Source: Adobe / 4K_Heaven
Reddit users looked back with no small nostalgia at a forum post by Bitcoin (BTC) founder Satoshi Nakomoto on August 7, 2010 – and found that the network architect changed a skeptic’s mind about the energy efficiency of BTC mining.
The post is from the Bitcoin Talk forum on a thread created by a user named Gridecoin.
In her original post, Gridecoin said that while BTC was a worthy venture, energy issues would likely plague it.
They write,
“I believe the energy input required for the Bitcoin economy is a serious barrier to its growth. I think in the long run, transactions may be even more serious than coinage in this regard, but I’m going to discuss coinage for now because it is more precisely limited and defined. The notion that the value of bitcoins is in some way related to the value of the electricity it takes, on average, to mint a block of profit is widely accepted, but the exact nature of this relationship is debatable. “
And after some back and forth with fellow contributors, Nakomoto rarely appeared in the chat to explain that the “situation” was no different from gold and its relationship to gold mining.
Nakomoto wrote:
“The marginal cost of gold mining tends to stay close to the gold price. Gold mining is a waste, but that waste is far less than the benefit of having gold available as a medium of exchange. I think this will be the same with Bitcoin. The benefits of the exchanges made possible by Bitcoin will far exceed the cost of electricity. Hence, not having Bitcoin would be the net waste. “
And Nakomoto went on to defend Bitcoin’s proof-of-work model. However, Gridecoin contradicted the idea that the very high computing load of coin generation is actually a necessity of the current system:
“As far as I know, currency creation is basically measured in terms of time – and if that is the basic control variable, then how does everyone roll as many dice as possible within that period? The ‘chain of evidence’ Coin ownership and transactions depend does not deviate from the method of spawning coins. “
However, the BTC founder replied: “Proof-of-work has the nice quality that it can be passed on by untrustworthy middlemen. We don’t have to worry about a chain of custody of communications. It doesn’t matter who tells you a longest chain, the proof of work speaks for itself. “
And that drew a positive response from Gridecoin who wrote:
“I agree with your analysis, and this thread actually changed my mind on my initial review. After studying the design of the Bitcoin network more closely and trying to understand the exact manner in which Bitcoin seeks to create value from the computational work invested, […] Now we think that Bitcoin “wastes” no computing work at all – instead, it works hard to get the maximum benefit from that computing work. “
And Gridecoin went a step further, claiming that “the government issued fiat currency may not have an obvious energy burden beyond pressure,” the “energy cost of hiring police officers to enforce economic honesty” that associated with mining tokens Energy costs far outweighed the Bitcoin network.
Modern redditors seem enchanted by the exchange.
One thought, “I love how smart Satoshi sounds.”
Some returned to the key points of the 2010 discussion, with one noting that “everything has a price” and complaining that “carbon clowns are trying to cause trouble”.
But another longed for the past days on the Internet and for times of civil exchange, of writing,
“I think it’s great that in 2010 we were able to have a proper conversation and a change of opinion. The discussions were not motivated by political prejudice and ultimately ended in ad hominems, but by the actual will to learn and understand things. It’s so refreshing to look back. “
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Learn more:
– Satoshi Nakamoto of NSA, AntiChrist and other Bitcoin conspiracy theories
– Satoshi Nakamoto Mined More Than 1 Million Bitcoin – Report
– Bitcoin miners buy oversupplied energy, turn to renewable energy – Nic Carter
– Why Bitcoin’s Energy Use Can Be Worth a Price
– Norwegian giant Aker goes on Bitcoin, defends BTC mining and eyed micropayments
– Bitcoin Mining in 2021: Growth, Consolidation, Renewable Energy and Regulation
– Bitcoiners can change their minds about PoS, “who knows,” says Buterin
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