I think I will become outraged and demand a change in protocol so that the original reward may be restored. Then when nobody listens I will quit mining in disgust.
Seriously though, this has been expected for a while. Personally I already have a bunch of coins so I am willing to waste a few hundred $ worth of electricity a month to continue mining with ASICs (even at a loss) just to protect the network and the coins I already have.
Topic: miners: how are you going to react to the reward halving? (Read 5886 times)
Im reacting by trying to find alternative bitcoin income, for starters Im selling goods for bitcoin.
unless price doubles or difficulty halvens, I am going out.
i'm starting to think that the price will be driven _down_ by the halving first, then back up again as the miners try to push it.
it's just too weird of an event and may cause some panic.
it's just too weird of an event and may cause some panic.
What's weird? Reward Halving? That's the design, nothing weird about it.
What doesn't cause panic these days?
Sam
i'm starting to think that the price will be driven _down_ by the halving first, then back up again as the miners try to push it.
it's just too weird of an event and may cause some panic.
it's just too weird of an event and may cause some panic.
sure, nobody knows what will happen to the market when the reward halving happens, but what are the miners PLANNING?
I'm only going to be able to afford half price hookers now....
o.0
People talk about the reward halving as if it will have some big mysterious and unprecedented effect on miners. Income has been cut in half several times over the past few years as difficulty has increased. Keep in mind that for any individual miner, the reward being cut in half has exactly the same effect on income rate as the difficulty doubling. If you want to see what affect that will have, just look back at the past 3 months. At the start of July, difficulty was close to 1.5 million. Now it is a bit above 3 million. How have you reacted to your income being cut in half over the past 3 months?
wasn't BTC worth around $5 is July (difficulty was close to 1.5 million) and ~$12 now (Now it is a bit above 3 million)? when converted to fiat (yukky I know) my income has actually increased despite difficulty rises 
turning on 2 FPGA and off 4 x 6950 has helped my power consumption therefore bottom line too.
some would say the reward drop is already "factored in" to the price - I guess we will see
People talk about the reward halving as if it will have some big mysterious and unprecedented effect on miners. Income has been cut in half several times over the past few years as difficulty has increased. Keep in mind that for any individual miner, the reward being cut in half has exactly the same effect on income rate as the difficulty doubling. If you want to see what affect that will have, just look back at the past 3 months. At the start of July, difficulty was close to 1.5 million. Now it is a bit above 3 million. How have you reacted to your income being cut in half over the past 3 months?
Stop mining, buy coins, pray ASICs are a scam and wait for bitcoins to hit $24 
i'm going to sell off all my stuff and go to disneyland
Those interested in immediate profit will upgrade to asic, those interested in long term investment will continue to mine, even at a loss (@current rates)
I'm in it for both immediate profit and long term investment... As I'm sure most on here are. That's why I am upgrading and got orders in early for the next generation ASICs. I'm hopeful the new equipment pays off itself within the first month as the rush comes online (would be great if its within the first week
. I'm also hoping its paid off prior to the reward halving. Then it's long term investing from there. And re investing in more equipment with profit. I am with the rest of you that think the market will balance itself and keep the current predictable ratio of:
BTC cost : Difficulty : Personal Hash Power : Daily Intake (profit).
Pretty much my thoughts!!!! Kudo's
sure, nobody knows what will happen to the market when the reward halving happens, but what are the miners PLANNING?
can any pool operators comment?
can any pool operators comment?
If
if
sure, nobody knows what will happen to the market when the reward halving happens, but what are the miners PLANNING?
Mine on. Those interested in immediate profit will upgrade to asic, those interested in long term investment will continue to mine, even at a loss (@current rates)
I'm in it for both immediate profit and long term investment... As I'm sure most on here are. That's why I am upgrading and got orders in early for the next generation ASICs. I'm hopeful the new equipment pays off itself within the first month as the rush comes online (would be great if its within the first week
. I'm also hoping its paid off prior to the reward halving. Then it's long term investing from there. And re investing in more equipment with profit. I am with the rest of you that think the market will balance itself and keep the current predictable ratio of:
BTC cost : Difficulty : Personal Hash Power : Daily Intake (profit).
Those interested in immediate profit will upgrade to asic, those interested in long term investment will continue to mine, even at a loss (@current rates)
I will continue mining aslong as the profit exceeds: 1. the power costs
2. the deappreciation of resale value of hardware, factoring in the unlikeley occational breaking.
I guess for me this means something like under 7million difficulty and an ~12,5$ exchangerate for gpu's
...and something like under 20million diff at 12,5$ for fpgas.
2. the deappreciation of resale value of hardware, factoring in the unlikeley occational breaking.
I guess for me this means something like under 7million difficulty and an ~12,5$ exchangerate for gpu's
...and something like under 20million diff at 12,5$ for fpgas.
It s going to be an exciting next half year in miners land, block halving, ASIC delivery, total hash power due to testing ect.ect.... 
Absolutely. The really brilliant thing about the ASIC release timing... is that it's very close to the halving. If bitcoin survives (and I expect it to) there won't be much instability for 4 years. . . That's plenty of time even for non-technical investors to measure ROI and decide to invest... and the more people with vested interest (especially venture capitalists) the sooner we'll get a mainstream produce like a POS (point of sale) system that could really make bitcoin thrive.
Imagine if we you could do global money transfers via bitcoin through some device at your local 7-11. That would make a killing for whomever developed and the transaction fees would legitimize mining even without a block reward.
As a miner, Im investing some more, and I'll always be minning, even if it turns to be unprofitable
If the exchange rate is still $12.32/BTC on halving day I'll drop to $0.43/day.
Presuming you are like most other GPU miners and pay a normal electric rate (e.g., $0.15 per kWh) then your electricity for the rig will likely exceed $0.43/day.
But let's say it is break even. You'ld rather pay $12 to your electric company for a month of mining which yields 1 BTC versus sending $12 to an exchange and getting your 1.0 BTC that way?
And if your electric bill comes in higher than the $0.43 per day, then you are paying above market rate to buy -- and you are going through the effort of managing a rig for free.
If it is a hobby, then call it a hobby. But anyone mining GPUs for the purpose of profit should know right now ... in about 60 days the party is over. [Edit: Of course, there are other uses for your GPUs, but mining BTC for-profit is specifically what I'm addressing.]
No - everyone was making statements like this when btc was 5.50 with lower difficulty. halving the block reward is effectively the same as halving the price of btc. People are were still mining at 5.50, and 2.50, and 0.02.
Minor point, pools may need to charge higher fees.
Major point, tech change - ASICs coming out, what if you're lovely BFL SC single is only netting you $120 per month (40x difficulty) - extreme example, but thats the only uncertainty in btc right now, the potential for asic mining to kill the hobbyist aspect by making gpu mining pointless, thus killing demand for btc in general.
Personally, I think we'll see a 10 or 20 times increase in difficulty once asics saturate the market... which probably won't make gpu mining die entirely, if it comes with the price increase expected to go along with the halving, you might see people running gpu farms for another year or so.
yes and then there will be created asic farms..
..i don t see a problem at all for miners..big or small, the ones with the most money will still gain the most assets and shares.. but that will always be that way...but i do think allot of small miners are counting themselfs to rich thinking there pre orderd 50ghas device makes them quick money..it would today but it wouldnnot next year when deliverd....IF ever deliverd.. 
It s going to be an exciting next half year in miners land, block halving, ASIC delivery, total hash power due to testing ect.ect....
We're already at the expected price increase (from $5ish to $12ish)
oh I hadn't thought so...
pure speculation on my part of course, but I'm expecting to see ~25% increase in price within a week of the halving.
I edited my post, as that is pure speculation on my part. I don't know if it is priced in or not. I was just relaying how when the exchange rate was $5 the argument was that as people consider the block halving, the exchange rate should double. And I was just trying to make the argument that perhaps this has already occurred, is priced in, and won't be going up further just because the halving is about to arrive.
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