Maybe this kind of system is worth burning a lot of electricity for. It seems like the market is saying that it is.
Maybe this kind of system is worth burning a lot of electricity for. It seems like the market is saying that it is.
As for the other things, most people don't use Bitcoin as a secure way to make financial transactions at all. In fact it seems to be mainly used for speculation. And when it does get used for transactions, it's mainly for crime. Turns out most people are actually fine trusting an institution like a bank when making transactions.
Bitcoin is a really cool solution looking for a problem to solve it seems.
But it seems to me people aren't using Bitcoin for that, they're using it more as an investment.
Whatever sets the value of Bitcoin, it's not because it's a competitor to Western Union and the likes.
There is all kinds of other egregious waste (electrical and otherwise) going on in the world, how is this any worse than say millions of computer's online/burning power to play DoTA for instance (sorry MOBA fans, nothing personal. using it bc it has an enormous player base). It's a weird comparison but it gets the point across.
Plus, relatively speaking.. an entire year to power the country of Ecuador is the same amount of energy it takes to power the Bitcoin blockchain for a year doesn't seem that "wasteful" considering how many lives Bitcoin has changed & the miracle of being able to send up to $x,xxx,xxx USD (or any other currency) around the world, confirmed in less than 10 minutes for a paltry fee of ~$5.
I'm not sure why but there is a clear bias on HN regarding most Bitcoin articles.
This is just my opinion; take it with a grain of salt.
That's a miracle?
I've ordered physical products from all over the world - China, USA, Europe, India - and the payment confirmation always a) took just a few seconds and b) cost me just a few cents.
I also rarely bring cash with me, and pay most things with debit card. After punching in the PIN, the confirmation takes about 2 seconds to be printed. I'm happy, the seller is happy, we all carry on with our lives.
I don't know what it looks like on the receiving side, but I routinely buy games from GOG and Steam and they immediately let me know that "payment has been confirmed" after a purchase is made, so I am assuming that they see the confirmation of the transaction on their side immediately.
The only miracle I see here is how somehow $5 and 10 minutes per transfer is considered a great leap forward in efficiency.
Certainly bitcoin brings a lot to the table, but efficiency, so far, isn't it.
Countries where the currency is inflating at enormous rates, countries where the banking system is corrupt/out of date/not functioning, Bitcoin has changed these people's lives. Venezuela would be a good example from this year: https://www.forbes.com/sites/realspin/2017/02/03/why-venezue...
I believe the larger systematic problem with corrupt and non functioning economic instruments is not their corruptability but rather the structures that promote and rely upon on corruption which Bitcoin doesn't appear to resolve.