course due to the continuing volume of consumers. And it's really worth the price. So its price will increase unlimited.
And if there are fewer buyers it will fall. But it is fuzzy because the bitcoins are already widely spread and popular people know it and it has a lot to do with our day-to-day lifestyle. And the only thing to do here is if it's a bad thing for us that it does not really happen.
So many people have become financially independent because of this and continue to increase it every day.