In Kazakhstan the electricity usage have increased drastically. This is the prime reason why government have taken measures cutting the internet and shutting down the power. The energy consumption according to the data shows there is big difference from the mining industry. This means only a small percentage of people have done it in a legal manner with all paper works done.
When calculating the supply, it goes beyond the value. So, more number of illegal mining seems to happen around and this will affect the government revenue through taxation. What is being taken seems to be the step to regulate mining industry.
Topic: Kazakhstan cripping the bitcoin network - page 2. (Read 292 times)
This is not a good sign to have the total hashpower centralized like this.
If it were really centralized then yeah it would have been a bad sign but bitcoin hashrate hasn't been centralized ever. This is just the same 9 year old FUD but the word "China" is being replaced by the word "Kazakhstan". Funny thing is that mining is still ongoing in China despite what the media says and Chinese miners who migrated went to many different locations not just Kazakhstan or even US despite what the media keeps telling us. 
Please explain how (even if the news is true) Kazakhstan cutting power to some small miner (because 50k USD bitcoin mine is small) has caused the price to drop.
How would that play out technically, enlighten me.
From the article:
Big deal... My neighbor was building a house and filed all the paperwork. That was a year ago and he's still running an extension cord from one of the neighboring houses to his new house because the company did not have the time to run a cable, and we're in the EU. I assume that in Kazakhstan you need to pass money under the table to get expedite things.
This is pertaining to many facilities and not just one small miner as you put it.How would that play out technically, enlighten me.
From the article:
Quote
Kazakh miners—especially those previously based in China—will need to buy different types of energy transformers in order to be able to operate in the US, and waiting times for transformers are now around six to 12 months, Doctor says.
Big deal... My neighbor was building a house and filed all the paperwork. That was a year ago and he's still running an extension cord from one of the neighboring houses to his new house because the company did not have the time to run a cable, and we're in the EU. I assume that in Kazakhstan you need to pass money under the table to get expedite things.
View the video from which I am referring to the facility which cost them a mere $50k USD but would cost much more in the states for the exact same amount of kilowatts to produce in hashpower. Thus is why China mining companies have moved more of it's mining equipment there than to the US. The cost of electricity is alot less.
https://www.youtube.com/watch?v=jFFk18qms0A
This is not a good sign to have the total hashpower centralized like this.
Its not centralised per say, at least not in the way the BBC is implying it's. Bitcoin isn't really effected by singular nations, that's evidenced by the recent bans by bigger countries than Kazakhstan, and the impact it had. Even, when China turned its attention towards Bitcoin, and disallowed certain things with it, it just meant more, and more Chinese people were interested in Bitcoin. Remember, that restrictions imposed by governments don't always hurt Bitcoin, and can actually have a positive effect on it. In this case, it just seems like more hostility from the BBC or at least spinning a story in an attempt to influence people's opinion on it.
The only argument that might be considered seriously in terms of centralisation, and Bitcoin would be stating that the pools have a large share of the network hashrate, which is partially true. Though, I think that's a conversation left for another day.
The pools hashrate determines how much of the network usage could first be considered as centralized. But everyone knows China had a significant amount contributed to it before the ban. So where did they move it all too? Texas/Ekibastuz, they both have contracts with miners from China.
BBC news article released a few days prior to the one referred to for this discussion of the matter.
https://www.bbc.co.uk/programmes/p0bkh6bq
This is not a good sign to have the total hashpower centralized like this.
Its not centralised per say, at least not in the way the BBC is implying it's. Bitcoin isn't really effected by singular nations, that's evidenced by the recent bans by bigger countries than Kazakhstan, and the impact it had. Even, when China turned its attention towards Bitcoin, and disallowed certain things with it, it just meant more, and more Chinese people were interested in Bitcoin. Remember, that restrictions imposed by governments don't always hurt Bitcoin, and can actually have a positive effect on it. In this case, it just seems like more hostility from the BBC or at least spinning a story in an attempt to influence people's opinion on it.
The only argument that might be considered seriously in terms of centralisation, and Bitcoin would be stating that the pools have a large share of the network hashrate, which is partially true. Though, I think that's a conversation left for another day.
With shutting down the internet for some days this month has shown a slow down in the network and thus the dip in price.
Do you see any recent drops? I sure don't. As a matter of fact hash rate is at all time high.
Please explain how (even if the news is true) Kazakhstan cutting power to some small miner (because 50k USD bitcoin mine is small) has caused the price to drop.
How would that play out technically, enlighten me.
From the article:
Quote
Kazakh miners—especially those previously based in China—will need to buy different types of energy transformers in order to be able to operate in the US, and waiting times for transformers are now around six to 12 months, Doctor says.
Big deal... My neighbor was building a house and filed all the paperwork. That was a year ago and he's still running an extension cord from one of the neighboring houses to his new house because the company did not have the time to run a cable, and we're in the EU. I assume that in Kazakhstan you need to pass money under the table to get expedite things.
There was some thing on BBC news recently about Kazakhstan and their involvement in the bitcoin currency mining boom going on just behind the US since China has banned it.
There was a recent investor who claims to have spend $50k to start one up in just 5 days.
But now the government have started to seen this and has used 8% more of electricity used for the country so has tried to stop it.
With shutting down the internet for some days this month has shown a slow down in the network and thus the dip in price.
This is not a good sign to have the total hashpower centralized like this.
https://www.wired.com/story/kazakhstan-cryptocurrency-mining-unrest-energy
Have your say.
There was a recent investor who claims to have spend $50k to start one up in just 5 days.
But now the government have started to seen this and has used 8% more of electricity used for the country so has tried to stop it.
With shutting down the internet for some days this month has shown a slow down in the network and thus the dip in price.
This is not a good sign to have the total hashpower centralized like this.
https://www.wired.com/story/kazakhstan-cryptocurrency-mining-unrest-energy
Have your say.
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