Post
Topic
Board Bitcoin Discussion
Re: How Bitcoin Centralizes Profit in the Hands of Miners
by
johnyj
on 05/07/2013, 19:58:45 UTC

It will always be the case (with Bitcoin) that specialization will tend make mining profitable only to a few and  benefit from economics of scale. 


This is only temperary due to the introduction of ASIC devices, soon ASIC devices will be everywhere and there will be no economics of scale (you pay more electricity to get more coins), just like early days of GPU mining, the most profitable ones are those have free electricity, those large mining farms typically have huge cost