Quote from: epii on August 03, 2011, 07:04:17 PM

Quote from: defxor on August 03, 2011, 07:00:59 PM

Quote from: lemonginger on August 03, 2011, 06:23:30 PM

By your analysis, bitcoins should have been super expensive when they were being mined by CPUs.

No. You might want to study Bitcoin's concept of difficulty to understand why.

You might want to read more than the first sentence of the guy's post before responding.

The rest was irrelevant due to the point I singled out. Mining with CPUs wasn't a problem until GPUs came online - and since they were so much more effective that caused a disruptive shift where all CPU based mining stopped. The same will happen in the shift from GPU to ASIC.

During that transition, anyone mining with the more effective equipment can sell their coins at great profit much cheaper than everyone else - who will still have to try to offload them though to pay for electricity.

Anyone not factoring in the shift away from GPU mining right now aren't doing their homework.