News Bitcoin Price Falls Below $30,000 as China Shuts Down Mining Operations

InvalidError

Titan
Moderator
With less miners shouldn't the price go up? 🤔
Most cryptos have variable difficulty to keep the rate at which new blocks are found roughly constant regardless of network hash rate. The hash rate going down by 50% would cause complexity to drop by ~50% and you'd get the same net mining rate except now the world as a whole is wasting half as much power and other resources on it.
 

gargoylenest

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Jan 13, 2020
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if it was a something tangible, that is how it works. But it works more like a pyramidal scheme, the more people want it, the more value it gets. remove a potential 1.5 billions people to the equation, and that is what happens.
 

Integr8d

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May 28, 2011
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if it was a something tangible, that is how it works. But it works more like a pyramidal scheme, the more people want it, the more value it gets. remove a potential 1.5 billions people to the equation, and that is what happens.
You just described basic market economics; not a pyramid scheme.
 
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daworstplaya

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Oct 30, 2009
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You just described basic market economics; not a pyramid scheme.
While his description is wrong, Crypto is still a pyramid scheme. It's not a "currency", it's not goods and services and it's not backed by anything. The only way to get it's value up, is to con others after you that it has value and the value is more than what you paid for it.
 

InvalidError

Titan
Moderator
You just described basic market economics; not a pyramid scheme.
A pyramid scheme is when you sell something worthless to other people to scam them out of their money and then leave those people to figure out how to scam other people to offload their crap onto. Fits crypto which has absolutely no intrinsic value perfectly. The only way to make money from crypto is to con people into thinking it is worth more than you paid for.
 
Jan 22, 2021
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A pyramid scheme is when you sell something worthless to other people to scam them out of their money and then leave those people to figure out how to scam other people to offload their crap onto. Fits crypto which has absolutely no intrinsic value perfectly. The only way to make money from crypto is to con people into thinking it is worth more than you paid for.
While I 100% agree people who believe in Crypto are nuts, a Pyramid scheme is not about selling something worthless. It's about getting the people who come in after you to do the work for you while promising they will get what you get if the get enough people to join. Social Security in the US is a perfect example of a classic Pyramid scheme. As long as you have more people working than living of their retirement funds all is well, once that Pyramid starts to straiten, all hell breaks loose.
 
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