Post
Topic
Board Speculation
Re: Gold collapsing. Bitcoin UP.
by
jmw74
on 21/05/2015, 15:33:36 UTC

sure, they will go after those mkts too.  but, imo, smartphones is the Big Kahuna.  that is where the greatest money to be had lies.

remember, those OEM's that understand Bitcoin want to grab the majority of mkt share in developing nations by offering severe discounts to new previously unbanked customers.  get the phone into their hands, lock them in, and worry about significant monetization later.  the only way to do this, in the 21 model of mining chips, is to make the smartphones hash as a payback.  whether mining "on it's own" will be profitable or not, it's hard to tell.  but it could be with enough efficiency in the chip, assuming customers will attempt to pass on charging costs to "others", and coordinating the hashing power to generate blocks.  either way, i don't think that's the main thrust.  they want to get Satoshi's onto ppl's phones so as to allow the phones to "negotiate" micropayments for all sorts of unimaginable things like parking, fast lanes on hwys, who knows.  the OEM's will have one huge coordinated network to which they can sell all sorts of other products and services as well.  it's also their stated objective to decentralize mining which i think is a worthy goal even if it means they lose money on it.  i've seeing all sorts of crying about "centralization" as a result.  that's ridiculous.  who honestly thinks that bringing on millions, if not billions, of new individual miners into the economy will do that?  do you honestly think the #pools we have now will stay constant and just absorb all this new value?  no way.  as many new pools will crop up as device manufacturers who are willing to do this.  in fact, each OEM should set up their own pool if they want to maximize the gain.  it's easy.  i ran my own sort of pool back when i was pointing 15 or so of my own miners at my stratum solo mining server.  and i'm not a geek or CS.  it was relatively easy.  all sorts of new pool operators are going to come out of the woodwork to take any outsourcing that might occur.  why not?  free money in fees for easy work.  no, we are going to see a mushrooming of the absolute #pools as well as a spreading out of the distribution into a much more decentralized piechart than we've already seen.

there will be also many ppl here in developed nations who will want these mining phones.  esp with all the free electricity we have access to.

if you haven't listened to the audio dropt posted above, you should.  it highlights and expands on many of the things i have been saying about this.

What are you smoking? You forget what proof of work IS. It's proof of burn of electricity. You cannot earn more in the long term, than the value of the electricity you burned. How much electricity can a smartphone burn?

Charging a smartphone costs a whopping 41 cents PER YEAR.  Nobody gives a shit about those pennies, and even less about 25% of those pennies. Not even the poorest people in Africa, with free power and 10 smartphones, can earn anything close to a worthwhile return.

And that's assuming they have free power! Maybe shop owners NOW don't mind if people charge their phones, but what happens when their shop is filled with freeloaders who will just steal power and not buy anything? Of course they're going to cut off the free power.

I really can't believe people are falling for this bullshit.