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What some people don't understand about BTC - Page 2
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What some people don't understand about BTC

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Comments

  • @Ole_Juul said:

    Paleoft said: If the payment gateway can list out the estimated transfer fee and estimated time to arrive, it can help.

    You mean some gateways don't tell you what you have to pay in order to pay the right amount? Surely one doesn't just keep guessing until it's right. I suppose one could just pay double, and then ask the vendor to refund the excess. I'm starting to think that paying by Bitcoin is just plain dysfunctional.

    This happened. After that, I add a few more cents or a Euro into every bitcoin payment. Just for good luck.
    However, I don't like this sort of guessing game. This is also the main reason that I prevent using BitCoin.

  • UrDNUrDN Member
    edited April 2017

    @Quartx said:
    Transaction confirmation speed is dictated by number of miners and fees of transactions, more nodes in the Bitcoin network simply means transactions are relayed faster to other nodes, which means nothing unless the tx is already confirmed / mined in a block

    Confirmation != transaction.

    The confirmation issue could be fixed without having to split or fork the blockchain so I don't see this as a critical issue.

  • nulldevnulldev Member
    edited April 2017

    @WSS said:
    Does the entire blockchain still need to be rebuilt, reread, and rebuilt for the minor changes and forks which may or may not follow the direct schema? Either way, really, it's just spergfodder.

    I don't think so. Segwit is backwards compatible for example. Segwit nodes are able to accept transactions from older nodes and is able to read the blockchain serialization format (chain that is stored on disk).

  • You pointed something important out. With Bitcoin, the fee is shifted over to the client, rather than to the host.

    It certainly isn't instant, with the volume of transactions going through the network every day. Miners are losing incentive because of the smaller block size, and as a result, the network is getting slower (imo).

    Fees are pretty steep for customers though; I've sent $100 through BTC and ended up paying a buck or two as fee. It would've been free for me with PayPal, or my credit card, since the fee would be on the host.

    I assume that this is why some companies charge less for people using Bitcoin, since the fee is no longer on them, and the ability of charging back is removed.

    /that's just my two cents.

  • bapbap Member

    Bitcoins = you mine from nothing to something. :D

  • bap said: Bitcoins = you mine from nothing to something. :D

    Investing $10K just to get you started with a rig isn't "nothing" in my books. And where I live we pay for electricity. YMMV

    Thanked by 1WSS
  • still dont have bitcoint until now, which one the site actually?

  • @denton said:
    still dont have bitcoint until now, which one the site actually?

    nsa.gov

  • denton said: still dont have bitcoint until now, which one the site actually?

    What does that mean?

  • randvegetarandvegeta Member, Host Rep
    edited April 2017

    UrDN said: The confirmation issue could be fixed without having to split or fork the blockchain so I don't see this as a critical issue.

    I'm no expert but I dont see how. Increasing the block size, or the rate at which new blocks are processed would require a fundamental change in the core software, would it not?

    This is a problem that in theory, could be resolved if sufficient people agree to a solution, but may result in a forking of the BTC system.

    The way I see it, supplementary systems will be the way to go. Where there are online 'accounts' or 'wallets', much like Paypal, where you simply hold a BTC balance stored in the form of a record in a database, or other mechanism. Transactions between accounts/users would therefore be instant and not burden the BTC network itself while also having all balances held by users backed 100% by actual BTC 'coins'.

    Then the native BTC network itself can be used for transacting much larger amounts, for which it would be more suitable. This would give BTC a more 'Gold' like status, online, and the supplementary systems would become the currency, so to speak.

  • bapbap Member
    edited April 2017

    @Ole_Juul said: Investing $10K just to get you started with a rig isn't "nothing" in my books. And where I live we pay for electricity. YMMV

    I just want to believe that a bank have an equal value of asset with the sum of digit and paper-money they distribute to their cust. And they dont transfer their electricity for no-one nor convert it to get more asset (who bought this electricity?). Also they dont convert $10K to became a gold mine, where is this mine anyway? I think that selling compute is better system than mining from nothing, because you paid for giving another people (who pay) a compute power. :) Even I think catching some pokemon and then selling the account still the better system, my cute nephew do this some time ago. :D

    But hm.. Let me think.. Hm.. Because nowdays are digital era, you may have another Idea about this, and it is me that couldn't understand bitcoin perfectly :) So, I am apologize.

    # sory for my bad English :)

  • randvegetarandvegeta Member, Host Rep

    bap said: and it is me that couldn't understand bitcoin perfectly :) So, I am apologize.

    I'm sorry but I couldn't understand anything you said in that post....

  • bap said: I just want to believe that a bank have an equal value of asset with the sum of digit and paper-money they distribute to their cust. And they dont transfer their electricity for no-one nor convert it to get more asset (who bought this electricity?). Also they dont convert $10K to became a gold mine, where is this mine anyway?

    Banks do not have a guaranteed value of asset and you could lose your money in a blink if you leave money in a bank - as many people have found out. Fortunately in many countries the economy is at least somewhat stable.

    I think you don't understand bitcoin mining. First you need a computer with a very fast video card, usually in the $500 to $1000 range. Then you need a number of those in order to get any volume happening. The cost of electricity to run those is considerable and in most cases the cost of electricity is about the same as the gain in bitcoin. In other words you pay about the same in mining costs as you gain in bitcoin.

    There are many online bitcoin mining calculators. Look at this one and at the bottom you will see the estimated earnings (profit) and it doesn't look good. http://www.coinwarz.com/calculators/bitcoin-mining-calculator

  • Ole_Juul said: computer with a very fast video card

    Those haven't been profitable in years. It's all ASIC now. Running GPUs now costs more in electricity than it produces in btc.

    The first trouble I think of with Paypal-like ledgers connected to the blockchain is that once it's just a database update that's under someone's control, it becomes possible to do chargebacks, which means they will happen, so you're back in the paypal situation. It's possible you've got a fix for that though.

    Thanked by 1Ole_Juul
  • Your insights into accepting Bitcoin payments as a hosting provider are appreciated. It's crucial to have a clear understanding of the benefits and challenges associated with cryptocurrency transactions. While Bitcoin offers several advantages, as you mentioned, there are complexities to consider, such as transaction processing times and fees.

    You're absolutely right that Bitcoin transactions are not instantaneous or free. These points should be highlighted to customers who might be new to using cryptocurrencies for payments. Educating clients on how Bitcoin works and what to expect can help improve their experience.

    As for mainstream adoption, it's true that Bitcoin and other cryptocurrencies still face hurdles before becoming widely accepted, mainly related to user-friendliness and scalability. However, as the technology evolves, it's possible that these issues will be addressed, making cryptocurrency a more accessible and practical payment method for everyday transactions.

    If you're interested in exploring the potential of cryptocurrency services further, you may consider reaching out to Consulting24 for a crypto license in Estonia, as they specialize in providing guidance and support in the crypto-related regulatory environment. They can help you navigate the legal and operational aspects of offering cryptocurrency services.

  • DPDP Administrator, The Domain Guy
    edited October 2023

    @mardosoo said:
    Your insights into accepting Bitcoin payments as a hosting provider are appreciated. It's crucial to have a clear understanding of the benefits and challenges associated with cryptocurrency transactions. While Bitcoin offers several advantages, as you mentioned, there are complexities to consider, such as transaction processing times and fees.

    You're absolutely right that Bitcoin transactions are not instantaneous or free. These points should be highlighted to customers who might be new to using cryptocurrencies for payments. Educating clients on how Bitcoin works and what to expect can help improve their experience.

    As for mainstream adoption, it's true that Bitcoin and other cryptocurrencies still face hurdles before becoming widely accepted, mainly related to user-friendliness and scalability. However, as the technology evolves, it's possible that these issues will be addressed, making cryptocurrency a more accessible and practical payment method for everyday transactions.

    If you're interested in exploring the potential of cryptocurrency services further, you may consider reaching out to Consulting24 for a crypto license in Estonia, as they specialize in providing guidance and support in the crypto-related regulatory environment. They can help you navigate the legal and operational aspects of offering cryptocurrency services.

    Your necropost on this subject as the CEO of Consulting24 is not appreciated.

    It's crucial to have a clear understanding of the rules associated with this forum.

    While this forum offers several advantages, there are complexities to consider, such as dealing with necroposters and spammers.

    Thanked by 2angstrom lewellyn
This discussion has been closed.