Topic: What happens to price when block rewards "half"? (Read 802 times)
No price difference I dont think.
On one hand, some miners might lose interest in Bitcoin completely and sell everything, and that might cause the price to go down by an imperceptible amount.
Yah I think there was more than a handful sold off gigahash of GPU in Nov 2012, only to curse themselves when the price went 10x in March/April... (Decent GPUs were profitable into July, a little later if you had real cheap electric)
What happens to price when block rewards "half"? From a trending perspective is there a noticeable change in the coin price when the block reward is cut in half? I'm sure there is a percentage of miners that will stop mining because the profitability drops. I was just curious if there is an impact to the coin price.
Thanks!
--C
Thanks!
--C
1. Less people become interested in mining due to lack of reward
2. Value of existing coin increases
3. More people become interested in mining due increased value
Chain reaction ....Satoshi was a genius.
Spot on.
I wonder if Dogecoin value will be affected the same way that Bitcoin value was when the mining reward halved?
Interested to see... will the existing coins be more valuable?
Or will value plummet because it's no longer highly profitable to mine?
Bitcoin had a lot more places to spend it, as well as an entire industry built up around mining technology when it's reward halved...
Doge has a pretty dedicated community, but I'm pretty sure there aren't a lot of places to actually spend the stuff yet, nor are there mainstream investment firms offering "Dogefunds".
Interesting times we live in!
What happens to price when block rewards "half"? From a trending perspective is there a noticeable change in the coin price when the block reward is cut in half? I'm sure there is a percentage of miners that will stop mining because the profitability drops. I was just curious if there is an impact to the coin price.
The price is unaffected by changes in the block reward or the difficulty. On one hand, some miners might lose interest in Bitcoin completely and sell everything, and that might cause the price to go down by an imperceptible amount. On the the other hand, slightly fewer bitcoins are available to sell and that might cause the price to go up by an imperceptible amount. Of course, those two factors might cancel each other out and nothing happens to the price at all.
What happens to price when block rewards "half"? From a trending perspective is there a noticeable change in the coin price when the block reward is cut in half? I'm sure there is a percentage of miners that will stop mining because the profitability drops. I was just curious if there is an impact to the coin price.
Thanks!
--C
Thanks!
--C
1. Less people become interested in mining due to lack of reward
2. Value of existing coin increases
3. More people become interested in mining due increased value
Chain reaction ....Satoshi was a genius.
The mining difficulty adjusts itself every 2016 blocks for the same reason.
IMO if the demand increases along with popularity and main stream use it should make the price increases since the new amount entering the market would decrease.
What happens to price when block rewards "half"? From a trending perspective is there a noticeable change in the coin price when the block reward is cut in half? I'm sure there is a percentage of miners that will stop mining because the profitability drops. I was just curious if there is an impact to the coin price.
Thanks!
--C
Thanks!
--C
1. Less people become interested in mining due to lack of reward
2. Value of existing coin increases
3. More people become interested in mining due increased value
Chain reaction ....Satoshi was a genius.
It has only happened one time so far, on November 28, 2012.
Here is the 2012 MtGox chart from October 2 through December 2.
http://bitcoincharts.com/charts/mtgoxUSD#rg60zczsg2012-10-02zeg2012-12-02ztgSzm1g10zm2g25
Take a look and see what you think.
Here is the 2012 MtGox chart from October 2 through December 2.
http://bitcoincharts.com/charts/mtgoxUSD#rg60zczsg2012-10-02zeg2012-12-02ztgSzm1g10zm2g25
Take a look and see what you think.
There is an impact to the coin price but i am sure the mining bitcoin will continue
Takes a little while for the restriction to be felt, since all them other bitcoins are still booting around to be used and reused. The growth in demand is more relevant, if the demand is weak at the time, it might be barely noticed.
What happens to price when block rewards "half"? From a trending perspective is there a noticeable change in the coin price when the block reward is cut in half? I'm sure there is a percentage of miners that will stop mining because the profitability drops. I was just curious if there is an impact to the coin price.
Thanks!
--C
Thanks!
--C
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