So, I am already aware of a few things with the BitCoin. Block chain seems simple enough. Get paid for finishing "work" got it! Foreign, not a US based situation. OKIE DOKIE!!!
Can someone explain the "work" to me. I have been pondering this for days and it is driving me up the wall. Best I can tell is it is an encryption breaking system that they let out into the wild to see if they could market such technology... I think it has done quite well, given all the secrecy surrounding it. I have heard that it preforms crazy mathematical equations and the only reason that I see it as necessary, actually functional in anyway, is encryption mining. Can someone explain in detail how it is not being used in this way? What maths is it being used to figure out and why is it necessary to get everyone on board with this new system? Given it's ability to conceal data within itself (that would be, as I understand it, the very nature of the beast) keeping a log of everything that passes through it. I hear that it is encrypted itself so I am really just curious. Is BitCoin/block-chain really just a front for encryption mining? Can this new tech be used in a way that is not outwardly apparent? I myself have ran some miners in the past and they do consume loads of power, so they are obviously doing something.
My 2c on this one.
The massive amount of computation to mine a bitcoin does nothing, except prove that you have indeed mined the bitcoin you claim you have. The mining and ever-increasing-workload-to extract-coins concept was intentional, and designed to mimic the resources committed Vs returns, against actual monetary properties, like gold.
With the amount of gold in the world being finite and essentially unchangable, the first gold collected was trivial in terms of actual effort - shiny rocks picked up by hand on the surface.. And now in the current day where massive investment in mines, digging equipment, ore processing and refinement etc is needed for what was very much easier when the resource was not as scarce on the surface centuries ago. Mirroring the concept of bitcoin mining.
If you can 'fake' bitcoins, the concept then becomes just like a malicious fiat central bank printing up currency apropos nothing, not backed by any value proposition, and devaluing all existing currency in circulation, stealing the value from the people who hold that currency. So thats why the intentional difficulty in crunching out new bitcoins, it avoids the fiat/fraud/theft concept thats essentially the basis of all nations and their currencies.
Its a tragic comedy that the equivalent of gigawatts of powerplant output is being spent on doing essentially nothing at all.
Bureaucracy!!!! "Here, move this document around a bunch to look busy, boss is coming!"