derivatives affects the underlying value of instrument from which it is derived
They can only affect the underlying asset if people trade that asset. And the asset price can only go down as long as people are selling it. While the big traders are selling, and pushing the price down, the real believers will accumulate the artificially cheap coins. At some point, the big traders are running out of coins to sell, and the market can go back to its normal value.
If panic breaks out, the system will likely collapse to the point that even if you find buyers, they can't buy,
Most of the trade is done on exchanges, not on the blockchain. They just update their internal database when someone is doing a trade, just a bank does when you transfer money. You only need the blockchain if you want to move your coins to the exchange to sell. The buyer just needs to transfer fiat money, so there's plenty of liquidity on the buyer's side.
Only 10% of gold that's mined is going to industry. The rest is for investing. Explain why we are paying $1200 for an ounce that only cost $400 to get out of the ground, while supply is 10x bigger than demand, and we already have 50 years worth of above-ground stockpiles.
Sounds to me like Bitcoin doesn't scale very well.
That's why developers are working on higher layer protocols, such as Lightning Network, that need to handle nearly all transactions, and only use the underlying layer-1 for settling combined payments.
Compare it to the time when we had a gold standard. People transacted with pieces of paper, each representing a bit of gold, but the gold remained in the vaults.
Why do costs of operating a mining rig go up as the price of bitcoins goes up?
Because the amount of Bitcoin that can be mined is fixed at 1800 per day.
As the price of bitcoin goes up, more people will start running a mining rig (or expanding it if they already had one). As the total mining hashrate goes up, the protocol will increase the difficulty level to bring the rewards back to 1800 BTC/day. This means that the difficulty (and therefore the operating cost) will tend to an equilibrium with the price.
i'd be happier if nasa, and those who do real science, refrain from tagging currently fashionable buzzwords like "machine learning", "artificial intelligence"
You don't have a problem with buzzwords like "internet" or "database" ?
Takes energy, water, fertilizer, time, etc - not at all free to create
Admittedly not completely free, but really cheap. And most importantly, there's no reason for the trade price to go much above the cost to grow one, which puts a natural ceiling on the bulb's prices. And while you can plug in the mining rig, you still need to pay for electricity and the equipment itself, and those costs go up with the price of bitcoin.
You can "split" them by reproducing them via seeds.
I was talking about splitting in the context of producing change for a transaction, or combining small amounts of change in order to make a bigger transaction.
There will be less than 21 million coins, because there's already a few million that are lost. But even a $21 trillion market cap is only 3 times that of gold. I wouldn't rule it out.
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derivatives affects the underlying value of instrument from which it is derived
They can only affect the underlying asset if people trade that asset. And the asset price can only go down as long as people are selling it. While the big traders are selling, and pushing the price down, the real believers will accumulate the artificially cheap coins. At some point, the big traders are running out of coins to sell, and the market can go back to its normal value.
Are you taking into account the regular halving of the reward ?
the guy who bought a Pizza for 20 bitcoins a decade ago
It was 10000 bitcoins.
But he got 2 pizzas.
If panic breaks out, the system will likely collapse to the point that even if you find buyers, they can't buy,
Most of the trade is done on exchanges, not on the blockchain. They just update their internal database when someone is doing a trade, just a bank does when you transfer money. You only need the blockchain if you want to move your coins to the exchange to sell. The buyer just needs to transfer fiat money, so there's plenty of liquidity on the buyer's side.
The world has $7 trillion worth of gold, most of it sitting quietly in vaults. Bitcoin could survive in a similar fashion.
All it would take is a well-placed government regulation here or a series of derivative trades there to destroy Bitcoin utterly
If I hold one bitcoin, and someone starts messing with derivatives, I still have one bitcoin. What if I just simply choose to ignore the derivatives ?
Only 10% of gold that's mined is going to industry. The rest is for investing. Explain why we are paying $1200 for an ounce that only cost $400 to get out of the ground, while supply is 10x bigger than demand, and we already have 50 years worth of above-ground stockpiles.
Sounds to me like Bitcoin doesn't scale very well.
That's why developers are working on higher layer protocols, such as Lightning Network, that need to handle nearly all transactions, and only use the underlying layer-1 for settling combined payments.
Compare it to the time when we had a gold standard. People transacted with pieces of paper, each representing a bit of gold, but the gold remained in the vaults.
Why do costs of operating a mining rig go up as the price of bitcoins goes up?
Because the amount of Bitcoin that can be mined is fixed at 1800 per day.
As the price of bitcoin goes up, more people will start running a mining rig (or expanding it if they already had one). As the total mining hashrate goes up, the protocol will increase the difficulty level to bring the rewards back to 1800 BTC/day. This means that the difficulty (and therefore the operating cost) will tend to an equilibrium with the price.
I'm pointing out that intelligence requires awareness and motivation that is not programmed by an external source
That would disqualify your own brain. Your motivation to survive is programmed by external sources.
i'd be happier if nasa, and those who do real science, refrain from tagging currently fashionable buzzwords like "machine learning", "artificial intelligence"
You don't have a problem with buzzwords like "internet" or "database" ?
Takes energy, water, fertilizer, time, etc - not at all free to create
Admittedly not completely free, but really cheap. And most importantly, there's no reason for the trade price to go much above the cost to grow one, which puts a natural ceiling on the bulb's prices. And while you can plug in the mining rig, you still need to pay for electricity and the equipment itself, and those costs go up with the price of bitcoin.
You can "split" them by reproducing them via seeds.
I was talking about splitting in the context of producing change for a transaction, or combining small amounts of change in order to make a bigger transaction.
What makes bitcoins different than tulip bulbs ?
A tulip bulb cost almost nothing to create. You can't divide or combine them. They rot. They don't fit in your wallet.
There will be less than 21 million coins, because there's already a few million that are lost. But even a $21 trillion market cap is only 3 times that of gold. I wouldn't rule it out.
His name is Tanenbaum.
I'm not at home, so I'm missing time with my family anyway
Use facetime/skype/messenger to talk to them from the car.
How does taking 5% off translate into paying for it?
You can't take 5% off the premium if you're not willing to provide the insurance in the first place.
The real cost comes when the premiums go up after the accident
So what ? Overall you're still paying less. You get 5% discount, and fewer accidents.
how do you determine if the coins are lost or the owner is simply holding to them in order to sell them later?
You wait until "later".
But she wasn't forgotten. There was a 60 minutes piece about her in the 1980's
Well, then she got more attention than most of the other pioneers.
when people mention women in the computer industry they talk about Ada Lovelace... and that's pretty much it.
And how many men can they name, besides Alan Turing ?
Some of them learned to program. And taught other women. This happened. Learn. History is a wonderful thing.
Sure. But that's different than claiming they "dominated" the field.
But nobody seems to talk about her that much these days. Weird.
I don't think it's weird at all. There have been thousands of pioneers in the field, and 99.9% of them are forgotten.
You make it clear that you want to know the person as a person
Sex is part of being a person.
Banning the host and refunding some money isn't even close to good enough here
It's good enough for AirBNB. The guests can go to the police themselves.
No, the insurance company believes it can sell more insurance, that's what matters to them.
If they wanted to sell more insurance by lowering the rates, they could have done that at any time before.
There's just one tiny problem: to change the algorithm, you need a majority of the miners to agree
No, you don't.
You need to majority of economic players to agree. They determine the value of the coin, and the value will attract the miners.