How does the sale of BTC by original miners affect the price of Bitcoin? How do miners rely on Bitcoin to “make a fortune”?
How does the miner’s selling of BTC affect the price of Bitcoin? How do miners rely on Bitcoin to “make a fortune”?
Mining work as a core component of the Bitcoin industry has a great influence on the early price of Bitcoin. In the future they will still be one of the most important players in the Bitcoin ecosystem, but as the market value of Bitcoin continues to increase, more external factors will have an increasing impact on their prices, such as the secondary market becoming more active, while Factors such as increased institutional interest in Bitcoin have laid the foundation for Bitcoin to become a mainstream asset.
The upstream of the Bitcoin industry chain is mainly composed of mining industry participants such as individual miners, mines, mining pools and Bitcoin mining machine manufacturers. FPPS (The Full Pay-per-Share) for miners mining includes mining rewards and transaction fees, while PPS (Pay-per-Share) only contains mining rewards. Transaction fees can change at any time and increase when the network is congested. With the halving of Bitcoin mining rewards, miners become more dependent on transaction fees. On the whole, the miner market is a self-balancing market, so there will be no long-term mining disasters. The impact of miners on the price of Bitcoin is mainly determined by the pressure of their rewards for selling Bitcoin.
Many people believe that Bitcoin is the greatest technological innovation since the Internet. They believe that:
First, Bitcoin can forever change the way individuals and companies do business.
Second, cryptocurrency does not involve banks.
Third, this is a digital fund transfer that is not manipulated by the government.
Fourth, no central bank has made an artificial valuation of the currency, causing inflation.
Fifth, it eliminates the potential “fraud” of credit cards.
Sixth, financial transactions conducted in legal currency must comply with different regulations in different markets.
Bitcoin has been in development for 11 years now. In these 11 years, the ups and downs have always been commonplace for Bitcoin. Many people hold Bitcoin as a safe-haven asset, but there are only two ways to obtain Bitcoin.
Bitcoin is definitely bullish in the future, but the premise is that you have Bitcoin in your hands. Currently there are only two ways to obtain Bitcoin, one is to buy on the secondary market, and the other is to directly mine on the primary market. The bitcoins in the secondary market are all dug out, and you have to do it at the top of the food chain.
At present, mining and buying coins are the most direct way to start with BTC. When the price of the currency rises, everyone’s income in the last year and two years is about the same, but when the price of the currency falls sharply, there will be a difference. For example, the price of BTC has dropped by half, and has not rebounded, so friends who buy coins directly will lose half of their principal. The development of mobile Internet has also brought new opportunities to the mining circle. Miners no longer need to buy mining machines by themselves, looking for cheap electricity bills everywhere, and do not need to spend 24 hours a day to maintain and maintain mining machines. They only need a mobile phone to download a mining software, and they can implement Bitcoin mining on the mobile phone in the cloud. As long as you have the computing power, the mining machine of the platform mine will dig coins for you 24 hours, and the mined coins will go to your account every day, at a glance, and refer to the exchange at any time.
1. Mining is equivalent to BTC
Compared with traditional stock funds, BTC does not have a limit of increase and decrease, and 7*24 uninterrupted trading, greater volatility and higher risk. When the market continues to fluctuate, fixed investment is the safest and easiest way to make money. Fixed investment can effectively overcome the fear of some investors, allowing everyone to enter the market in batches, which not only spreads the risk, but also reduces the cost of building a warehouse.
2. Mining is equivalent to buying BTC at a discount
Regardless of the price in the secondary market, the cost of obtaining BTC through mining is relatively low. Mining is equivalent to a 6–7% discount in Tuncoin, and the cost is much lower than buying coins in the secondary market. Cryptocurrency is always on the way to return to the capital, and mining and hoarding coins can sell coins to make profits when the price of the currency rises, and hoard coins to avoid risks when the price of the currency falls. What has risen is the amount of bitcoin, how do you think about this? Welcome to discuss