Bitcoin

[chaosmachine]

I dont understand

 

the total number of bitcoins will be 21 million when they're all distributed. that graph shows the drop off in new coins being given out. eventually all 21 million will be in circulation, and after that, no more are being handed out.

[chim]

the basic idea is this:

 

1. there's no inflation. there's a fixed number of coins in existence, and no more will ever be created.

 

I dont understand, looking at this graph it says there are approx 3 billion bitcoins circulating and that number is constantly increased over time until it tapers off. How is this constant addition of new bitcoins NOT inflation?

As you can see the supply of bitcoins will more than double within 10 years. Unless the demand for bitcoin increases proportionally to match that inflation, won't the currency become more and more worthless? What's the point of investing in a currency that inflates at a much faster rate than any national currency and never decreases?

 

they'll stop at 21 million

[GORDO]

i just checked and now i have 0.01 bitcoins.

[Cryptowen]

Oh man, I am going to get totally addicted to trading virtual money now.

[Siegecow]

yes theyll stop at 21 million. But that doesnt make it not inflation? just predictable and controlled inflation for the next 20+ years.

[Guest fiznuthian]

yes theyll stop at 21 million. But that doesnt make it not inflation? just predictable and controlled inflation for the next 20+ years.

 

i suppose it is inflation, but a more welcome inflation because it's a predictable rate.

 

as opposed to the american way of inflating where our reserve just prints the shit when whenever for whatever,

whether it fucks anyone over or not

[chenGOD]

Great until someone makes something and prices it at 21,000,001 bitcoins and someone else really wants it.

[wahrk]

Interesting...

[GORDO]

yeah, what will happen if a bitllionaire starts hoarding all the bitcoins, he could have 20million of them and then hold them back until their value increases to a ridiculous ammount.

 

 

 

i suppose it is inflation, but a more welcome inflation because it's a predictable rate.

 

as opposed to the american way of inflating where our reserve just prints the shit when whenever for whatever,

whether it fucks anyone over or not

 

that's not really how it works.

[Guest Funktion]

Great until someone makes something and prices it at 21,000,001 bitcoins and someone else really wants it.

 

surely this applies to all currencies we have now though aswell

[chenGOD]

Ermm last I checked there was no upper limit on money now. Sure that might cause some hyperinflation, but no one has said "whoops: 20 million dollars is all we're ever going to print!"

[Guest Funktion]

i thought you meant the system is bad because people could price things at an unfairly high level, and this would mean that people wouldnt be able to buy it because there isn't enough bitcoin and therefore badness. but in existing economies if someone tries to sell something for 90 trillion dollars, what normally happens is nobody buys it because that's a fucking stupid thing to do.

 

the fact that there will be an upper limit to the bitcoin supply doesn't curb its ability to retain value as currency. unless someone wants to enlighten me.

[Salvatorin]

anarcho-capitalism

[Salvatorin]

http://silkroad420.wordpress.com/

!!!!!!!!!!!!!!!

[Guest Pilgarlic]

at first I didn't understand how this wasn't just a slightly modified gift economy...the FAQ cleared it up. I guess. More importantly I now understand now that Bitcoin is run by lesbians.

[chaosmachine]

http://silkroad420.wordpress.com/

!!!!!!!!!!!!!!!

 

wow.

[Guest fiznuthian]

yeah, what will happen if a bitllionaire starts hoarding all the bitcoins, he could have 20million of them and then hold them back until their value increases to a ridiculous ammount.

 

 

 

i suppose it is inflation, but a more welcome inflation because it's a predictable rate.

 

as opposed to the american way of inflating where our reserve just prints the shit when whenever for whatever,

whether it fucks anyone over or not

 

that's not really how it works.

 

i tried.

 

 

it blows my mind that there are already so many bitcoin shops opening up.

i would LOVE to see this overtake our current system.

[skotosa]

Hey amazing COINcidence! I got into bitcoin the same time this thread was started.

 

I joined a pool and made 2 bit coins but within 4 hours of just having gone solo I generated my own 50 coins, talk about luck! (Currently still being verified).

 

I guess this Bitcoin stuff is spreading across the internet globe pretty fast.

 

Anyways I'll give a zJob to anyone who sends a bit coin my way! Come on.. you know you want one.

 

 

1LDFdQQiuFYyi81yirh92Gr3eYQY6n1b7i

[spratters]

If anyone has any real money to give away I'll gladly take it off your hands.

[skotosa]

If anyone has any real money to give away I'll gladly take it off your hands.

 

you can exchange bitcoins for real money.

 

Once I get my 50 and the exchange rate is right, I'll be cashing in my bitcoins for some virtual American Money via Virtual Visa, Paypal or Debit.

[Cryptowen]

How do I get one of those miner things running? I tried to set one up so I could join a pool but it was all too techno for my mind.

[skotosa]

Well here is a good trustworthy pool you can join.

 

http://mining.bitcoin.cz/

 

Be sure you have this installed http://www.bitcoin.org/

 

 

And if you have a fast GPU it will benefit you to do this http://www.bitcoin.org/smf/index.php?topic=1334.0

[skotosa]

Made my first 50 and just generated another!

 

When the exchange rate is right i'm cashing out :)

[Cryptowen]

http://mining.bitcoin.cz/

Be sure you have this installed http://www.bitcoin.org/

I did that but I wasn't sure how to actively start contributing to the pool. The third step is confuzzling me:

3. Run miner

 

Run your own CPU/GPU miner with the worker credentials you gave earlier, and connect it to this URL:

 

http://mining.bitcoin.cz:8332

[skotosa]

http://mining.bitcoin.cz/

Be sure you have this installed http://www.bitcoin.org/

I did that but I wasn't sure how to actively start contributing to the pool. The third step is confuzzling me:

3. Run miner

 

Run your own CPU/GPU miner with the worker credentials you gave earlier, and connect it to this URL:

 

http://mining.bitcoin.cz:8332

 

Yeah that got me as well.

 

I'm doing it via GPU so thats how I know how to do it but I'm gussing it should be the same any other way you do it.

 

When you make a batch file for m0mchil's GPU miner for example add the --host http://mining.bitcoin.cz so you can work for the pool.

 

Also in the batch and for Bitcoin you have to use the same user and pass.

 

At http://mining.bitcoin.cz/accounts/profile/ add a worker with the login and pass you have set up in your batch and Bitcoin program.

 

When you do that it adds a "Youraccount Name"."the user name you made for the worker"

 

So my account at Mining.bitcoin is Ziggo the user name I gave in the batch is Matic so the final user name I'm using in Bitcoin and the batch file I made is Ziggo.Matic

 

so your batch file will look something like this for m0mchil's GPU miner

 

 

start /DC:\bitcoin\poclbm_py2exe_20110215 poclbm.exe --user=Ziggo.Matic --pass=******* --device=0 --host=mining.bitcoin.cz

 

The key is that the login and pass is the same for everything.

 

When you run bitcoin as bitcoin.exe -server and then run the batch that uses your GPU your GPU will start looking for coins in bitcoin.

 

Again this is mainly for m0mchil's GPU miner. I haven't used any other miner. But I assume its the same stuff.

 

If this helped anyone you can send donations to

 

18cV8DDAhC7JBPtK34bXiGpCugqaATPCum

Edited February 19, 2011 by ZiggomaticV17