How does total cost of mining affect the price of coins?

How does total cost of mining affect the price of coins?

The goal of this question is to explore what the correlation is between the cost of the total energy consumption behind a PoW based cryptocurrency and its price. Obviously, the cost of mining cannot be lower (in the long run) than the price of the coin, because more and more miners wold join. But is the converse (empirically) also true?

Have the price of coins been historically bounded from below by the cost of mining?

Of course, the cost of mining is hard to compute, because of differences in hardware, electricity price and cryptojacking. Yet, one can find some nice charts here about Bitcoin, so some estimates can be made. Has anyone looked at this? For example, the market cap of Bitcoin is about twice the market cap of Ethereum.

Is it true that about twice as much energy is/has been spent on Bitcoin than on Ethereum?

http://ift.tt/2DSmJtS

Comments

Post a Comment

Popular posts from this blog

sendrawtransaction and txn-mempool-conflict

sendrawtransaction and txn-mempool-conflict When i sendrawtransaction to bitcoind, i get error (exceptions) 18: txn-mempool-conflict (use Bitcoin JSON-RPC denpamusic/php-bitcoinrpc ) But the transaction is sent to the network and is subsequently confirmed. Example one decoded transaction : https://jsfiddle.net/rn58a4j6/ then i send this transaction: 94ec12fc463230b4285a29b047608627c05572a4c6eabe6688a201ce49ae72f7 https://ift.tt/2MY2KP0
Read more

couldn't connect to server: EOF reached (code 1)

couldn't connect to server: EOF reached (code 1) I'm running a full node on my raspberry pi3. I try to do a simple command such as bitcoin-cli getblockchaininfo but I always get this error: error: couldn't connect to server: EOF reached (code 1) (make sure server is running and you are connecting to the correct RPC port) My bitcoin.conf file looks like this: Bitcoind options server=1 daemon=1 reindex-chainstate=1 reindex=1 txindex=1 disablewallet=1 listenonion=0 Connection settings rpcuser= * rpcpassword=* rpcport=8332 rpcallowip=127.0.0.1 rpcthreads=10 I also tried to get a command with "bitcoin-cli -rpcuser: * - rpcpassword=* -rpcportt8332 getblockchaininfo". But this also didn't work. Does someone has some advice or experience with this error? https://ift.tt/2D82TLW
Read more