Post
Topic
Board Bitcoin Discussion
Re: Why is BTC in the toilet right now?
by
foggyb
on 06/08/2011, 22:47:52 UTC

the price of btc has very little to do with how much it cost to make them... its all about supply and demand.  its like gold and steal... doesn't cost more to mine gold, but gold is more valuable cuz there is less of it and lots of people want it....

You're just guessing now. Iron ore sells for around 113$ US per tonne, and 1/3 of that ore is converted to steel. The cost of mining gold is around $300 per ounce, and on average maybe 3 tons of ore are required to get one ounce.

The mining costs for gold are obviously MUCH higher because you've got to move much much more ore to get any metal.

So I would also imagine that your speculation in the link between the cost of mining bitcoin versus their price, to be also a guess. IE wrong.