Difficulti is going to high and to fast



  • @captinkid said in Difficulti is going to high and to fast:

    Mining will ALWAYS be profitable if you have an efficient setup, the laws of supply and demand ensure that.

    Yes the margins will likely tighten over time, but as it gets too tight it will force out the less efficient miners and restore the balance.

    The only way it would stop being profitable is if enough inefficient miners chose to operate at a loss. And that doesn't happen.

    The same silly people that predicted Bitcoin or other altcoins wouldn't be viable to mine after X date, they are always wrong. Their base assumptions are false, so any calculations based on that are also always false.

    Although I agree with your general assessment, I would and try to avoid words like "always" and "never" when referring to future events :)



  • @rds

    Agreed! Never and always are a very long time.

    Your point is quite valid.

    Also I may add a * to the first ALWAYS, because short term price changes can make it unprofitable, but the long term should generally be profitable in any case.



  • @captinkid said in Difficulti is going to high and to fast:

    Mining will *ALWAYS be profitable if you have an efficient setup, the laws of supply and demand ensure that. Yes the margins will likely tighten over time, but as it gets too tight it will force out the less efficient miners and restore the balance. The only way it would stop being profitable is if enough inefficient miners chose to operate at a loss. And that doesn't happen.

    Perhaps. The danger is that the margins decline to to the point where only the really big operators can survive. And /or where it only makes sense for those that utilise spare capacity (that's already paid for).

    The fact that Power Consumption is a minor factor with Burst Mining is very positive. And it evens out some of the differences between locations with very different energy costs (as for those using Video Cards).

    There are dozens of Systems & Crypto-currencies focused on GPU (& CPU) mining. So why so very few for HDDs? Storj is a bust, so Afaik, that just leaves Burst. But why?



  • @BeholdMiNuggets Well, Burst Mining as we know it might end around that time. Especially at the pace, the network is currently growing. After that, we'll have the transactions.

    Burst is still incredibly cheap (1 Burst = $0.02). Perhaps the PBfarms will soon demand higher values for their investments.

    Nine months ago there was around 597 Million Burst unmined. It's now at around 371 Million. Where it will be in nine months is hard to say. I'm sure the mining rigs will be massive nine months from now.

    I know I'm actively adding to my farm. I just need to figure out my electrical situation first.



  • @socalguy i need this to go on for at leat 3 more years.. WTF make it longerrrrrr



  • Yes, can we not expect a fork and increase the total number of coins issued?

    Also, if in future the price of burst does get higher, people will not want to pay 1BURST as fee everytime.



  • @rattle99 said in Difficulti is going to high and to fast:

    Yes, can we not expect a fork and increase the total number of coins issued?

    Also, if in future the price of burst does get higher, people will not want to pay 1BURST as fee everytime.

    Changing any of the monetary aspects (such as coin supply) is typically a very bad idea. It changes all the figures for anyone who invested anything in the coin before the change, and usually not for the better.

    Supply is very high with burst. I doubt we'll ever see fees less than 1. There's only a handful years left of mining fresh coins anyway. We'll need descent fees to incentivize continued mining.



  • @IncludeBeer completely agreed, but if the value of BURST does rise, say maybe 5$, I really doubt people will want to spend 1BURST as transaction fees everytime.



  • @rattle99 Ya probably not. But to be honest, the chances of $5/burst is extremely slim. The supply is simply too high and the coin only has so many uses behind it to drive demand.

    I'm sure we'll address fees if needed in the future though.



  • @socalguy said in Difficulti is going to high and to fast:

    Well, Burst Mining as we know it might end around that time. Especially at the pace, the network is currently growing...

    Read a few other posts where punters have complained about the netDiff reaching 20k (quite recently). Now, the Difficulty regularly lingers @80k+. Eg. Earlier today, just one snapshot [netDiff = 86k].

    0_1498375543830_Burst-netDiff[86038]f[2017-0624].jpg

    As the netDiff charts show, this takes the mining returns WAY down. Eg. Transactions per Day /Chart - One Month View [1m]. Sharply down ~80% from an average of about 7.5k /day (over the past several months) - to the current value of ~1.5k /day.

    0_1498387705944_BurstCoin[Biz]-Transactions[Day]-Chart[1m]-Drop[2017-0625]b.jpeg

    The intra-day fluctuations are odd too. It's not as if some huge, commercial storage facility could burst-mine during quiet hours. That might work with spare CPU capacity, but not HHDs - since the drives need to be dedicated /Plotted in advance.

    ... Update - a few hours later. Not the highest, just one that I happened to screen-shot.
    0_1498401966989_2017-0625 Burst netDiff(107156).jpg

    [ netDiff = 107k ]+ Strewth!


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