Topic: Will energy consumption be Bitcoins downfall ? - page 7. (Read 1698 times)

Consider this...

The amount of energy that is used Globally for bitcoin mining is DIRECTLY proportional to the product of the average exchange rate of bitcoins multiplied by the current block reward.

If the exchange rate goes up, the miners have more money per block mined to pay for more electricity.  If the block reward goes up, the miners have more money per block mined to pay for more electricity.  If the block reward goes down, the miners have less money per block mined to pay for electricity. If the exchange rate goes down, the miners have less money per block mined to pay for electricity.

Furthermore, approximately every 4 years, the block subsidy is cut in half.  It is currently 6.25 BTC per block, but in a few short years, it will be only 3.125 BTC per block and 4 years after that, it will be 1.5625 BTC per block.

If nothing else changes (the exchange rate stays pretty much the same, and the transaction fees per block stay pretty much the same, and the cost of electricity per kWh stays pretty much the same, and the ASIC efficiency stays pretty much the same), then we should see the amount of energy used for mining cut in half in a few years, and cut in half again 4 years after that.  So, by design, Bitcoin WILL become more efficient over time.

Now, if the exchange rate increases, the energy usage will increase proportionally, but from what you're saying that isn't a concern.

At least Musk is responsible for the crash we are having for the last 2-3 days. The first PoS coin came in to circulation many years ago. If PoS was so much superior to PoW, then it could have overtaken Bitcoin and the other PoW coins already. That hasn't happened because PoS algorithm has a lot of vulnerabilities. It is a free market and no one is forcing others to use PoW coins. Now you can't just badmouth the PoW coins, because the PoS coins are not making much movement in the market.

Just as people moved from gasoline powered cars to electric will investors also move from bitcoin to ecofriendly alts?

Musk had nothing to do with my post, its something I've been thinking on for years actually.  All my crypto assets are in Alts the last couple of years. Just pondering the question of the pow network evolving to a POS network from folks that actually design the programs. So far it seems its a no

I dont think BTC will ever be gone jus may nit be king one day

For the last 12.5 years, tens of millions have been using Bitcoin without an issue. And a few months ago, a rich asshole enters the scene and create a lot of hype. And then he dictates that we should change the way Bitcoin works. I don't think that it is going to work like that. PoW has worked so well for the last 12 years and I really don't want any changes to the algorithm. Those who want PoS are free to migrate to any other coin, which they feel is more energy efficient. But I am not in favor of any changes, just because Elon doesn't like the current setup. 

Sure some people indeed make such decisions with vehicles, but they're a huge minority. But take note that it's not really that much of a good analogy. Whether a certain miner uses renewable energy or not, it really won't affect the ability of the bitcoiner to use bitcoin. Whereas people who use EVs might be monetarily incentivized.

Bitcoin losing marketshare has always been a possibility and has been fluctuating a lot since forever(see: dominance metric). But Bitcoin not being king because of the energy usage? Lol no.

I think some are missing my point...  

There are lots of consumers that Love the Hummer,  yet instead of buying the gas guzzling Hummer the conscious is more at ease with an Electric Truck.
Forget all the engineered logic as the world of average consumers doesn't operate on it.

I also am not saying bitcoin wont be around if it continues on its way as is,
 only that it will lose market share and quite possibly not be King.  

I remember reading the other day that the Visa/Mastercard type payment networks collectively use only 20% of the energy consumption by Bitcoin. They are also engaged in exponentially more transactions every day - tens of millions. The fees associated with Bitcoin tend to cost more than comparative credit/debit card networks and ironically the time that people want to liquidate holdings (a stampede to the exit) can take a hefty chunk from a small scale "investor" due to fluctuating costs. At that point, the main positive working for bitcoin is the anonymity factor - which is slowly being diminished as retail or institutional investors gravitate towards fewer exchanges. Governments only like a certain amount of anonymity when it comes to the money supply, because too much can be abused by criminal actors, so this might lead to future regulatory crackdowns. It's getting harder to paint a hopeful future for Bitcoin, but as you say - others might be able to at least be more "green".