Then how are you able to honestly say that btc uses more energy than any other currency?
That's completely BS. Look at all those countries that have gotten rid of small denominations in their currencies because they are not cost effective to continue to implement. Jeez, how did we ever go from copper, silver and gold to paper?
Can you think for even a moment in how much time, and money goes into just planning and designing paper money? The transportation and green house gases that are emitted just to truck that heavy crap around?
You can't honestly be serious with this analysis... Can you?
It's not bullshit at all.
All currency has a cost.
You can't compare bitcoin to paper money because bitcoin is not in use like paper money.
The fact that some countries get rid of the smaller denominations is completely unrelated to the cost of bitcoin.
Moreover, bitcoin does't have denominations of value. It is a broken comparison, whatever you may have wanted to tell with it.
Another reason why you can't compare fiat to bitcoin is the mechanics of making it work.
Money is re-usable while bitcoins are not.
Planning and designing paper money is something you do once (or once in a while). After that you can use the design as many times as you like.
The main costs of paper money are in the accounting and the energy of transporting it, not in its design or production.
To print a single dollar note of any value costs less than $0.1
After the printing the note can be used may times.
But you have the cars that are transporting them from place to place every day. But even then the transportation costs for these bulk transfers are fractions of percents of the total value transported so its still not much, relatively.
Compare that to bitcoin.
In bitcoin you have to pay
every time you transfer value. Right now the client asks for 0.01 bitcoin which is about $1.56 per transaction. And then you still need to wait some time before the transaction happens.
So this is already quite a barrier for use as a currency and this is only the beginning.
And that is besides the fact that there are miners pissing away heaps of energy just to make it all work. The $1.56 doesn't actually cover the network because the fees are nothing compared to the block rewards. In other words, in the future when all income would need to come from fees the $1.56 will not be nearly enough to cover the costs of miners.
I think someone figured that mining a block of 25 bitcoin costs about $40 worth of energy at the moment.
That's about 1% of its current dollar value.
You could argue that a single bitcoin will be worth much more in the future and then the production costs will be relatively smaller.
But this is not true.
Bitcoin value follows hashing power. The more energy expended the higher the price goes.
So to make bitcoin more valuable we first need to expend more energy on mining.
Think about these things and expand them to a substantial part of our economy and you may start to see my point.
I'm almost certain that if you spent as much time analyzing regular fiat currencies, you'd have answered all your questions by now. I guess my Harvard economics education was a complete waste of time and money.
I'm just here trolling on semantics. yea, that's right. I'm