China currency and effects on BTC | Bitcointalksearch.org

anthonydar

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Quote from: Barnabe on August 01, 2016, 12:45:35 PM

Quote from: duts_bg on July 13, 2016, 08:15:40 AM

Quote from: hermanhs09 on July 09, 2016, 09:12:52 AM

i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

Knowing what were the prices of electricity in Eastern Europe under socialism and what now they are, We can assume that overhead costs there are considerably smaller.

It's not only due to political reasons, China has an interest in keeping low prices in electricity since they need it for growth (mainly based on industrial production and exportation). This also means that they have lower environmental constrains so they can use all available power sources (including coal).
A high price of electricity means that we cannot mine bitcoins in Europe, but it also means that we don't have periodic smog slowly killing everyone Wink

Most of the big bitcoin farms are in South West China, where the hydro power electricity price is less than $0.04/kwh.

Barnabe

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Quote from: duts_bg on July 13, 2016, 08:15:40 AM

Quote from: hermanhs09 on July 09, 2016, 09:12:52 AM

i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

Knowing what were the prices of electricity in Eastern Europe under socialism and what now they are, We can assume that overhead costs there are considerably smaller.

It's not only due to political reasons, China has an interest in keeping low prices in electricity since they need it for growth (mainly based on industrial production and exportation). This also means that they have lower environmental constrains so they can use all available power sources (including coal).
A high price of electricity means that we cannot mine bitcoins in Europe, but it also means that we don't have periodic smog slowly killing everyone Wink

dumana

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The Chinese currency is devaluing against the US Dollar at the moment. That could be reason for the bitcoin price rise.

duts_bg

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Quote from: anthonydar on July 11, 2016, 02:47:57 AM

Quote from: hermanhs09 on July 09, 2016, 09:12:52 AM

i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

The USA people are not interested in the development of the bitcoin miners. They might think the bitcoin is useless.

Yes! But there is something else.
http://cointelegraph.com/news/bitcoin-is-potential-national-threat-says-us-regulator

duts_bg

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Quote from: hermanhs09 on July 09, 2016, 09:12:52 AM

i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

Knowing what were the prices of electricity in Eastern Europe under socialism and what now they are, We can assume that overhead costs there are considerably smaller.

Jmild1

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Quote from: hermanhs09 on July 09, 2016, 09:12:52 AM

i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

Because china has the money to buy rigs for mining and they are the early adopters that use to profit in mining so they just continued it even mining is no longer profitable.

anthonydar

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Quote from: hermanhs09 on July 09, 2016, 09:12:52 AM

i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

The USA people are not interested in the development of the bitcoin miners. They might think the bitcoin is useless.

hermanhs09

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i dont actually get why about 40% of bitcoin is mined in China ( maybe im wrong but someone's here said like this i think ),
i know the china is pretty greedy for earnings ( hehe as we all ) but why china especially,not let's say USA?

groll

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Quote from: cptdome1 on December 11, 2015, 10:40:18 AM

So with China devaluing currency and the Chinese citizens looking to get their money out of Yuan, do you think buying BTC will be one of their means for doing so? I dont know much about the capital controls, but if the citizens cant easily take their Yuan and buy other currencies maybe buying BTC will be easier and more efficient for them? This would be very good news for the BTC price. Thoughts?

My thoughts on China buying large volume of bitcoin can bring positive effects to consumers. In terms of price inflation we can expect that to happen if Chinese people will going to use bitcoin as an exchange. Given the population of the biggest country in the world their activity will bring higher demands and as we all know since bitcoins supply is limited this huge demand can bring about a tremendous price increase. For us it will be advantageous so its time to save some bitcoins in our wallet for an expected price increase.

anthonydar

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Quote from: ASHLIUSZ on July 08, 2016, 05:46:18 AM

It would be bold to imagine that people are massively buying out Bitcoin blindly, ignoring the risks, just like that. So, again, there is no rational argument here supporting that Yuan devaluations are driving up the bitcoin price.

That is right. The hack of the Ethereum DAO give us a good lesson. If there is a big bug found in the bitcoin, it will be disastrous.

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Quote from: Jmild1 on July 08, 2016, 02:56:32 AM

Quote from: freedomgo on July 07, 2016, 11:05:54 PM

Quote from: anthonydar on July 07, 2016, 04:54:40 AM

Quote from: Jmild1 on July 05, 2016, 10:25:30 AM

Quote from: freedomgo on July 04, 2016, 04:15:47 AM

Quote from: Jmild1 on July 04, 2016, 03:36:16 AM

Quote from: Nevis on July 03, 2016, 10:50:35 PM

Quote from: cptdome1 on December 11, 2015, 10:40:18 AM

So with China devaluing currency and the Chinese citizens looking to get their money out of Yuan, do you think buying BTC will be one of their means for doing so? I dont know much about the capital controls, but if the citizens cant easily take their Yuan and buy other currencies maybe buying BTC will be easier and more efficient for them? This would be very good news for the BTC price. Thoughts?

Chinese buying bitcoins, their numbers are large which may bring an increase and huge demands on bitcoin. Given the supply of bitcoin at this moment if the consumers were actively demanding for bitcoins it is likely that the price will go up and many will enjoy. It is one of the most awaited event in bitcoin its increase in price. Chinas passion to bitcoin will help on the increase of its market value which is positive.

I agree, if the price is really making a real demand continuously then we shouldn't see a big dump on the coin, we should only see a slow price increase on it. I really think that the price on the bitcoin is being manipulated by chinese considering the news that I've been reading that more and more chinese are adopting to bitcoin to make a good profit.

Not for long my friend, not chinese people are the major holders of bitcoins, they can move the price but not that much, if you look at the price now, it is starting to move to $700 again and we could easily see that in the next few days.

If chinese are not the most holder that hold bitcoin then who? I see on the market cap. that chinese is the one who hold most of the coin followed by US.

Most of the bitcoin service providers are in the west. The Chinese are just employed as miners to secure the network.

I believe it too, the chinese people will not control the majority and even if they do they cannot unite because they have a different interest so they cannot control the market.

Lol what? Most chinese investors moved to bitcoin and most of their money has been converted to bitcoin. Isn't that a unity for them? And they plan to pump the coin too to make a better profit once they sell their coins.

It would be bold to imagine that people are massively buying out Bitcoin blindly, ignoring the risks, just like that. So, again, there is no rational argument here supporting that Yuan devaluations are driving up the bitcoin price.

Doms

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Quote from: Enotche on July 08, 2016, 03:54:59 AM

Most of bitcoin transactions carried out in the past through the state currency Yuan over the past 30 days in China.
In total, 71% of operations were carried out at some points it cryptocurrency in the state. And of course, the famous Chinese statistics on their territory shows that the majority of transactions throughout China have been conducted in yuan

Effect of China on Bitcoin prices should not be underestimated. China is home to some of the largest bitcoin exchanges on the planet.

Most everything that happens nowadays seem to involve China, not just bitcoin. There are territorial disputes, the economy, our mobile phones, the food we eat, the list goes on. This powerhouse nation has brought a lot of good things and along with it the problems and enemies that resulted in them dabbling in everything they think is worth their time.

Enotche

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