Some 20,000 eth is paid to miners every single day, translating to an incredible $3 billion per year even at these bottom prices.
What for? Why are we paying miners such huge sums when they can’t even handle some kitties and cry about orphans even though they get paid for every single orphan in ethereum, and overall get $3 billion, paid by everyone.
Cryptokitties was going so viral, it would have not surprised us at all if it had made its way to the BBC ten o’clock news, but these greedy miners ruined the fun, capping ethereum’s transactions to around 1.4 million, hoping perhaps everyone is just going to pay them more money in fees.
Coincidentally, they capped ethereum’s capacity at precisely 1MB for every ten minutes, same as bitcoin. Eth is designed a bit more efficiently, so that allowed for 4x bitcoin’s transaction levels, but the actual moving data was still just 1MB, capped for both by miners.
Tiny. Absolutely tiny, even by small blockers admission who through segwit have increased it to 4MB. So what’s goin on with these miners exactly?
There was a time when mining was fun. You just download the client on your PC or laptop, click mine, and there, you have some magic internet money.
They now were a cryptonian, cheerful and happy, going out promoting this new money, even giving out for completely free.
That was one of the point of mining, to in effect give people free money so that they can themselves see what it’s like. Then you’d think these people would want to pay each other with it, or to accept it in their businesses, supply chains, so bootstraping a new economy.
But even geniuses can be fooled by reality, so a smart kid told everyone you can get more by mining with GPU. Please don’t, cried Nakamoto. Let’s have an honor pact to, effectively, not cheat, because it would be nicer if you grow the number of users, rather than greedily hoard it all.
It was only a matter of time, however, until that peaceful oasis became a mining race towards bigger and bigger institutional farms that consume more than some countries.
Where are they goin? Will they mine the sun next for energy? What are they doing? Why do they keep fighting each other when Nakamoto himself showed them the way with an honor pact?
Sure, you can’t really enforce it, but men of brain would willingly abide by it because they would make more profit if only they can exercise some self control, you’d think.
Yet these miners we now have, they’re not just greedy. They’re stupid! Not one of them contributes to eth’s development as far as we are aware despite making billions.
If it was still that dispersed space, then of course none of them would be making enough to provide such support, but their support would have been far superior. Because as true believers they would have wanted to use the crypto anywhere they could, bootstrapping an economy.
These institutional miners however don’t care one bit. They worship fiat and in that worship they crash our cryptos. Evidence in chief:
What crypto miner sells in fiat? What crypto miner even accepts fiat for payment? None other than the crypto miner who sells all his crypto for fiat because that’s all he cares about you’d think.
They should be out there using their bargaining power to make suppliers accept crypto payments, or employees, even pay a premium if they have to, bootstrap an economy. Instead, they’re not willing to do so even on their website!
What’s the point of them then? Bitcoin worked fine on CPU mining. Yes, added security is desirable, but how much security? It’s not like they can do anything. The most they can do is double spend their own coins. At which point you just re-instate back the real history or PoW fork them off.
So this race to higher and higher, more energy, more land, more hardware, all of it paid by cryptonians, makes no sense. What’s the point of it? Where are they going?
And it’s not only that they don’t increase crypto adoption in their own little economy, to the contrary worshiping fiat instead. But they don’t really contribute to the wider crypto-ecosystem either.
Say what you want about ICOs and for a select few there is plenty to say, but many of them at least train a new generation of eth coders, some of them are even working on sharding, some have launched temporary solutions like daapchains, and most of them are actually building something that could be very cool or useful.
While these miners do what for all these billions they get? They do nothing. They fund nothing except for as a little gesture in bitcoin. While in eth they literally fund nothing as far as we are aware.
And although eth is GPU, there are plenty of GPU eth farms in remote regions by institutional miners who don’t care one bit and are very happy to crash the price in their stupid race for more and more hashrate that seemingly aims to engulf the sun.
Ethereum does not need the current level of hashrate it currently has. A 51% attack is just not really viable because it would just be forked. And it’s not just us saying eth has way too much “security,” some eth devs say it too.
So if miners have lost their way, and they don’t want to play nice by halting their stupid race, and if they don’t want our kitties because of their endless greed, and if they’re crashing our crypto prices, then maybe they should get a big slap in their red face.
Cut the reward. $3 billion is far too much. The security is far too high. The selling is far too greedy. The race is far too stupid for them to have not realized by now they should just halt.
So send some of them bankrupt, and make them learn a lesson. There are rules in this game and if you don’t want to learn logic or are unable to comprehend then there is a price to pay. Go worship your fiat somewhere else.