Crypto Currency.

Discussion in 'Off Topic' started by Dah_Hunter, Dec 4, 2013.

  1. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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    So with Bitcoins being madness these days.. and a lot of us (Me included Kicking myself cause i didnt get in with bitcoins on the ground leve) what do people thing about this new Fad of Digital Moneys..

    CHeck out:
    http://coinmarketcap.com/

    I have decided to start mining Litecoins. i could be to late in the game, but a buddy of mine just got into it big time.. bought 32 R9 280X graghics cards that should generate him around $400 a day at the current value.. if Litecoins go up to even $100 a coin.. well you get the idea..

    So jump in the band wagon or not..

    Thoughts..
     
  2. mekazilla

    mekazilla Theoretician

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    Good plan, but what's his total investment running all that hardware? It also helps to live in a rental where you don't pay electricity.
     
  3. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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    initial investment is around $11k ish.. from what he was saying..
     
  4. mekazilla

    mekazilla Theoretician

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    I like to think I'll get into it but I'll probably not get "around to it"
    With 11k invested you need to have some sort of plan to cover those costs. If in a few months or so he can say "Yeah I have 15k in coinage" but that means nothing if you can't or don't cash out somehow or sometime.

    Funny enough, based on this discussion, the other guy in my office downloaded the mining client remotely to home.
     
  5. RyanV

    RyanV Member

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    I don't know enough about it to know whether or not it's a good thing to get into, but my instinct says stay away. Again, I don't know much about it, but my thought is you don't have anything backing the value of the currency. Other currencies have countries/governments behind them. Of course the argument these days is that countries are artificially devaluing their currency to increase exports.

    If you are rolling the dice on using it as in investment, why not play the stock market. Probably the same thing but with less risk in the stock market, no?
     
  6. Greg

    Greg Local Grumpy Moderator

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    I sorta understand how it works, but then again don't...And also don't have $11,000 to invest...

    Maybe I just don't understand how someone can just create a currency, bitcoins, whatever, and it magically becomes money.
     
  7. pitty

    pitty likes the tuna here

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    That's because it doesn't magically become money at all.

    Funny that bitcoin - a concept of disassociation from fiat currency - became a household name only thanks to its rapidly growing USD value. It's in a speculative bubble, and its "real money" value depends entirely on the willingness of people to buy bitcoins for real money, which they do largely because they're convinced that what they bought will be worth twice as much the next day. What can come out of turning the anti-money into an engine for procuring money?
     
  8. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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    im currently mining on my main gaming computer at home.. and thinking about building a dedicated mining machine.. for cheap though.

    however the best card to mine with, is sold out everywhere.. and selling more used then retail because of everyone jumping on the wagon.

    here is what your hardware can deliver:
    https://en.bitcoin.it/wiki/Mining_hardware_comparison
     
  9. Braden

    Braden New Member

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    I remember thinking in mid 2010 "A whole day to mind ONE bitcoin worth $0.04, screw that". Fact of the reality is, I probably would have pulled out the moment the things hit 5, maybe ten dollars.. and I would have been kicking myself even more now.

    Do I care enough to spend money and time to bother with all the other 'coins' (BBQcoins lol) hoping that one day they will jump to the value of bitcoins and I'll be laughing? No. The fact their value can plummet to nothing at any time is enough for me to not bother.

    If only I could go back to January and dump 15k into the things when they were at $13-14 each.. I think I just need to accept the fact I'll never get rich off of investing, nevermind investing in an internet currency.

    Now where is my damn time machine..
     
  10. RyanV

    RyanV Member

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    Investing is just a fancy word for gambling anyway. :D
     
  11. mekazilla

    mekazilla Theoretician

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    But! using just your average graphics card you could mine 4 lite coins in a month.
    Hardly an investment/gamble?
    It's all assuming you can sell them, just like you assume you'll walk out of the casino that one time you're up.
     
  12. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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    if only we could all go back in time.. we would al be rich.. lol.


    I dont like to Gamble with my money.. thats why stocks while appeal i can never get into..

    This however doesnt feel like gambling.. im not buying any coins just mining them.. so if i happen to get lucky and the value goes up.. great if it goes down, who cares.. all i did was buy a couple video cards.. which i do every year anyways..

    Its a no loose for me..

    however for my buddy that invested 10k.. i hope it works out for him..
     
  13. AgentJ17

    AgentJ17 I'm an adult... man!

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    I don't understand the actual process of mining, but could one generate a significant (Anything more than netting $40/month of cryptocurrency) amount with their average desktop/laptop while it idles while you are away?
     
  14. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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    all depends on what video card you have.

    use this hardware compare Chart:
    https://en.bitcoin.it/wiki/Mining_hardware_comparison

    and lest say for example you have a ATI AMD 7950, your going to do around 500 Mhash/s.

    then use this Calculater:
    http://www.litecoinminingcalculator.com/index.php?khs=800&diff=1964.864&cdiff=1964.864&fee=0

    Which says you would get around .2 a day.. so 7.6 a month roughly.

    and if you go here it will tell you want LTC (Lite Coins) are trading at:
    https://btc-e.com/exchange/ltc_usd

    which as of this morning is $35USD a coin. so that 7.6 is worth around $268 USD..

    keep in mind that is running it 100% of the time.
     
  15. IMPUL

    IMPUL Collector of fine japanese lawn ornaments

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    I'm still trying to figure out exactly what it even is?
    Like I've heard it's getting paid to crack code?
    I don't even understand how there's value in that.
    Or how to even do it. Like is it just a program that cycles and as its running performs computer magic and presto. $ . I heard there a finite amount of bitcoins
    So in theory it won't devalue until one person has a majority of them.
    Then if no one has them ( or they are to hard to use or expenese to buy)
    they don't care to use them an the market crashes.

    I can't help but wonder if its just 1's and 0's then how does it become something useful to society. Maybe it's just that I'm a tech dinosaur, I don't know.
     
  16. mekazilla

    mekazilla Theoretician

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    I'm of the opinion that the code work is completely arbitrary to add complexity to the process and get through legal loopholes.
    Some type of "work" likely has to be accomplished to be compensated in exchange.
    What would the controlling coin company gain from having users all around run video cards all day long in exchange for something of perceived value?
    There has to be something more behind all of it. What else could that be other than money? So if they just arbitrarily dispense "coins" to whoever runs the mining client where does the money go back to them?
    There's either some scheme yet uncovered behind it all or it's just a big cyber/social experiment/joke on us all by Neal Stephenson and William Gibson



    http://www.motherjones.com/politics/2013/04/what-is-bitcoin-explained
     
  17. Megatol

    Megatol Mr. Toyota

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  18. grayhamwiebe

    grayhamwiebe New Member

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    how do you "mine" said coins?
     
  19. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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  20. Dah_Hunter

    Dah_Hunter Looking over your shoulder, so you dont have to.

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    Side note.. you can just use your CPU to mine as well. however it will be super slow. so its not worth it.. but you can do it to play around if you really want.