Home / Coin Payment / The founder of Monero (XMR) talks about Bitcoin in the episode Magical Crypto Friends

The founder of Monero (XMR) talks about Bitcoin in the episode Magical Crypto Friends

A professor at the University of Santa Clara, known as Atulya Sarin, wrote an article about how Bitcoin was entering a spiral of death and that the currency could reach zero. The extraction difficulty is accustomed to each block of 2016 extracted approximately every two weeks. At the same time, as Bitcoin hash power drops, even the time it takes to emit a new block would take longer. Finally, the removal operations proved to be less profitable and allowed the crypto market. This therefore makes a spiral of death.

Riccardo Spagni commented on this problem:

"It's self-corrective, but the other thing is that there's a limit to the amount of regulation that can happen in every adjustment cycle, so, relatively speaking, it adapts slowly, which means that can compensate for price volatility much better than some of the fast-fitting algorithms that try to keep track of the difficulties that are much closer. "

The place of cryptography deliberated the so-called spiral of death that intimidated Bitcoin at the end of 2018. Last year, Bitcoin (BTC) lost more than 70% of its value by upsetting the complete system. This spiral of removal was activated due to the truth that the currency was decreasing and the removal operations were no longer profitable.

Of course, the Bitcoin hash rate has decreased by 60 percent in October 2018 through December. Even if the Bitcoin problems have adapted and the market has improved. Numerous miners have left the market allowing extraction problems to adapt downwards. After that, the number of miners has increased again, increasing by 50 percent since December.

Mining hardware seems to be inside the encrypted world, while smaller companies plan to turn, which could be the logical basis for the sharp decline in the mining problem. The last time this kind of decline happened for Bitcoin was back on October 30, 2011, once there was a 40% decline, followed by a 30% decline.

Although this looks like a loot, it could facilitate the mining efforts that were pending for a truce in the midst of their biggest losses. Users who have many powerful and cheap computers can also produce a lot of aggression with their hash rate simply by switching on their ASICs.

Cryptocurrency miners usually flock to the top three choices on our list, which implies that Vega 62 is also one of the best graphics cards to look for in recent days (although it will still be difficult to search for incoming countries). The most "firm" behind the Vega fifty-six is ​​that it is a significantly higher energy consumption than the three highest choices on our list, so it's not an inexpensive card to be used to equip a larger cryptocurrency mining operation. It also works hot, which implies that you will want further cooling. Sarin continues, writing:

"Mining at a cost higher than the cost at which it is possible to sell in the futures market destroys the value.Therefore, any rational investor has no incentive for mine if the cost of mining is higher than future price and it is better to buy in the futures market … Absent mining, Bitcoin is just a set of worthless ciphers. "

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