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While yes, Bitcoin 𝗮𝗹𝘀𝗼 solved the energy destruction enabled by the dollar, what I said is actually much more basic than that.

What is "Proof of Work" actually?

It's nothing more than proving that you have the cheapest source of energy, and the fastest silicone. That's is.

The rewards pie is fixed. So the one who gets the biggest chunk of it will 𝗮𝗹𝘄𝗮𝘆𝘀 get the one who gets the cheapest (aka most efficient) energy to lower costs, and fastest silicone to produce more hashes.

If Bitcoin becomes big enough, miners will compete for finding and even producing the most efficient sources of energy (as they're already doing). In some cases they just happen to be renewables. Whatever source miners end up pushing and developing will be the cheapest, and as a result become most abundant that the rest of us will use as well. Likewise miners will push for more and more efficient and faster silicone (as they also are already doing), and the rest of us will also benefit from faster computers and smartphones.

Delta, Dirac 2y ago

The *implicit* error in your premise is thinking that mining is somehow special, and it is not.

EVERY technology and business must minimize input energy costs that go intot the thing being done. Bitcoin ensures that choices are made in this direction over time, by impoverishing those who fail to lower energy costs quickly enough.

HOWEVER, if every bitcoiner refuses to understand the fundamentals of technology itself, we will see fiat thinking repeated on bitcoin until bitcoin does its thing, via negativa, and the foolishness is drained out. But the foolishness can only drain out if there is somewhere for it to drain *toward*. And if 99.99% of the planet (really, the coins) insists in idiocracy (including OGs), the exit will be a small, slow one and civilization will slosh around in foolishness for 200 years!

Do people have the free will to choose a different path?

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Discussion

Delta, Dirac 2y ago

And damnit it's not "silicone" 🤦‍♂️

Sandra 2y ago

Are there any videos you would recommend on a Day in the Life that shows what it is like etc at a facility? I’ve read some articles but are there any good videos out there?

MTozoni ⚡😺 2y ago

It's not that direct though. As a business I seek to use the least amount of energy, but I buy whatever is available. Usually I have one choice. And electricity is typically a small part of my costs and revenues, one of many bills and choices I can pay or make.

As a power company, I sell whatever I have. I might develop other large power generating plants, but my customers are usually stuck just buying what is available, paying whatever price I charge. I have little incentive to innovate, since competition is mostly non-existent, and whatever comes up takes years to build because it would have to provide for a huge number of customers.

As a miner, my electricity is my main operating costs covering 99% of my expenses. And I'm more mobile, so while it could take a few months, I could pick up and move my operation somewhere where power costs become better. And I have a direct incentive to fund R&D into energy production if it helps me reduce some of those costs.

And if some country goes Idiocracy, like China did, miners pick up and move, like they did.