Mining is Gambling? | Bitcointalksearch.org

Argwai96

legendary

Activity: 1036

Merit: 1000

Thug for life!

Quote from: dsly on December 25, 2014, 04:04:29 PM

Quote from: Argwai96 on December 25, 2014, 03:53:58 PM

Quote from: michaeladair on December 21, 2014, 02:22:15 AM

Mining is not gambling, but SOLO MINING is gambling.
Especially if you're mining btc.

This is not true. If you have a big enough farm then solo mining is likely going to have a higher EV then pool mining because you will not have to deal with the risk of block withholding attacks on the pool nor with the risk of the pool scamming and not paying the miners

But 99% of the solo miners don't have a big enough mining farm. So its less likely to profit.

Do you have any stats on this or are you just making up that percentage? Miners have an incentive to do what is in their own best interest because they have ongoing expenses (electricity) and if they are not receiving a large enough of a payout they will not be able to pay their bills.

bigadam0101

newbie

Activity: 56

Merit: 0

I thought that we are talking here about "gambling" metaphorically.. Roll Eyes

notlist3d

legendary

Activity: 1456

Merit: 1000

Quote from: dsly on December 25, 2014, 04:04:29 PM

Quote from: Argwai96 on December 25, 2014, 03:53:58 PM

Quote from: michaeladair on December 21, 2014, 02:22:15 AM

Mining is not gambling, but SOLO MINING is gambling.
Especially if you're mining btc.

This is not true. If you have a big enough farm then solo mining is likely going to have a higher EV then pool mining because you will not have to deal with the risk of block withholding attacks on the pool nor with the risk of the pool scamming and not paying the miners

But 99% of the solo miners don't have a big enough mining farm. So its less likely to profit.

I don't look at it as gambling as much as a risky investment. Solo mine I wont touch because it's hard for most to justify.

BTC or any crypto currency is not a "AAA Bond" investment. If you are using it for retirement .... look at safer bets. If extra cash you don't mind more risk, then look at things including BTC.

dsly

full member

Activity: 168

Merit: 100

Quote from: Argwai96 on December 25, 2014, 03:53:58 PM

Quote from: michaeladair on December 21, 2014, 02:22:15 AM

Mining is not gambling, but SOLO MINING is gambling.
Especially if you're mining btc.

This is not true. If you have a big enough farm then solo mining is likely going to have a higher EV then pool mining because you will not have to deal with the risk of block withholding attacks on the pool nor with the risk of the pool scamming and not paying the miners

But 99% of the solo miners don't have a big enough mining farm. So its less likely to profit.

Argwai96

legendary

Activity: 1036

Merit: 1000

Thug for life!

Quote from: michaeladair on December 21, 2014, 02:22:15 AM

Mining is not gambling, but SOLO MINING is gambling.
Especially if you're mining btc.

This is not true. If you have a big enough farm then solo mining is likely going to have a higher EV then pool mining because you will not have to deal with the risk of block withholding attacks on the pool nor with the risk of the pool scamming and not paying the miners

picolo

hero member

Activity: 1022

Merit: 500

Quote from: michaeladair on December 21, 2014, 02:22:15 AM

Mining is not gambling, but SOLO MINING is gambling.
Especially if you're mining btc.

Mining is betting. Solo mining is gambling with a small edge (the pool fee you are not paying)

michaeladair

sr. member

Activity: 448

Merit: 250

I'm a Web Developer: HTML, CSS, PHP, JS.

Mining is not gambling, but SOLO MINING is gambling.
Especially if you're mining btc.

Seketsuna

sr. member

Activity: 294

Merit: 250

Quote from: hobala on December 21, 2014, 01:48:32 AM

mining is not have risk,lost your money like gambling

mining does have risk. Google translate failed you though Undecided

hobala

full member

Activity: 154

Merit: 100

mining is not have risk,lost your money like gambling

picolo

hero member

Activity: 1022

Merit: 500

Quote from: Bananana on December 19, 2014, 10:24:46 AM

To me, mining is same as buying bitcoin. They are both risky but is consider investment. Gambling is going to primedice and you know the result immediately (Win or lose!!).

When you gamble you are likely to lose but if you mine smartly you are likely to win.

Bananana

sr. member

Activity: 481

Merit: 250

To me, mining is same as buying bitcoin. They are both risky but is consider investment. Gambling is going to primedice and you know the result immediately (Win or lose!!).

picolo

hero member

Activity: 1022

Merit: 500

Quote from: caga on December 19, 2014, 01:33:55 AM

Quote from: bigadam0101 on December 18, 2014, 01:45:29 PM

Quote from: picolo on December 05, 2014, 07:06:58 PM

Quote from: huffdaddy5 on December 05, 2014, 05:06:05 PM

Is putting money in the stock market gambling or an investment? I would ask the same question about mining. Hell mining gold and drilling oil is starting to get harder due to falling prices of gold and oil... There is always some inherit form of risk in anything you invest in.

If you are not skilled, putting money in the stock market can be gambling but if you apply the correct reasoning you are likely to win.

It is impossible to predict price now. So we can say that for the most part it is a gamble ..

Maybe by next year, it wouldnt be a gamble once the halving happens.

If you buy at 0.0011 and you make 0.00085/week with a stable of decreasing difficulty you are likely to ROI.

caga

full member

Activity: 238

Merit: 100

www.secondstrade.com - 190% return Binary option

Quote from: bigadam0101 on December 18, 2014, 01:45:29 PM

Quote from: picolo on December 05, 2014, 07:06:58 PM

Quote from: huffdaddy5 on December 05, 2014, 05:06:05 PM

Is putting money in the stock market gambling or an investment? I would ask the same question about mining. Hell mining gold and drilling oil is starting to get harder due to falling prices of gold and oil... There is always some inherit form of risk in anything you invest in.

If you are not skilled, putting money in the stock market can be gambling but if you apply the correct reasoning you are likely to win.

It is impossible to predict price now. So we can say that for the most part it is a gamble ..

Maybe by next year, it wouldnt be a gamble once the halving happens.

picolo

hero member

Activity: 1022

Merit: 500

Quote from: nwfella on December 07, 2014, 01:08:42 AM

When people ask me whether or not bitcoin mining is a gamble I usually tell them to think of it as more of a donation. Unless you really know what you are doing, have access to free or nearly free elctricity, and access to a data-center the size of a city block your basically donating money to hardware manufacturers to produce hardware that is pretty much guaranteed to be outdated in 6-9 months (tops). Sure, you'll earn a fraction of what you put into the hardware back in generated satoshi's, but the likelihood of your even recouping your initial investment is slim to none without some mighty creative day trading going on throughout the entire process.

If you buy GHS at 0.001/GHS (I am selling some as low) you can make 0.0038/month at current difficulty and the next difficulty is likely to be lower at this point... You could theoretically ROI in 2 and a half month and maybe really ROI in 3 or 3 and a half month

https://bitcointalksearch.org/topic/m.9876230

bigadam0101

newbie

Activity: 56

Merit: 0

Quote from: picolo on December 05, 2014, 07:06:58 PM

Quote from: huffdaddy5 on December 05, 2014, 05:06:05 PM

Is putting money in the stock market gambling or an investment? I would ask the same question about mining. Hell mining gold and drilling oil is starting to get harder due to falling prices of gold and oil... There is always some inherit form of risk in anything you invest in.

If you are not skilled, putting money in the stock market can be gambling but if you apply the correct reasoning you are likely to win.

It is impossible to predict price now. So we can say that for the most part it is a gamble ..

nwfella

legendary

Activity: 1610

Merit: 1000

Well hello there!

When people ask me whether or not bitcoin mining is a gamble I usually tell them to think of it as more of a donation. Unless you really know what you are doing, have access to free or nearly free elctricity, and access to a data-center the size of a city block your basically donating money to hardware manufacturers to produce hardware that is pretty much guaranteed to be outdated in 6-9 months (tops). Sure, you'll earn a fraction of what you put into the hardware back in generated satoshi's, but the likelihood of your even recouping your initial investment is slim to none without some mighty creative day trading going on throughout the entire process.

bityfreaky

newbie

Activity: 6

Merit: 0

In my opinion it is up to your style

picolo

hero member

Activity: 1022

Merit: 500

Quote from: huffdaddy5 on December 05, 2014, 05:06:05 PM

Is putting money in the stock market gambling or an investment? I would ask the same question about mining. Hell mining gold and drilling oil is starting to get harder due to falling prices of gold and oil... There is always some inherit form of risk in anything you invest in.

If you are not skilled, putting money in the stock market can be gambling but if you apply the correct reasoning you are likely to win.

huffdaddy5

newbie

Activity: 51

Merit: 0

Is putting money in the stock market gambling or an investment? I would ask the same question about mining. Hell mining gold and drilling oil is starting to get harder due to falling prices of gold and oil... There is always some inherit form of risk in anything you invest in.

sumantso

legendary

Activity: 1050

Merit: 1000

Quote from: FattyMcButterpants on December 04, 2014, 11:02:07 PM

Quote from: sumantso on December 02, 2014, 10:33:23 AM

Quote from: Argwai96 on November 24, 2014, 03:26:18 AM

Quote from: sumantso on November 23, 2014, 10:14:44 AM

In gambling you can win or lose, though on the average there will be a small loss due to house edge. In mining you can only lose, so its worse than gambling.

This is not true. If the difficulty increases at a slow enough pace then you can potentially earn more then the cost of the miner (or cost of mining contract for cloud mining) plus the cost of electricity. Although generally speaking, the cost of most miners is so high that the difficulty will need to increase at an unrealistically low pace

Even if the price doesn't increase, the difficulty will increase as newer miners are made. Their is only ones making a profit in all these are the mining companies.

Well the difficulty recently decreased (by a very small amount) the last difficulty adjustment, and could potentially decrease this adjustment as well. With a very low increase adjustment (or negative increase adjustment) environment miners could earn more money. Anyone buying a miner is essentially betting that the difficulty is not going to rise at a very fast pace

You have to keep in mind that newer chips are round the corner. The game of trying to get one up will always keep happening. The difficulty dipped recently but thats a blip and I fully expect it to continue rising.

Topic: Mining is Gambling? (Read 5095 times)