[HN Gopher] Bitcoin miners in Abkhazia are causing blackouts in ...
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       Bitcoin miners in Abkhazia are causing blackouts in remote villages
       [video]
        
       Author : f311a
       Score  : 216 points
       Date   : 2021-03-12 09:43 UTC (13 hours ago)
        
 (HTM) web link (www.youtube.com)
 (TXT) w3m dump (www.youtube.com)
        
       | wruza wrote:
       | The speaker doesn't mention any blackouts, she only describes how
       | they shut down few illegal crypto farms (only 230 units of
       | unspecified model or power consumption).
       | 
       | I believe there is more to the story and that doesn't mean that
       | there is no blackouts, but for completeness sake this video is
       | incoherent with this thread's headline. Blackouts may be caused
       | by e.g. shitty, cheap, unmaintainable grid, or by local
       | corruption that feeds from these farms and doesn't officially
       | demand higher loads from energy providers to cover the
       | difference. My (completely subjective) opinion is that not taking
       | it at the face value is a pretty safe move. (Disclosure: russian,
       | _non_ pro-crypto guy)
        
         | f311a wrote:
         | That's true, they didn't mention blackouts in this particular
         | video, but that's one of the reasons they have been doing this
         | for more than a year.
         | 
         | There are a lot of articles in Russian on this subject.
         | 
         | In English: https://www.rferl.org/a/bitcoin-blackouts-russian-
         | cryptocurr...
        
       | aeturnum wrote:
       | I think some of the furor over bitcoin power usage is overblown.
       | It's true, as crypto folks say, that the power is doing
       | "something."
       | 
       | It's more that...a system where you will pay anyone who finds any
       | cheap power source anywhere in the internet-connected world no
       | matter how they get it is _obviously_ going to have awful
       | externalities. Even though most people will be reasonably ok
       | about it, enough people we be shitty enough to turn any worldwide
       | no-checks system into a hellscape.
        
         | ArkanExplorer wrote:
         | Its not just power usage - GPUs are essentially unavailable due
         | to Ethereum mining right now, which has broader societal
         | implications given the limited fab capacity. So we have a giant
         | misallocation of energy, and a giant misallocation of computer
         | hardware.
         | 
         | Trolley-bus and tram companies in my Eastern European city are
         | increasing fare pricing due to electricity price increases -
         | how much of that is due to increased demand from mining?
         | 
         | The very real, and very negative, implications of PoW mining
         | are becoming apparent.
        
         | fredfoobar wrote:
         | Something = securing the network. Not with armies, but with
         | math and computation.
        
       | f311a wrote:
       | Electricity there is very cheap (ranging from 0.5 to 1.5 US cents
       | per kWh).
       | 
       | The government has closed around 300 mining facilities in order
       | to reduce energy shortages.
       | 
       | There are tens of such videos on the Youtube channel.
        
         | thresh wrote:
         | The electricity there isnt just cheap, it's virtually free.
         | They just dont shut you off it you don't pay.
        
         | Nextgrid wrote:
         | This seems like the wrong approach. I don't see how closing
         | large-scale mining facilities will suddenly solve the problem.
         | 
         | As long as the energy remains cheap, mining will just move
         | underground. I could see miners offering ordinary villagers
         | kickbacks to "host" a few miners on their premises as to
         | conceal the energy consumption behind what appears to be
         | legitimate usage.
        
           | codecamper wrote:
           | You cannot move "underground" when you are sucking that much
           | power.
           | 
           | The government did what they should have done, and what all
           | governments should have done a long time ago and shut this
           | nonsense down. It's sucking up resources and only adding to
           | wealth inequality.
           | 
           | Bitcoin rewarded a small group of very smart people very very
           | very well. It then rewarded morons... hordes and hordes of
           | morons very very well too. We will be living with the
           | consequence of this for decades to come.
        
             | sodality2 wrote:
             | You can move underground. Put a PC in regular homes with a
             | few GPU's, kick back some money for the people letting you
             | do it, and the energy is dissipated across dozens of
             | regular homes. Sure, it would be a lot of work. But it's
             | certainly worth it given the very cheap energy.
        
             | BelenusMordred wrote:
             | > It then rewarded morons... hordes and hordes of morons
             | very very well too.
             | 
             | You can just say you are jealous rather than belittling
             | people like this.
        
           | georgyo wrote:
           | What is the alternative? Raise energy costs for people who
           | may not be able to afford it because of of a few abusers?
        
             | chii wrote:
             | raise the price by tiers. A person can only use so much,
             | but mining btc has infinite appetite. The price of
             | electricity should reflect the cost, and subsidies should
             | only be targeted at limited cases.
        
             | em500 wrote:
             | I'm curious _why_ electricity is so cheap there. If it 's
             | caused by subsidies, the alternative is obviously replacing
             | the subsidies by income transfers. If it's not caused by
             | subsidies, there must be a better way to profit from their
             | competitive advantage of being able to produce electricity
             | cheaper than anyone else in the world.
        
               | pas wrote:
               | Unenforced, uncollected bills. Also many mining ops just
               | steal electricity. Why can folks get away with it?
               | Because it's a failed state.
        
           | saagarjha wrote:
           | Laundering significant amounts of energy usage is nontrivial.
           | Underground mining will be an order of magnitude smaller in
           | scale.
        
         | tomcooks wrote:
         | In some parts of Italy it's 0.042 USD/kWh (so I assume it's
         | much cheaper there)
        
         | WanderPanda wrote:
         | Instead of trying to remove the symptoms, the government should
         | focus on increasing their peoples productivity to put them in a
         | position to pay higher electricity prices
        
           | ArkanExplorer wrote:
           | No, the Government should petition bigger Governments to
           | regulate (/ban) what is clearly a waste of Earth's and
           | Humanity's resources.
        
             | NullPrefix wrote:
             | Are you talking about capitalism in general or just some
             | specific activity?
        
               | ArkanExplorer wrote:
               | I am talking about Proof-of-Work being attached to an
               | 'asset' of astronomical value.
               | 
               | Governments should ban the transaction of PoW
               | cryptocurrencies on environmental grounds, in addition to
               | the misallocation of computer chips.
        
               | disruptalot wrote:
               | Bitcoin without PoW has no value. It's the entire reason
               | it works. Without expending a finite resource to produce
               | another, you can't constrain a money supply nor prevent
               | it from attacks.
               | 
               | Governments would be unwise to ban a voluntary system for
               | the same reason they don't ban any other uses of energy
               | that people question the value of (there are plenty). In
               | any case, it will not stop, only move. If not to another
               | massive farm in a favorable jurisdiction (that could be
               | captured) then to smaller sections where it is
               | unidentifiable.
        
               | zadler wrote:
               | > Without expending a finite resource to produce another,
               | you can't constrain a money supply nor prevent it from
               | attacks.
               | 
               | Correct, but it doesn't have to be energy intensive.
               | Bitcoin /could/ move to proof of stake, technically.
        
               | dgellow wrote:
               | > Bitcoin without PoW has no value
               | 
               | Exactly. It's broken by design. Let's get rid of it ASAP
               | and instead focus on blockchains that may have value
               | without the horrible incentives of PoW.
               | 
               | We shouldn't keep Bitcoin alive just because it was the
               | first successful attempt. That has been tried, it's now
               | clear it's not sustainable over the long-term. We should
               | learn the lesson and move on to a better approach.
        
               | keymone wrote:
               | > It's broken by design.
               | 
               | it's genius by design. so far nothing other than PoW was
               | shown to work.
               | 
               | > We shouldn't keep Bitcoin alive just because it was the
               | first successful attempt.
               | 
               | you're not keeping it alive, it exists in a free market
               | and there is demand for it.
               | 
               | > That has been tried, it's now clear it's not
               | sustainable over the long-term.
               | 
               | not clear at all. so far looks like it's the most
               | sustainable system of decentralized value storage and
               | transfer compared to all others.
        
               | chromanoid wrote:
               | >> That has been tried, it's now clear it's not
               | sustainable over the long-term.
               | 
               | > not clear at all.
               | 
               | https://digiconomist.net/bitcoin-energy-consumption/
               | 
               | So sustainable...
        
               | codecamper wrote:
               | Well then if we must choose between planet, and
               | greaseballs, we'll choose the planet any day.
        
               | findff wrote:
               | Communists hate proof of work.
        
               | chromanoid wrote:
               | There are many things governments rightfully ban for
               | ecological reasons (e.g. energy inefficient house
               | building, inefficient light bulbs, single-use plastic,
               | blast fishing, many forms of waste disposal). Just
               | because Bitcoin happens on the computer should not exempt
               | it from that.
        
             | danlugo92 wrote:
             | If bitcoin is so bad why not let the free market tank it
             | eventually?
        
               | UncleMeat wrote:
               | Because the free market isn't great at finding solutions
               | that incorporate externalities, especially not quickly.
        
               | keymone wrote:
               | externalities in this case are caused by energy
               | producers, not consumers.
        
               | danlugo92 wrote:
               | Hacker news both advocates for nuclear while targeting
               | bitcoin because of energy consumption, that's quite a
               | dichotomy right there.
        
           | f311a wrote:
           | You can't do that in a country where $200 is considered a
           | very good monthly salary.
        
       | tho234234987 wrote:
       | I'm surprised the rich farmers of India (yes, the kind
       | "protesting" recently) haven't started Bitcoin mining -
       | electricity for agriculture is free in much of India (along with
       | a lot more freebies, and no taxes). I guess it's mostly the
       | intermittent state of the supply that's the problem.
        
         | abledon wrote:
         | Aren't those people struggling to buy food? How are they gonna
         | afford an antminer?
        
       | kvakva wrote:
       | To what degree is the Bitcoin problem here and to what degree the
       | electrical grid?
        
       | joshsyn wrote:
       | Crypto is the best financial system designed. Period.
        
       | lanevorockz wrote:
       | Bitcoin is so inefficient that it is hilarious that people
       | complaining about the environment also buy bitcoin. If you want
       | to buy into crypto at least go for ethereal
        
         | poontang1 wrote:
         | Ethereum also uses Proof Of Work mining....
        
           | shawabawa3 wrote:
           | it's at least planning to switch over to proof of stake
           | though
        
             | TeMPOraL wrote:
             | How's that going? Been hearing that it's happening "really
             | soon now" for at least 3 years.
        
               | SXX wrote:
               | They actually started their path of getting required
               | amount of ETH stacked. But it's can still take several
               | years.
        
               | shawnz wrote:
               | The wheels are in motion now. The first block was
               | proposed on the proof-of-stake system on December 1st.
        
               | dannyw wrote:
               | I'm running a PoS validator right now. It's been live for
               | months.
               | 
               | Actual transactions will go through this very network in
               | probably a year.
        
               | capableweb wrote:
               | Moving forward, slowly but steadily. Vitalik been hinting
               | that the work to get of PoW might speed up now, as PoW
               | miners are not too happy about some proposed changes
               | (they'll earn less fees soon, and in the future they will
               | be unnecessary at all).
               | 
               | So, things take time. Who knew building a global
               | decentralized computer for everyone was hard work, gonna
               | be difficult and take long time?
               | 
               | (Side-note: no one has said that ETH 2.0 is "really soon
               | now", at least not anyone who either works on it or
               | watches the development closely. ETH 2.0 has been far
               | away for a long time, and it's still not close to being
               | deployed, so you might want to look for better sources
               | for your information)
        
           | latchkey wrote:
           | Large scale ETH miner here who uses excess hydro. ETH uses
           | PoW, but the long term plan for ETH is to move to PoS.
           | 
           | I'm going to address one large difference between ETH PoW and
           | Bitcoin PoW that people rarely talk about, which is the
           | hardware differences.
           | 
           | ETH did something relatively smart and tried to peg the
           | hardware to GPUs. This had the effect of ensuring that there
           | would not be the same speed race wars that (imho) plague
           | Bitcoin. Every new generation of hardware obsoletes the last.
           | You don't need the fastest/latest GPUs to be ROI efficient.
           | 
           | The system isn't perfect, people have made ASICs, but it
           | turns out (for now) that they aren't much more cost/speed
           | efficient than just using GPUs due to the memory hardness of
           | the ethash PoW algo.
           | 
           | As a result, the limited number of GPUs also limits the size
           | of the growth of the network. They are also more difficult to
           | setup and run at scale than Bitcoin ASICs. Finally, GPUs can
           | go back to doing other things (gaming/ai/ml/rendering/...)
           | and generally won't become e-waste.
        
             | sharperguy wrote:
             | PoS is never going to work. They have been delaying it for
             | over 5 years now. There is no way to switch to a proof of
             | stake system that has the same guarentees as proof of work.
             | 
             | On the other hand, most applications of ethereum don't need
             | a blockchain or proof of work at all, since they are
             | inherently vulnerable to attacks by centralized parties.
        
         | dgellow wrote:
         | Instead consider PoS blockchains, such as Tezos, Cardano, etc.
        
         | user-the-name wrote:
         | Ethereum is as inefficient as Bitcoin, just at a slightly
         | smaller scale.
        
           | ddeyar wrote:
           | It looks like the nft scene on ethereum is starting to
           | migrate to tezos, because gas is cheap there and it is PoS
           | since the beginning. I wonder how that would influece the
           | ethereum commmunity.
        
             | PretzelPirate wrote:
             | Small migrations to other chains doesn't affect the
             | Ethereum community. Multiple cheap NFT solutions exist on
             | Ethereum (such as Immutable X) that keep NFTs in the larger
             | Ethereum ecosystem instead of isolating them on a less used
             | chain.
        
       | meerita wrote:
       | I've thought mining wasn't profitable anymore.
        
         | cosarara wrote:
         | If your electricity is free, it's all profit after you pay for
         | the hardware.
        
       | EGreg wrote:
       | I warned about this a few weeks ago, and people were skeptical.
       | But sadly "in retrospect it is inevitable". Where is the flaw?
       | 
       | https://news.ycombinator.com/item?id=26220992
       | 
       | Let me refine my prediction to describe the transition period.
       | Bitcoin will actually deepen inequality in the world, by robbing
       | the third world countries of electricity first, and no one in
       | first world countries will care. The politicians of the third
       | world countries would be paid off similarly to how Nestle or
       | CocaCola buys up lakes and pollutes them. And privately owned
       | infrastructure and lakes will fall even faster.
        
         | tgv wrote:
         | The flaw is greed.
        
           | EGreg wrote:
           | Okay but the question is, about the flaw in the argument that
           | Bitcoin will increasingly cause blackouts in third world
           | countries and poor towns?
        
       | speransky wrote:
       | Typical case with russia occupied territories, no law, criminal
       | business. They supply electricity to this region but locals just
       | do not pay and do illegal connections. Mining business controlled
       | by Russia-Abkhazian criminal clans and FSB-backed
       | pseudogovernment structures, so this video is an episode of
       | internal war between them.
        
       | f311a wrote:
       | Related article: https://www.trtworld.com/asia/bitcoin-miners-
       | blamed-for-ener...
        
       | _Microft wrote:
       | We should define something like a _" Nakamoto scale"_.
       | 
       | A _Nakamoto Type I_ civilization would be one that converts all
       | available power of a planet into waste heat and funny numbers, a
       | _Nakamoto Type II_ civilization does that with all the power
       | output of a star and so on... basically the Kardashev scale [0]
       | but with the restriction that useful output SHOULD NOT be
       | produced [1].
       | 
       | Edit: lowered requirement level from MUST NOT to SHOULD NOT to
       | allow for situations in which a limited amount of energy could be
       | expended to either increase the hashrate further or to get closer
       | to the limits of computation [2].
       | 
       | Edit 2: the more I think about it, the more it reminds me of the
       | Universal Paperclips game.
       | 
       | [0] https://en.wikipedia.org/wiki/Kardashev_scale
       | 
       | [1] https://tools.ietf.org/html/rfc2119
       | 
       | [2] https://en.wikipedia.org/wiki/Limits_of_computation
        
         | Shivetya wrote:
         | I am curious how long after renewable energy displaces
         | conventional methods combined with the predicted big reduction
         | in pricing before heat becomes the next pollution bogey.
         | 
         | the cheaper it gets will just increase its use which for much
         | of the world is a great improvement in quality of life but
         | there is always some costs involved
        
           | sandworm101 wrote:
           | Renewable energy is heat-neutral, at least the solar/wind
           | types. The electricity is created from heat. Energy in
           | photons that would otherwise strike the planet and become
           | heat is turned into electrical power. In converting fast
           | moving air to slower moving air a wind turbine extracts heat
           | from the atmosphere and turns it into electricity. So now
           | matter how many turbines and solar panels we build, they
           | aren't pumping out any net heat.
           | 
           | I believe this holds true for hydro, but not so for
           | geothermal as it moves net heat into the biosphere.
        
         | karmakaze wrote:
         | Love "Universal Paperclips"--'completed' it multiple times in
         | one session. It's the core game without the fluff, uselessness
         | at its best. You've been warned:
         | 
         | [0] https://www.decisionproblem.com/paperclips/
        
         | sandworm101 wrote:
         | Arthur C. Clarke
         | https://en.wikipedia.org/wiki/The_Nine_Billion_Names_of_God
         | 
         | "overhead, without any fuss, the stars were going out."
         | 
         | Eventually we will have calculated all the necessary
         | derivations and the universe will come to an end.
        
           | behnamoh wrote:
           | > Eventually we will have calculated all the necessary
           | derivations and the universe will come to an end.
           | 
           | I'm sorry I didn't understand this. Could you explain?
        
             | sandworm101 wrote:
             | The parent postulates that a "Nakamoto" type 2 civilization
             | will convert all the energy of its star into heat doing
             | bitcoin calculations. Such a star would disappear from
             | visual light (Dyson sphere stuff). The Clarke story is
             | about a religion that uses a computer to calculate all the
             | names of god, bringing about the end of the universe. The
             | story ends with stars disappearing. Both have big computers
             | doing math that results in stars disappearing from the sky.
             | 
             | The joke is that rather than calculating the names of god,
             | maybe we will end the universe by finally getting to the
             | end of bitcoin calculations.
        
             | xyzzyz wrote:
             | You need to read the short story referenced above to
             | understand the context.
        
         | [deleted]
        
         | wyldfire wrote:
         | There is a unit named after Nakamoto [1] referring to
         | decentralization, adding another might get confusing.
         | 
         | [1] https://news.earn.com/quantifying-
         | decentralization-e39db233c...
        
           | [deleted]
        
         | abriosi wrote:
         | Ahah. Someone should write "BTC respects the second law of
         | thermodynamics"
        
         | blondie9x wrote:
         | Can we please start regulating crypto currency mining? This is
         | insane. I think it needs to be global mining regulation. Can
         | the UN do anything else? If we start taking all the energy used
         | to mine a given cryptocurrency it aggregates to more than most
         | countries per cryptocurrency. Not ok. I know this is
         | controversial but we have to at least debate this subject as we
         | face an existential threat from climate change and yes
         | cryptocurrencies are contributing to the climate crisis.
        
           | krapp wrote:
           | The entire purpose of cryptocurrencies that they and their
           | economies cannot be regulated by any government. A regulated
           | cryptocurrency is just fiat with more steps and a
           | contradiction in terms.
        
             | blondie9x wrote:
             | What about mining? We regulate gold / silver mining. Why
             | not crypto mining? It consumes more energy than the gold or
             | silver mining industries. https://coincentral.com/bitcoin-
             | mining-trumps-gold-mining-en...
        
               | krapp wrote:
               | That's not going to stop organized crime or states that
               | want to leverage influence over Bitcoin. Regulating the
               | mining of physical materials is easier because
               | governments can directly control the mines and regulate
               | shipping and industries, etc. But even then, mining is
               | full of cartels, slavery and blood money.
               | 
               | Unfortunately, I think the only thing that's going to
               | stop Bitcoin mining is the laws of physics.
        
           | fredfoobar wrote:
           | Do you have any reason to feel so despondent without any real
           | evidence? There's already plenty of people mining with
           | renewable/stranded energy sources, all mining will head this
           | way. My prediction is that the "energy consumption" arguments
           | against bitcoin will disappear in 5 years.
           | 
           | People are gonna tell us (bitcoiners) that the USD is secured
           | by the powerful military of US behind it and we're supposed
           | to accept it as a positive, but if we say that we're going to
           | use electricity to secure the network with nothing but math
           | and computation, we're instantly hated by the same people.
           | What gives?
           | 
           | How can you be ok with wars and threats of violence to
           | enforce the value of a currency, but not computation and
           | electricity? I just don't understand it.
        
             | blondie9x wrote:
             | You are trying to brush off criticism with a red herring.
             | The US military doesn't secure USD... and we need to have a
             | conversation about energy consumption and Bitcoin. We need
             | to regulate mining for it the same way we regulate other
             | mining on the planet. Physical or digital or still uses
             | energy and we need to have a conversation and look at
             | options. Not just dismiss critics for pointing out the
             | obvious.
        
               | fredfoobar wrote:
               | > The US military doesn't secure USD
               | 
               | The dollar is literally backed by the extraction and sale
               | of oil (for dollars), which itself is enforced by the
               | largest consumer of oil in the world, the U.S. military,
               | and they secure the trade routes with their aircraft
               | carriers and subs. It's called the petrodollar for a
               | reason.
               | 
               | I'm not dismissing criticism, I'm just questioning your
               | line of criticism. Everyone will accept a fair regulatory
               | regime, many of you are calling for an outright
               | banishment, that's unacceptable.
        
             | blondie9x wrote:
             | People think if you are for controlling energy consumption
             | and regulation of cryptocurrency mining you are against
             | cryptocurrencies themselves. That is false.
        
               | fredfoobar wrote:
               | To argue with statements like this: "If we start taking
               | all the energy used to mine a given cryptocurrency it
               | aggregates to more than most countries per
               | cryptocurrency." just sounds disingenuous, it seems like
               | they haven't done any research whatsoever, they just woke
               | up to this news and got outraged.
               | 
               | The energy consumption in clothes dryers, transportation,
               | christmas lights etc. all will fall under "more than most
               | countries" category. You are just constructing a
               | narrative based attack.
        
             | blondie9x wrote:
             | Think about it like this new energy capacity is added that
             | is sustainable but the cryptocurrency mining part of grid
             | keeps consuming and eating more of the grid then newly
             | added renewable capacity it would be a wash and we wouldn't
             | achieve sustainability commitments and be able to mitigate
             | climate change. You can't just say well if Bitcoin mining
             | is renewable then we are ok. What about the rest of the
             | grid? They need some of the newly added renewable capacity
             | as well as growth continues. TLDR if new renewable capacity
             | added is less than growth of mining and current use of
             | mining we get no where.
        
               | fredfoobar wrote:
               | * You are talking as if there is a linear scaling of how
               | much energy is consumed by a "miner" on the fly. This is
               | false.
               | 
               | * Most renewable/stranded energy mining operations have
               | their own energy source that is not going to be shared by
               | someone else.
               | 
               | * Bitcoin's energy consumption doesn't scale with the
               | number of transactions on each block.
               | 
               | * Most of the bitcoin has already been mined, the
               | incentive to "mine aggressively" is decreasing over time.
               | 
               | * "What if bitcoin uses all the energy", like the top
               | poster on this thread was talking about, they were
               | mocking it to say that all of the energy generated by the
               | sun will be used for mining eventually, is this a fair
               | argument? If such extremist thinking took hold, we could
               | use it to subdue pretty much all progress. Did we think
               | that there will be gold miners digging up land everywhere
               | and we won't have a place to live?
        
               | fredfoobar wrote:
               | Most of the arguments against, sound like the same
               | arguments against things like cars (vs horses). "Do you
               | think we'll make all those roads just for cars to go
               | on?", "Cars don't work on dirt roads, they get stuck all
               | the time", "What if you run out of gas in the middle of
               | nowhere?" "You will run over people and kill them in an
               | accident" "Cars cause pollution"
        
               | JoeAltmaier wrote:
               | Making ones own arguments is a great idea. Mocking others
               | is not. Re-read the site rules.
        
               | fredfoobar wrote:
               | "Rules for thee, but not for me"
               | 
               | 1. https://news.ycombinator.com/item?id=26435464
               | 
               | 2. "Be kind. Don't be snarky. Have curious conversation;
               | don't cross-examine. Please don't fulminate. Please don't
               | sneer, including at the rest of the community."
               | (https://news.ycombinator.com/newsguidelines.html)
        
               | blondie9x wrote:
               | Bitcoin energy consumption is rising as mining is more
               | competitive and more rewards with rising price. The
               | consumption of bitcoin mining is increasing. Can you stay
               | calm? I am not trying to say lets give up on
               | cryptocurrencies I am saying we need to have serious
               | conversations about energy consumption and controlling
               | mining energy consumption. When people get really
               | defensive and angry it doesn't help.
               | 
               | https://digiconomist.net/bitcoin-energy-consumption
        
               | fredfoobar wrote:
               | I am calm, don't patronize me.
               | 
               | look at this comment:
               | https://news.ycombinator.com/item?id=26440168
               | 
               | They straight up want destruction, without even
               | considering merits of the new technology.
        
           | ArkanExplorer wrote:
           | You regulate the fiat onroads.
           | 
           | If miners cannot sell their coins, they can't pay the
           | electricity bills.
           | 
           | Bitcoin will always be around, but with sufficient fiat
           | blockages the value plummets.
           | 
           | Governments should announce that people will have a year to
           | sell all their coins (the price will tank immediately
           | anyway), and then buying and selling of PoW coins will be
           | banned.
        
             | fredfoobar wrote:
             | If you think "lack of electricity" is going to stop bitcoin
             | mining, you are mistaken. You are just hoping for doom on
             | an asset you don't understand or don't like, it's just not
             | a good way to argue against something.
        
         | Isinlor wrote:
         | This is basically what all life does.
         | 
         | Thermodynamically, life can be described as an open system
         | which makes use of gradients in its surroundings to create
         | imperfect copies of itself.
         | 
         | Crypto currencies still have a problem with creating copies of
         | itself, but humans are happy to oblige.
        
           | jf22 wrote:
           | Comparing life itself to crypto is ridiculous.
        
             | monkeynotes wrote:
             | Isn't crypto ridiculous too? Rai stones look objectively
             | more sensible and they are ridiculous.
             | 
             | I'm not saying the technology is ridiculous, I'm just
             | saying the overall implementation and outcomes would look
             | like a madness to someone from the past or indeed the
             | future.
        
               | quickthrowman wrote:
               | Rai stones are less weird than they look once you learn
               | that some super expensive art is held in freeport
               | warehouses and stays there even when bought and sold to
               | different owners. Valuing a painting you own but never
               | see at millions of dollars that gets bought and sold to
               | others who never see it isn't that much different than
               | saying a certain immobile Rai stone is worth X of Y.
               | 
               | Cryptocurrency is more ridiculous than both of the above,
               | imo. Rai stones can be used as material, art can be
               | looked at and enjoyed, cryptocurrency is random numbers
               | controlling access to a ledger.
        
             | Clewza313 wrote:
             | Not entirely. Energy utilization is a common proxy for
             | technological development. If a society is plowing tons of
             | energy into crypto mining, then by definition _somebody_ is
             | getting utility out of it. (Which doesn 't preclude it all
             | being a Ponzi scheme, but that's another story.)
        
               | eurasiantiger wrote:
               | Life, the original RNA Ponzi scheme.
        
               | almost_usual wrote:
               | Makes you wonder if there are any other RNA Ponzi schemes
               | in the universe.
        
             | pibechorro wrote:
             | Ok Dad.
        
             | Isinlor wrote:
             | It's not, unless you think that e.g. cyanobacteria causing
             | the Great Oxidation Event were somehow objectively more
             | useful than cryptocurrencies.
             | 
             | Mind you the Great Oxidation Event wiped good chunk of life
             | back then.
             | 
             | Mainly because oxygen was toxic to anaerobic life and it
             | also oxidized methane making Earth into a snowball.
        
               | maxerickson wrote:
               | For all us, uh, air breathing mammals, yes, the great
               | oxidation event was a great deal more useful,
               | objectively, than cryptocurrencies.
        
               | Isinlor wrote:
               | The main point is that this hunger for resources without
               | regard for consequences is the very core of life.
               | 
               | We did not exist back then. And cyanobacteria did not
               | have a great plan of creating mammals.
        
               | maxerickson wrote:
               | Note that I qualified my statement. I didn't say that the
               | great oxygenation event was objectively useful to the
               | moon, I said it was objectively more useful to air
               | breathing mammals than running difficult computations to
               | control write access to a ledger.
               | 
               | The random waste from cryptocurrencies just turns into
               | heat, so I expect it opens up ~zero new possibilities.
               | Have fun though!
        
               | Out_of_Characte wrote:
               | How would you even define 'more usefull' in this context?
               | 
               | How is cryptocurrency waste heat different from bank
               | server waste heat? Only because crypto has a dramatically
               | worse efficiency? I guess both my crypto wallet and my
               | bank account are products of waste heat that produce zero
               | new possibilities.
        
               | maxerickson wrote:
               | The comparison was to _oxygen_.
               | 
               | And then I'm separately making the claim that using proof
               | of work won't set the stage for anything interesting in
               | the future, no matter how much heat it generates.
        
               | bobthechef wrote:
               | "Use" is always in relation to an someone's or
               | something's end. Without knowing what the relevant ones
               | are, the comparison fails.
        
             | est31 wrote:
             | From the outside view of an alien observer, is there any
             | difference to us plastering mars with solar panels for
             | crypto mining vs plastering mars with suburban
             | developments? Would we, had we a powerful telescope pointed
             | at a neighbouring solar system, be able to tell the
             | difference?
        
               | jf22 wrote:
               | Can I be clear you cannot find a clear distinction
               | between a made up currency and places where humans live?
        
               | est31 wrote:
               | I can, but I'm a human. My point was: Can an _outsider_
               | discern it? If they can, would they put much meaning to
               | it?
        
           | zepto wrote:
           | Not really.
           | 
           | Life transforms matter and energy into increasing structure
           | and complexity.
           | 
           | A classic pathological life-like process is the paperclip
           | maximizer.
           | 
           | The paperclip maximizer transforms matter and energy into a
           | regular structure of low complexity.
           | 
           | Crypto is one step worse than the paperclip maximizer. It
           | converts matter and energy into pseudo-random numbers.
           | 
           | The only structure discernible within the randomness is the
           | mechanism that induces organic lifeforms to work on behalf of
           | crypto.
        
             | marci wrote:
             | Now let's clippyfy the universe:
             | 
             | https://www.decisionproblem.com/paperclips/index.html
        
             | bordercases wrote:
             | Hear hear, can I get an amen for Komolgorov?
             | 
             | https://www.fon.hum.uva.nl/rob/Courses/InformationInSpeech/
             | C... https://www.fon.hum.uva.nl/rob/Courses/InformationInSp
             | eech/C...
        
       | Jonnax wrote:
       | How does the network protocol of bitcoin work?
       | 
       | Would governments be able to block it?
       | 
       | Can it be DDoS-ed?
        
         | silentsea90 wrote:
         | The slowness of BTC adoption and growth are its strength.
         | Within a decade, BTC investors will reach the highest offices
         | of decision making bodies, and will be wealthy enough to shape
         | the future of policy. States bodies will adapt not compete,
         | similar to how they've adapted to the internet.
        
         | mrweasel wrote:
         | Without knowing for sure, I think you could just block port
         | 8333. The individual miners could surely be DDoS, if you know
         | their IP.
         | 
         | I wonder if it's possible to just generate junk transactions
         | and throw them at miners.
        
           | rand49an wrote:
           | That would close things off for most nodes but there are lots
           | of nodes running on Tor or custom ports. Not to mention other
           | channels like satellites that are used for transaction
           | distribution.
           | 
           | Junk transactions could stop a few nodes but all transactions
           | are verified locally on nodes and won't be broadcast if they
           | turn out to be junk.
        
         | viraptor wrote:
         | They can't realistically block it. Normally the miners are
         | trivial "structure in, best hash out" functions. The logic of
         | choosing the transactions and preparing new blocks can be
         | completely independent and distribute the work over any number
         | of remote miners. (That's pretty much how mining pools work)
         | 
         | The network transport would be trivial to change, or tunnel
         | over (for example) SSH.
         | 
         | DoS also wouldn't be likely - if you have power to do that and
         | can identify the connection, you're likely to have access to
         | the physical address.
        
           | postalrat wrote:
           | Find where a lot of power is used. Go in with guns.
        
             | DINKDINK wrote:
             | What's your expectation for how effective that would be?
             | Let's compare some existing bans, say prohibited cannabis
             | farming:
             | 
             | * Large energy use (lights, fans, pumps?)
             | 
             | * Very characteristic energy use (high, relatively
             | invariant)
             | 
             | * Massive government budgets/surveillance to attack
             | producers
             | 
             | * The need to move non negligible amounts of physical goods
             | 
             | * Moral campaigns by governments and social groups that
             | it's bad for society
             | 
             | And yet the banned-market drug trade revenue is something
             | on the order of 80 billion dollars per year or 220 million
             | a year.
             | 
             | Bitcoin miners, currently:
             | 
             | * Large energy use (fans, HVAC, ASICs)
             | 
             | * Very characteristic energy use (high, relatively
             | invariant)
             | 
             | * Mix of jurisdictions banning or allowing it.
             | 
             | * Only need about 2G / Shortwave radio worth of bandwidth
             | to produce blocks
             | 
             | * Moral campaigns by governments and social groups that
             | it's bad for society
             | 
             | Miner revenues need to be on the order of 10-50 million USD
             | per year to sustain themselves. That's almost 10 times less
             | than the failed (relatively global) "war on drugs"
             | 
             | Add to it that by defecting from national socialist forms
             | of storing one's wealth, rather than just momentarily
             | indulging in vice, one improves their position, I'd suspect
             | your hypothetical ban won't work that well.
        
         | csomar wrote:
         | They can't. You only need around 1mb/minute bandwidth to be
         | able to operate. Changing ports can be easily circumvented by
         | using a proxy. It's much easier to detect the guy who is
         | drawing all this electricity.
        
         | Nextgrid wrote:
         | You can probably fingerprint the protocol and block it, but
         | then it will just turn into a game of cat and mouse.
        
         | kpommerenke wrote:
         | Yes, governments can take Bitcoin down:
         | https://joekelly100.medium.com/how-to-kill-bitcoin-part-1-is...
        
         | dgellow wrote:
         | Governments can regulate at the edge:
         | 
         | - regulate electricity consumption
         | 
         | - regulate bank accepting crypto-related money
         | 
         | - regulate exchanges listing Bitcoin or other crypto-
         | currencies, etc
        
           | solosoyokaze wrote:
           | This is why distributed exchanges and DeFi are important, as
           | they eliminate the last two problems.
        
             | dgellow wrote:
             | I wasn't listing problems but ways governments can regulate
             | crypto-currencies even if the network itself is out of
             | reach.
             | 
             | I'm myself in favor of cryptocurrencies (though, definitely
             | not Bitcoin) AND for some level of regulation.
        
         | mclightning wrote:
         | something size of a government could do a %51 attack on the
         | whole network.
        
         | charcircuit wrote:
         | It's a custom unencrypted P2P network protocol. A government
         | could detect someone using this protocol and block it. It
         | technically can not be DDoS'd. Though if you were you could
         | DDoS the bootstrap nodes and that would make it harder to join
         | the network. If governments block communication it can cause
         | the network to split making it unclear which "half" of the
         | network is the real one. It would create a fork.
        
         | fredfoobar wrote:
         | You're asking this, in 2021?
        
         | JumpCrisscross wrote:
         | > _Would governments be able to block it?_
         | 
         | Deep packet inspect the network, raid current users and miners,
         | then degrade the network for a few months for everyone. After
         | that, random enforcement. Incentivise by letting police
         | privately seize Bitcoin from the populace.
         | 
         | The idea that a protocol is immune to state violence because it
         | can be sneaky is absurd.
        
           | silentsea90 wrote:
           | I think the slowness of BTC adoption and growth are its
           | strength. Within a decade, BTC investors will reach the
           | highest offices of decision making bodies, and will be
           | wealthy enough to shape the future of policy
        
       | bruiseralmighty wrote:
       | Isn't the real issue here one of incentives? BTC is of obvious
       | criminal use in regards to laundering money and trading in
       | blackmarket goods and services, but clearly there is a much
       | broader appeal to more mainstream use as well. Activists,
       | journalists, dissidents all need to have lines of cash and stores
       | of value that cannot be taken down with one phone call to Chase
       | bank.
       | 
       | For someone in a relatively free Western country, BTC looks like
       | a ridiculous waste of energy. However, from the perspective of
       | people hiding from political and state oppression BTC is a
       | godsend. Refugees can safely and securely liquidate their assets
       | before fleeing a country as one example. This gives them more
       | freedom to choose where they want to re-locate to and allows them
       | to use some saved wealth to get up and running faster once they
       | find a new place to live.
       | 
       | On HN I get that this view on the matter will not be popular, but
       | I think BTC and Proof of Work generally have attached something
       | very much like a market price to the cost of state overreach. If
       | governments had acted better, BTC would never have reach the
       | height it is at today. It would still be a hobbyist curiosity
       | with a substantial but fringe criminal interest.
        
         | silentsea90 wrote:
         | Trillions of dollars get printed diluting your wealth and you
         | have a problem with the hardest form of wealth known to man. I
         | boldly predict that you or your progeny (depending on your age)
         | will realize in 10 years that you should have bought BTC. I
         | encourage you to research why non money launderers like Jack
         | Dorsey, Elon etc. are buying BTC.
        
       | 7_my_mind wrote:
       | So now the developing world will start using their energy to mine
       | BTC instead of manufacturing goods for us to consume. Will this
       | ultimately cause inflation then? Because demand for goods will
       | not be met?
       | 
       | This crypto experiment keeps yielding more interesting results.
        
         | silentsea90 wrote:
         | Yep, trillions of dollars got printed but BTC energy will cause
         | inflation.
        
         | eejjjj82 wrote:
         | "This crypto experiment keeps yielding more interesting
         | results."
         | 
         | I completely agree. I don't pay attention to a lot (or any)
         | online economic circles, but I'm astounded at the pushback of
         | high profile economists (Krugman, et al) against the shear
         | novelty of the moment for their discipline.
         | 
         | Regardless of whether or not someone "believes" in bitcoin, the
         | reality of the times is that cryptocurrencies are creating
         | fantastically interesting economic experiemnts right under our
         | noses. This seems like it would be the dream come true for an
         | economist from an observational/curiosity perspective
        
           | dgellow wrote:
           | These "experiments" have real life consequences on "subjects"
           | who never agreed to be part of it.
           | 
           | We should maybe create a crypto-country where crypto-
           | currencies fanatics are free to experiment all of this on
           | themselves instead of all of us... (it's a joke, please don't
           | create a crypto country!)
        
             | javert wrote:
             | So you don't want to live with us, and you don't want to
             | let us live separately.
        
             | k_sze wrote:
             | You need to have bigger ambitions. Let's turn the whole
             | planet into a crypto experiment. We can change the name of
             | the planet Earth to ... Crypton.
        
         | maxerickson wrote:
         | Industry that needs lots of energy already locates in places
         | with stable grids.
        
       | simonebrunozzi wrote:
       | I've never heard of Abkhazia before, so I had to look it up. It's
       | a partially recognized state, part of Georgia [0].
       | 
       | There's even been a war in 1992-1993, after the collapse of the
       | USSR [1].
       | 
       | Sometimes I'm still surprised of my ignorance about important
       | facts that happened during my lifetime.
       | 
       | Anyway, the next question for me was: why is electricity so cheap
       | there, and should I assume it's cheap 24/7, and therefore
       | generated with hydro?
       | 
       | Electricity is largely supplied by the Inguri hydroelectric power
       | station located on the Inguri River between Abkhazia and Georgia
       | 
       | there's even a study on Electricty consumption, if you really
       | want to dig deeper into it. [2].
       | 
       | [0]: https://en.wikipedia.org/wiki/Abkhazia
       | 
       | [1]:
       | https://en.wikipedia.org/wiki/War_in_Abkhazia_(1992%E2%80%93...
       | 
       | [2]:
       | http://iccn.ge/files/energy_study_results_abkhazia_2019_eng_...
        
         | nickik wrote:
         | I didn't know about it either until I read:
         | 
         | - Stalin: Paradoxes of Power, 1878-1928
         | 
         | It has a lot of fun stuff about how the Abkhazia communist
         | party and their interaction with the main party in Moscow. A
         | lot of interesting history.
        
         | theragra wrote:
         | People are pretty poor there, and Russia supports them a lot
         | (you can have russian passport if you live there). I assume
         | most infrastructure is supported using russian help. It is
         | logical Russia does not want her money spent by miners, who are
         | probably not even from Abkhazia.
        
           | onetimemanytime wrote:
           | There is Russia and then Russians there running things. They
           | have different goals. If Abkhazia is anything like I think it
           | is...you just pay someone up and you can do whatever you
           | want. That includes stealing electricity, or killing someone.
           | 
           | "Now I'm in power so it's my chance to grab something" is the
           | mentality in a lot of countries.
        
             | oleganza wrote:
             | *virtually all of countries.
        
           | eingaeKaiy8ujie wrote:
           | Abkhazia is a Georgian territory occupied by Russia. Russia
           | is the #1 reason for poverty in the region.
        
             | refraincomment wrote:
             | Mind to explain? Russia uses electromagnetics do diminish
             | the rate of ideas of the population?
        
             | SXX wrote:
             | I'm in no way supporter of Putins regime and I totally
             | agree that he'll do everything to keep all countries around
             | poor and unstable, but come on. Original war in Abkhazia
             | happened when USSR crashed and it was your usual ethnic
             | conflict. Not some orchestrated hybrid war like in Ukraine,
             | but real civil war. I've been in both Abkhazia and Georgia
             | and people of both countries relise that and count themself
             | the righteous side.
             | 
             | Yeah it's obvious that Russian establishment have all
             | reason sto keep this conflict unresolved as it's prevent
             | Gerogia from joining NATO or EU. But even if regime in
             | Russia gonna change there is no easy solution because
             | ethnic conflict didn't go anywhere.
        
               | varjag wrote:
               | Yeah no, that's not quite the full story. Abkhasian
               | regime persists largely due to continued presence of
               | Russian troops. Much of the residual economy in the
               | break-off region revolves around the Russian bases as
               | well. The rest of it is the lowest tier Russian "visa
               | free" tourism, also guaranteed by Russian military
               | presence.
               | 
               | Same goes for South Ossetia and Transnistria: these
               | conflicts would long be history without Russian military
               | footholds.
        
               | levosmetalo wrote:
               | > Same goes for South Ossetia and Transnistria: these
               | conflicts would long be history without Russian military
               | footholds.
               | 
               | You mean "history" in a sense that the local population
               | would be ethnically cleansed from the Georgian majority
               | and the ones that survive relocated to Russia? And then
               | they would be marked as aggressors because they dared to
               | try protecting themselves with arms, and refused to just
               | disappear from the territory where they have been living
               | for centuries.
               | 
               | Yeah, we saw that many times, and the only criteria that
               | leads to the "correct" conclusion who is right and who is
               | wrong, who is aggressor and who defends himself, who is
               | the victim and who is villain is whether US/NATO or
               | Russian/Other troops are involved on one of the sides.
        
               | varjag wrote:
               | No, I mean they would continue to live on the territory
               | they lived for centuries (somehow without apparently
               | being ethnically cleansed by Georgians all that damn
               | time). And without Russian involvement it would have long
               | since went into participatory politics.
               | 
               | And it's not just a speculation, there was a perfect A/B
               | test. Ajaria, another autonomous region of Georgia, long
               | since had independence ambitions too. However that
               | conflict fizzed out without notable violence.
               | 
               | The difference from Ossetia? It does not border Russia
               | and there weren't substantial troops stationed at the
               | time of USSR dissolution.
        
         | flohofwoe wrote:
         | Funny enough, the name immediately jumped out to me because of
         | video games ;)
         | 
         | The free map coming with the DCS World flight simulator is a
         | large part of the eastern Black Sea and western Caucasus, and
         | there's quite a few missions and campaigns in the Abkhazia and
         | South Ossetia regions (some with a heavy Russian narrative,
         | some from Georgian and NATO point of view, so all in all quite
         | balanced I'd say). Having never heard of Abkhazia and Ossetia
         | before either this lead me to read up on their (mostly
         | troubled) history.
         | 
         | Who says video games aren't educational.
        
         | Uberphallus wrote:
         | I've been there during my urbex days.
         | 
         | Frozen conflict zone, not unlike Transnistria, South Ossetia or
         | Nagorno Karabakh. The border is militarized, except the
         | Georgian side which doesn't seem to consider Abkhazia a threat.
         | Lots of abandoned infrastructure because the native Georgian
         | population was killed and/or fleed, and hasn't been harnessed
         | for some reason. Abkhaz cross the border daily to buy basic
         | stuff from Georgia. Only approved vehicles can cross, so most
         | people do it walking with "taxi drivers" servicing both sides
         | of the border. Most of the foreigners there are Russians
         | looking for a cheap seaside vacation. There are streets named
         | after Shamil Basayev (!).
         | 
         | Actually I left Abkhazia illegally, since you have to collect
         | the visa inside (as there aren't diplomatic missions anywhere)
         | after crossing the border, and the offices were closed all 3
         | days that my visa was going to be valid for. So yeah, arguing
         | with soldiers for 4 hours in my rudimentary Russian wasn't
         | great.
         | 
         | Border crossing: https://i.imgur.com/dFMnwsJ.jpg
         | 
         | They made me delete the picture but LPT: keep the SD card aside
         | for the rest of the trip, then run an undelete tool on it.
         | 
         | AMA.
        
           | kspacewalk2 wrote:
           | It's worth noting that the Georgian _majority_ population was
           | ethnically cleansed (with  >5000 civilians killed) from
           | Abkhazia by separatists, with full support and encouragement
           | of Russia[0]. The preeminent Chechen terrorist Shamil
           | Basayev, later responsible for Beslan school siege and other
           | attacks, took part in this war on the Abkhaz side, after
           | being trained for the purpose by the GRU (Russian military
           | intelligence of the Salisbury/Novichok fame)[1]. I guess they
           | kind of lost control of him afterwards, oops.
           | 
           | [0] https://en.wikipedia.org/wiki/Ethnic_cleansing_of_Georgia
           | ns_...
           | 
           | [1] https://en.wikipedia.org/wiki/Shamil_Basayev
        
             | [deleted]
        
             | Uberphallus wrote:
             | Yeah, it was crazy. The fact that it was the majority meant
             | loads of stuff would stay empty/unused, which remains true
             | even today. I have footage from a massive seaside resort in
             | the center of the capital [0] to give people an idea.
             | 
             | Unfortunately, there are always two sides to every story,
             | and both sides were pretty nasty to each other[1]. But
             | agree, it's hard to side with Basayev on this war, or any
             | other really.
             | 
             | [0] https://www.youtube.com/watch?v=OSi88CLRuZE
             | 
             | [1] http://www.unpo.org/downloads/AbkGeo1992Report.pdf
        
           | lsllc wrote:
           | Is this the Abhazian side? The bridge not far from Zugdidi?
        
             | Uberphallus wrote:
             | You see the Abkhazian side (pic taken from the Georgian
             | side). Exactly that bridge! Have you been around there?
        
           | theandrewbailey wrote:
           | > They made me delete the picture but LPT: keep the SD card
           | aside for the rest of the trip, then run an undelete tool on
           | it.
           | 
           | Undeleting photos from an SD card saved data for me once.
           | Just shut it off once you've noticed you messed up, and don't
           | touch it. Thank goodness for FAT32.
        
           | Cthulhu_ wrote:
           | SD cards should be pretty easy to hide as well, unless they
           | do X-rays on your shoes and the like I guess?
           | 
           | Could put a micro SD card in a SIM card slot in your phone
           | maybe.
        
             | Uberphallus wrote:
             | True. But if you check the picture carefully, you will see
             | a soldier spotting me with binoculars :)
        
             | tomcooks wrote:
             | Many Android phones have a slot for either SIM+SD or a
             | double SIM, so yes
        
             | saalweachter wrote:
             | Eh, the problem with practicing amateur spycraft is that
             | then you look like a spy if anyone notices.
             | 
             | Sure, maybe they're extremely unlikely to find an SD card
             | in your shoe -- extremely! -- but if someone does find an
             | SD card in your shoe, they're going to want to know why.
             | 
             | Just leave it in your pocket and dump it in the X-ray bin
             | with the rest of your pocket trash. It's unlikely anyone
             | will notice, and if they do, you're just a tourist with an
             | SD card for your camera. Maybe they throw it away, maybe
             | they copy it, but it's unlikely to end with you spending
             | four hours being questioned about why it was in your shoe.
        
         | forinti wrote:
         | It's a beautiful place. Stalin used to have a house there.
         | 
         | If it weren't for its current situation, it would be a great
         | destination for tourists.
        
         | Giorgi wrote:
         | Electricity is free for them, because Georgia considers it's as
         | part of Georgia. Abkhazia right now is local mafia-run region
         | by Russian occupant forces (Russia actually has military bases
         | there).
         | 
         | Nothing is going on there economically, it is slow decaying
         | society so their only income is mining operations like this.
        
         | situationista wrote:
         | From a quick glance at the video looks like they're illegally
         | tapping power from the grid, and got shut down.
        
       | firstSpeaker wrote:
       | Plague of our time. Same thing has been happening in other
       | countries, e.g. Iran [1]. Blackouts, climate impact, electronic
       | waste, etc.
       | 
       | 1- https://www.coindesk.com/inside-irans-onslaught-on-
       | bitcoin-m...
        
       | trixie_ wrote:
       | Idea to solve the crypto energy problem - sell space heaters as
       | dual purpose crypto miners. People need space heaters. They buy
       | them, but they also mine crypto (as a free byproduct of the space
       | heating). The number of crypto mining space heaters out there
       | dilute the value of dedicated mining so much that people don't
       | bother with it anymore. Even buying the space heater to make
       | money from mining crypto doesn't make that much money - due to
       | the fact that so many space heaters are crypto miners. Problem
       | solved?
       | 
       | Edit/Multi-Reply: Heat pumps are efficient, but they don't
       | replace all practical use cases for a space heater.
        
         | leshow wrote:
         | What do you do with them in the summer? What about warmer
         | climates where you don't need a heater?
        
           | trixie_ wrote:
           | The idea is there are enough people using space heaters on
           | the planet at any given time to dilute any gain from
           | dedicated crypto mining.
        
         | arsome wrote:
         | I live in an area of Canada where home heat is pretty much
         | provided exclusively by natural gas but electricity comes
         | mainly from nuclear and hydroelectric sources.
         | 
         | Interesting to think about, but by firing up a miner on my
         | graphics card at off hours I'd probably lower my overall fossil
         | fuel consumption and make some money on the side.
         | 
         | Anything I'm missing here?
        
           | make3 wrote:
           | plug a usb thermometer and write a script to throttle the
           | hash rate when the temperature is high
        
           | NDizzle wrote:
           | With the current crypto prices I don't think you're missing
           | anything. I think you're on to something.
        
         | monkeycantype wrote:
         | people do that, but it's not an efficient way to heat. The most
         | efficient heaters pump heat from somewhere else, even when the
         | source has a lower temperature, like the way a fridge pumps
         | heat from inside the cold fridge to the air in your house. (my
         | apologies for assuming you live in a house if you are actually
         | a 12 dimensional entity that lives on a space whale)
        
         | _Microft wrote:
         | Heat pumps are approximately three times as efficient as
         | electric heating.
        
           | shawnz wrote:
           | They also don't provide very much heat output when it's cold
           | outside
        
             | foepys wrote:
             | It needs to be really cold. Like -15degC and some go as low
             | as -40degC. They degrade in efficiency but are still better
             | than a space heater. In the worst case they are exactly as
             | efficient as a space heater.
        
               | carlob wrote:
               | worst case being 0 K outdoor temperature?
        
               | foepys wrote:
               | Rather 1:1 electricity to heat conversion.
        
               | shawnz wrote:
               | Sure, but at the point where the efficiency is
               | sufficiently poor, why not run a Bitcoin miner instead of
               | the heat-pump-turned-space-heater?
               | 
               | As I understand most heat pumps in cold climates are
               | usually installed with "backup heat" sources for this
               | reason.
        
               | _Microft wrote:
               | A mining rig that runs only a few days per year when the
               | outside temperature is too low sounds very inefficient.
               | This is the same problem that the plan to store excess
               | renewable energy by producing hydrogen has. If you have
               | the hardware, you would want to have it running as much
               | as possible.
        
               | [deleted]
        
           | DINKDINK wrote:
           | "Pumping water down hill is more efficient than pumping it
           | sideways"
           | 
           | The CoP of a heat pump is dependent on the temperature
           | potential across the heat pump. Caution to the reader who
           | thinks one could pump heat from frigid external temperatures
           | into their very warm, high temperature house: the very
           | scenario your post suggests they should be used.
           | 
           | Heat pumps are great for increasing thermal potentials and
           | moving heat across them (not for sourcing energy). They're
           | also great for balancing an internal thermal state that is,
           | on-net, in balance (think of a large office building in the
           | morning, one side is being heated by the sun, the other side
           | is frigid -- heat pumps can balance the internal energy
           | demands instead of simultaneously cooling one part of the
           | building and heating the other)
        
             | NDizzle wrote:
             | Heat pumps list that temperature in the documentation of
             | the unit.
             | 
             | I think most of the midwest figured this out during the
             | recent cold snap. It turns out the cut off for my heat pump
             | is 10F.
             | 
             | I'm in the process of finalizing the installation of a wood
             | stove insert to provide backup heating during the cold
             | months. Switching to all electric feels a little like
             | burning cash to me.
             | 
             | If you're in the US, there is an incredible 26% tax credit
             | available on stoves (wood and pellet) that are more than
             | 75% efficient. This covers both the cost of the unit AND
             | installation. It's good for about the next 2 years and went
             | into effect in early Jan.
             | 
             | https://www.hpba.org/Advocacy/Biomass-Stove-Tax-Credit
        
             | monkeynotes wrote:
             | > Caution to the reader who thinks one could pump heat from
             | frigid external temperatures into their very warm, high
             | temperature house
             | 
             | I heat my house with a heat pump. I live in Eastern Canada
             | and we regularly have -20c days and I still heat my house
             | to a comfortable level. Our pump is >=100% efficient all
             | the way down to around -25c at which point it's less and
             | less effective.
             | 
             | These pumps are extremely popular around here. We heat
             | during the winter and cool during the summer with the same
             | unit.
             | 
             | I consider our heat pumps to be our primary source of heat
             | in our house. We only run the gas furnace if we get into
             | sub -25c days which is not often, we had none this year.
        
           | pas wrote:
           | That needs good insulation first, or am I missing something?
           | Usually space heaters are warmer, but less efficient. Heat
           | pumps are great if you have time to warm up the space but if
           | it's insulated like an open field, you'll be always cold.
        
             | _Microft wrote:
             | Why wouldn't one insulate the space? Heating is no end in
             | itself.
        
             | zejn wrote:
             | Heat pump is essentially a "reverse mount of a
             | refrigerator", putting heat in and throwing cold out. In
             | the worst case, the pump will degrade into a heating
             | element, only outputting heat from electricity (which is
             | what a regular electric heater does).
             | 
             | Insulation is not a requirement, but will lower your energy
             | needs to keep a steady temperature.
        
         | lainsoykaf wrote:
         | This can't work because it just raises the efficiency of
         | mining. That means mining will become cheaper. That means your
         | reward is higher. That means you can mine more for the same
         | money. That means every miner does that, increasing the part of
         | the heat that's wasted.
         | 
         | In the end, the exact same amount will be 'wasted' as before.
        
           | cwkoss wrote:
           | Consumers that are already using (electric) space heaters are
           | already paying $X/mo in electricity.
           | 
           | If they are getting value out of a bitcoin-mining space
           | heater, it is justified to run at any time you want heat,
           | because by getting a BTC rebate of any amount would make it
           | cheaper to run than a space heater.
           | 
           | If enough miners are mining for the purpose of heat, it will
           | push non-heat miners out of the market, because the heat-
           | miners are rationally willing to mine at any price (any
           | 'rebate' on expected electricity->heat costs is useful),
           | whereas the non-heat miners can only rationally mine when btc
           | reward exceeds electricity cost.
           | 
           | (We are a LOOONG way from the majority of miners using the
           | heat, but just wanted to point out there is a hypothetical
           | future where the market could eliminate heat-wasted mining)
        
         | Cthulhu_ wrote:
         | There's a few companies that already do that, they rent out
         | servers / processing power (probably via a spot market) which
         | are in people's homes chooching along. The spot market will
         | always be loaded because at some point one of the many cryptos
         | will find it worthwhile.
        
       | codecamper wrote:
       | This is awesome. I just wish more governments would wake up to
       | the fact that crypto does nothing beyond suck resources and warm
       | the planet. If you want to bet on things that go up & down, there
       | is the stock market where things go up and down 20%+ every single
       | day.
        
         | solosoyokaze wrote:
         | Bitcoin has provided the non-boomer generations an investment
         | vehicle and inflation harbor that has no competition. I know so
         | many younger people who now have some semblance of retirement
         | savings due to crypto. Fiscal policy and wealth inequality have
         | made crypto the only option for savings in 2021.
        
       | Proven wrote:
       | Remote villages are also causing blackouts to bitcoin miners.
       | 
       | The problem is (as almost always) incompetent and/or corrupt
       | government officials. Why can't they manage?
       | 
       | They either won't (getting paid in BTC to mismanage) or can't.
       | Perhaps they should replace those bums or privatize power
       | utilities. Or give up independence, if they can't manage
       | themselves.
       | 
       | Another way is simply increase the price to everyone to whatever
       | is going rate in that wider area plus 10%, and the miners will
       | likely move out in no time. Although it'd be better to privatize
       | everything.
        
       | hoppla wrote:
       | EU regulates how much power my vacuum cleaner and my lightbulb
       | can use. And to what end? So that some greedy miner can buy
       | cheaper electricity to make numbers and heat! The only way I can
       | see that the environmental problem called Bitcoin can end, is to
       | make it a more expensive.
       | 
       | Power prices could be increased by usage to motivate consuming
       | less and punish those who use too much.
       | 
       | There will still be countries that mine and burn coal so that
       | others can mine Bitcoin. But I believe there are more sustainable
       | industries that could benefit from these wasted resources
        
       | ryanmarsh wrote:
       | Look over here at the electricity use of Bitcoin peasant, not
       | over there at what Wall St does to the world.
        
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       (page generated 2021-03-12 23:03 UTC)