News China Shuts Down Cryptomining Operators, Issues New Restrictions

[Admin]

The value of Bitcoin and Ether has fallen as cryptocurrency miners in China suspend operations to comply with new rules.

China Shuts Down Cryptomining Operators, Issues New Restrictions : Read more

 

[digitalgriffin]

As I said multiple times,

Gov't DO NOT LIKE what they can't control.

In fact, if you look at it in the USA, Crypto Currency with anonymous wallets violates our own Anti Terrorism laws because it can be used to circumvent money laundering, and funding of illegal activities which can harm the general public. This is why we have giant corporations being shut down by hackers, because it is so hard to trace. And they like it that way. It's also a means of hiding income which is taxable. Even Switzerland caved on US demands and they have some of the strongest privacy rules in the world for banking.

Plus, The fed adjusting interest rates is a means to control inflation or stimulating the economy. This is taken out of the fed's hands if everything goes Crypto.

This is why the US Fed AND China is working on it's own crypto currency that doesn't use near the energy, and is fully traceable. When that Crypto hits, Crypto will plummet.

 

[2Be_or_Not2Be]

Not that much of a surprise that China didn't quote the negative environmental effect as a factor or the other negative factors (like ransomware demands).

 

[daworstplaya]

This is great news, the sooner more countries move to ban this monopoly money the quicker gamers can get their hands on GPUs. Crypto has no intrinsic value as it isn't backed by anything except thoughts and prayers.

 

[InvalidError]

This is great news, the sooner more countries move to ban this monopoly money the quicker gamers can get their hands on GPUs. Crypto has no intrinsic value as it isn't backed by anything except thoughts and prayers.

Kind of like the stock market: the value of stocks is whatever people believe they are worth. The value is highly speculative in nature, it can go up or down at the drop of a hat depending on what news come out.

 

[drinking12many]

"Kind of like the stock market: the value of stocks is whatever people believe they are worth. The value is highly speculative in nature, it can go up or down at the drop of a hat depending on what news come out. "

And really what is even our normal money based on?? It's based on faith that the US govt is stable and intends to someday pay its debts regardless of the fact to anyone with half a brain that they cannot and will not long term, but the fantasy that they could is what keeps the dollar afloat (and frankly the world economy). Because if they admit otherwise the entire world economy collapses. No, crypto is no more monopoly money than any fiat currency, but the user above is correct it has no intrinsic value...but then again neither does fiat money if you dig into it.. Its all based on thoughts and prayers and it's just a matter of time until the US dollar collapses taking much of the world economy with it.... to me its not a matter of if but when so yeah i will hedge my bets and keep the crypto I have.

 

[husker]

If the network hash rate has declined because of China's restrictions, then won't that just make mining more attractive for others to pick up the slack? I don't see this as any kind of relief for the gaming GPU market. Perhaps this move has just incentivized people who were waiting for the right time to try and track down a new GPU card to get into mining.

 

[hotaru.hino]

Its all based on thoughts and prayers and it's just a matter of time until the US dollar collapses taking much of the world economy with it.... to me its not a matter of if but when so yeah i will hedge my bets and keep the crypto I have.

And when that happens, the value of crypto will plummet as well, because at that point, nobody cares about make believe currency anyway.

 

[InvalidError]

If the network hash rate has declined because of China's restrictions, then won't that just make mining more attractive for others to pick up the slack?

Only if there are enough people willing to take the chance spending a fortune on something that could get shut down any day.

With the number of countries having power generation and distribution issues due to climate change and the severity of those problems increasing each year, I doubt many countries will be willing to inherit the burden of GWh/year scale crypto-mining operations.

 

[digitalgriffin]

Kind of like the stock market: the value of stocks is whatever people believe they are worth. The value is highly speculative in nature, it can go up or down at the drop of a hat depending on what news come out.

But companies have REAL assets or income to back them up.

 

[InvalidError]

But companies have REAL assets or income to back them up.

They aren't really 'backed' though since regular stocks come with no guarantees, no vote, no oversight, no anything. Your stocks are only worth whatever the highest bidder is willing to pay for it at the time of sale and the company has no obligation to buy stocks back from the market at any point in time. If Warren gets her wealth tax and all wealthy people end up having to sell 3-6% of their stocks at the same time to make payment, stock prices will collapse.

The stock market's valuation is largely fictitious.

 

[FB36]

Bitcoin/cryptocurrency is either absolutely useless or absolutely unnecessary for any legitimate purpose but extremely useful for many illegitimate purposes, like money laundering, illegal (drug) trade, collecting untraceable ransomware payments!
(Not to mention they are keep wasting massive amounts of electricity!)
After proven useless as "virtual currency", they are now promoted as "virtual asset" (investment)!
But, why do we need fake investments when we have plenty of real investments?
What would happen to whole world economy, if everybody invested in fake investments, instead of real investments?
Why do you think "Satoshi" took first 1 million bitcoins & disappeared to hiding (instead of proudly showing himself to whole world)?
Realize it means government law enforcement cannot go after him!
Also realize, as soon as "Satoshi" sells his share, everybody would rush to sell all their bitcoin/cryptocurrency!
& so suddenly millions of people would lose all their invested money!
Bitcoin/cryptocurrency is just a new kind of scam (just like Ponzi Scheme or Pyramid Scheme invented in the past)!
It is not the first time that so many smart & educated people fell for really clever scam!
http://fb36blog.blogspot.com/2018/01/bitcoin-scam.html

 

[digitalgriffin]

They aren't really 'backed' though since regular stocks come with no guarantees, no vote, no oversight, no anything. Your stocks are only worth whatever the highest bidder is willing to pay for it at the time of sale and the company has no obligation to buy stocks back from the market at any point in time. If Warren gets her wealth tax and all wealthy people end up having to sell 3-6% of their stocks at the same time to make payment, stock prices will collapse.

The stock market's valuation is largely fictitious.

That's a bit of a leap.

Banks have securities and accounts
So do investment firms
Real estate companies have property
DJIA have factories.
Even software is asset if it's not public domain.

ALL Tangible assets. Yes they can go belly up. Yes you can lose most of your shirt on it. But even during the great depression people didn't lose everything and made most of it back in a few years. As they say you can't pick a 20 year period in the market with a diversified portfolio and lose money.

 

[digitalgriffin]

If the network hash rate has declined because of China's restrictions, then won't that just make mining more attractive for others to pick up the slack? I don't see this as any kind of relief for the gaming GPU market. Perhaps this move has just incentivized people who were waiting for the right time to try and track down a new GPU card to get into mining.

Maybe maybe not. But large scale farming organizations WILL BE SHUTDOWN. Those are the ones really hogging the GPUs these days.

And now NVIDIA has released LHR models, people will be forced to buy crypto designed cards which only have one purpose and cost a lot more. The removes a lot of incentive for many.

And InvalidError is right. Finding a host country willing to put up with extra power demand, and have reasonable rates/infrastructure will be difficult. There's a quickly dwindling list.

I also know for a fact there is draft legislation (House Bill) in the works to severely restrict all US banks from doing transactions with crypto currencies that allow anonymous transactions. Any US company found trying to circumvent this will pay incredibly heavy fines as it can be used for funding terrorism.

 

[drinking12many]

And when that happens, the value of crypto will plummet as well, because at that point, nobody cares about make believe currency anyway.

Entirely possible, but I'll hold onto the fairly small amount I have because you never really know what will shake out if that happens. The whole system is based on faith and if there is a collapse you can never really be sure what ends up with faith behind it... at one time the British pound was the reserve currency of the world... it changed and became the dollar, I think increasingly nations do not like the idea that any one of their currencies are "the reserve" as none of them trust each other I think long term some sort of cryptocurrency will end up becoming the banking reserve currency. Will it be any that exist now..eh probably not but something like them will be and as long as any 2 parties agree that crypto has a value it will be used just like food, barter system, gold etc can be used as a form of currency. If countries stop allowing them to be converted to other currency yes it will definitely hurt them big time no doubt about that but the technological ground they sit on is super solid (for the major ones anyway). The POW model though is really what the big objection and as some recent events keep proving they are not always as anonymous as people think as audit trails are easy to put together once you know some of the addresses.

 

[escksu]

Not that much of a surprise that China didn't quote the negative environmental effect as a factor or the other negative factors (like ransomware demands).

ITs because environment was never really an issue in the first place. Its the media that harping on it. Ironically, USA has the highest carbon footprint in the world and talking about environmental issues.....lol....

 

[escksu]

This is great news, the sooner more countries move to ban this monopoly money the quicker gamers can get their hands on GPUs. Crypto has no intrinsic value as it isn't backed by anything except thoughts and prayers.

So, what values do stocks and bonds have?? How many times have we seen companies filing for Chapter 11 and those who own their shares/bonds lost everything?? Even banks go bankrupt and pple lose their money. So what values are your talking about??

 

[escksu]

But companies have REAL assets or income to back them up.

LOL!!! Since when do you see people getting back their money when companies go bankrupt?? Just to let you know that those REAL assets are only meant to pay their creditors....... Not pple who bought their shares or bonds.

Btw, since when stock prices are determined by what REAL assets a company has?? ITs all speculation and determined by what people think its worth. See AMD and Tesla stocks. Thats called speculation,e

 

[Why_Me]

And the crypto pyramid scheme takes yet another hit.

 

[InvalidError]

Btw, since when stock prices are determined by what REAL assets a company has?? ITs all speculation and determined by what people think its worth. See AMD and Tesla stocks. Thats called speculation,e

If stocks were actually tied to true company worth, "pump-and-dump" and short-selling schemes which are basically scams to cheat under-informed investors out of their money wouldn't be anywhere near as effective either.

 

[Chung Leong]

This is great news, the sooner more countries move to ban this monopoly money the quicker gamers can get their hands on GPUs. Crypto has no intrinsic value as it isn't backed by anything except thoughts and prayers.

The value of a currency comes from its debt settlement ability. Suppose you owe a debt of 100 bitcoins to a nacro syndicate. If you give them 100 bitcoins, you're fine. If you don't give them 100 bitcoins, thugs will come and cut off your head, which presumably has intrinsic values to you.

 

[escksu]

If the network hash rate has declined because of China's restrictions, then won't that just make mining more attractive for others to pick up the slack? I don't see this as any kind of relief for the gaming GPU market. Perhaps this move has just incentivized people who were waiting for the right time to try and track down a new GPU card to get into mining.

Not really. You need to know that difficulty did decline, but so does eth price. The decline in difficulty is not enough to off-set the drop in price. (difficult dip around 10% but prices fall over 20%). This means pple will need even longer to breakeven. This is why its no longer attractive. Right now, it will take you over a year to break even with 3070. So, its not worth mining anymore. Nobody knows if eth will keep going down and whats the bottom. Thats why many small miners are pulling out. Only farm ones keep going because they are planning for the long future.

 

[digitalgriffin]

Lar

You are wrong on so many levels. 1 - Large scale farming facilities are mining Eth with ASIC's already. 2 - Nvidia released the 3060 ti and the 3060 with a mining bug and the community circumvented the issue in a few hours. 3 I just bought 6 more evga rtx 3070's for $999 a piece since the idiots on ebay are panicking. Thanks!

You act like we are uninformed newbs here.

Ethereum is best mined with fast memory which Nvidia has vast majority of stock of gddr6x. And if Asics solve all the problems why is there a shortage? And why are you still buying cards instead of Asics?

The community didn't circumvent anything. Nvidia released a set of beta drivers which didn't include lhr mining. That sku/device id is no longer being used so you have to use a lhr driver in the future for new cards. Second all future variants of the lhr silicon have additional features built into hardware to prevent this from happening again.

$1000 3070s are still a ripoff. 3080s at that price are a ripoff.

Okay have fun ummkay. Bye bye.

 

[digitalgriffin]

LOL!!! Since when do you see people getting back their money when companies go bankrupt?? Just to let you know that those REAL assets are only meant to pay their creditors....... Not pple who bought their shares or bonds.

Btw, since when stock prices are determined by what REAL assets a company has?? ITs all speculation and determined by what people think its worth. See AMD and Tesla stocks. Thats called speculation,e

Yes and no. If you invest properly you can pick out funds that are near impossible to go belly up completely. Plus there are different classes of assets and funds which protect the investor with securities if they do go bad. While you might not make much or might get pennies back on the dollar, you are left with something. That's where real assets come in with preferred stock.

From inflating adjusted securities to preferred stock choices ag futures more, diversified across many companies. Never once, even during the great depression was every stock wiped out. And most made their money back in a few years time.

The problem is with you dreamers in crypto is you see big profit for little to no work. So it will be the savior to everything....and anybody who says different is a liar. And the stick market has short circuits that automatically shut down trading if things go south. That means you have time to dump stocks into safe holds if you get scared the next day. But you have to track market forces daily like I do for signs of instability. For newbs, I recommend graham Stephen and meet Kevin on YouTube.

That said you always forget one of the biggest fundamental rules of life: Govt loathe what they can't control. After the latest crypto ransoms here in the usa, legislation to stop unregistered cryptocurrency is a given. The bills are already in the works.