I don't think the mining can have too much of an effect on the strength of a coin once it takes off. If it exists and people trade with it then it doesn't matter really where the new influx of new coins comes from as long as it isn't all from a single person.
As more people start mining with higher computational power then profitability of mining will decrease because the same amount of coins are still dispersed.
But the vast majority of people who use a currency don't use it because they created it. I mean think of it in terms of say USD. I don't print them but I sure as hell use them and attribute value to them. As long as people do that the currency will hold it's value.
Topic: Will network effect kill all alt coins? (Read 537 times)
Network effect means as more people join one thing, others will join it too because it's reaching critical mass. So, Facebook had the network effect for social networks - people join it because they know people already on it.
I don't think it applies to virtual currencies though, or really any currency, because as long as there is a market (buyers and sellers) there is trade to be made. Volume of trade is lower, but it can still occur. Plus, some people have incentives to not use Bitcoin, as it may be unaccessible to them for whatever reasons. I think alt coins are here to stay, but only a few of them will really live for long-term
Litecoin seems to have momentum, and PPC seems to be taking off as well. I think both will be dominant alt coins
I don't think it applies to virtual currencies though, or really any currency, because as long as there is a market (buyers and sellers) there is trade to be made. Volume of trade is lower, but it can still occur. Plus, some people have incentives to not use Bitcoin, as it may be unaccessible to them for whatever reasons. I think alt coins are here to stay, but only a few of them will really live for long-term
Litecoin seems to have momentum, and PPC seems to be taking off as well. I think both will be dominant alt coins
Title says it all.
I would say yes, but I am still wondering should I buy some LTC just in case. But still I probably just buy more BTC with that money.
I would say yes, but I am still wondering should I buy some LTC just in case. But still I probably just buy more BTC with that money.
What is "network effect"? I think scrypt based alts do have a strong future once the ASICs really flood in.
Title says it all.
I would say yes, but I am still wondering should I buy some LTC just in case. But still I probably just buy more BTC with that money.
I would say yes, but I am still wondering should I buy some LTC just in case. But still I probably just buy more BTC with that money.
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