Mirror Finish Polishing ~ 1-816-529-6089 ~ sales@mirrorfinishpolishing.com ~ mirrorfinishpolishing.com For the best rate on home, auto, life or business/commercial insurance call me at 888-959-0955, cell 636-734-1310 or bricehazelwood@weiss-ins.com. Never Done Garage - donewhenimdead.com Peerless Automotive Reconditioning - 1155 W. Dennis Ave, Olathe Ks, 66061 - 913-893-1201 Mark H. Epstein ~ The Epstein Law Firm, LLC ~ 913-396-5123 Wilkes Automotive ~ wilkesautomotive.com ~ 246 Marion St, Olathe, KS 66061 ~ 913-254-7171 Skandalous Inc ~ www.skandalousinc.com DIY Auto Repair Inc ~ www.diyautorepairkc.com ~ 11509 Strangline Rd, Olathe KS 66062 ~ 913-226-3806 Your advertisement here! The Law Offices of Jeremiah Johnson, LLC ~ 104 E. Poplar, Olathe, KS 66061 ~ (913)764-5010 ~ www.kcatty.com - www.johnsoncountydui.com ~ jeremiah@kcatty.com Santa Fe Body, Inc ~ 8717 Lenexa Drive, Overland Park, KS 66214 ~ (913) 894-6090 House of Boost LLC Nude? HouseofHID.com - The #1 source for HID The Print Shop KC 816.200.6694 or Ryan@RMD-Photography.com the art of tyleR ~ http://tyleR.bigcartel.com ~ TYLERcoey.com ~ MUTTtoy.com ~ MUTTtoy@gmail.com W-K Chevrolet Buick Pontiac Cadillac GMC ~ 3310 W. Broadway, Sedalia, MO 65301 ~ 800-382-5088 ~ Cell 660-553-8928 ~ dustin@wkchevy.com ~ www.wkchevy.com

Go Back   KCSR - THE Kansas City Forum > General Forums > Business, Finance

Reply
Thread Tools
Unread 2013-11-29, 11:14 AM   #51
mild83
 
Join Date: Jan 2010
Location: cabrini green
Posts: 14,246
Post Thanks / Like
Thanks (Given): 925
Thanks (Received): 335
Likes (Given): 6331
Likes (Received): 2725
Dislikes (Given): 128
Dislikes (Received): 131
Default

Quote:
Originally Posted by Karlen View Post
I wish I could understand how it works. It seems really interesting.
Not that much different than the US dollar. It's just a digital fiat currency.
mild83 is offline   Reply With Quote
Unread 2013-12-03, 11:51 AM   #52
JDLM
Super Moderator
 
Join Date: Feb 2004
Location: Lenexa
Posts: 158,357
Post Thanks / Like
Default

There's a £60m Bitcoin heist going down right now, and you can watch in real-time

Sheep Marketplace closed down over the weekend after someone got away with 96,000 bitcoins - and angry users are chasing him around the internet.






Some fan-made physical bitcoins. (Photo: antanacoins/Flickr)


One of the largest heists in bitcoin history is happening right now. 96,000 bitcoins - that’s roughly £60m as of the time of writing - was taken from the accounts of customers, vendors and administrators of the Sheep Marketplace over the weekend.
Sheep was one of the main sites that came to replace the Silk Road when it closed in October, but it too has now closed as a result of this theft. It’s a little hard to work out exactly what’s happened, but Sheep customers have been piecing it together on reddit’s r/sheepmarketplace.
Here's what happened: someone (or some group) managed to fake the balances in peoples’ accounts on the site, showing that they had their bitcoins in their wallets when they’d actually been transferred out. Over the course of a week the whole site was drained, until the weekend when the site's administrators realised what was happening and shut everything down.
Originally it was thought that only 5,200BTC - or £3m - was taken, with a message posted on Sheep's homepage blaming a vendor called "EBOOK101" for finding and exploiting a bug. However, over the weekend it became clear that the amount stolen was much, much larger.
In a normal robbery that money would be gone by now, but it isn't. Bitcoin is pseudonymous, not anonymous, and bitcoins can’t just disappear. It works because each and every transaction is public and visible to each and every other person using the Bitcoin network, and a person is only as anonymous as their link to their wallet.
A couple of reddit users realised that the sheer size of the heist makes “tumbling” the coins - the normal method of laundering bitcoins - impossible, as long as they kept on their toes. Someone with bitcoin can send some to a tumbler like bitcoinfog, where it will be split into smaller subdivisions and mixed with other bitcoins from other places, recombining and splitting again several times over until the whole amount eventually comes out the other end, theoretically in such a way that it’s impossible to track. Silk Road’s in-built tumbler successfully foiled the FBI, allegedly.
However, reddit user TheNodManOut managed to track where the first bunch of transfers out of Sheep went, and from there and silkroadreloaded2 worked out which tumbler that the thief was using. Here’s how silkroadreloaded2 describes what’s happened since (“Tomas” is the alleged owner of Sheep, and one of the suspects for many users):
All day, we've been chasing the scoundrel with our stolen bitcoins through the blockchain. Around lunchtime (UK), I was chasing him across the roof of a moving train, (metaphorically). I was less than 20 minutes, or 2 blockchain confirmations, behind "Tomas".
He was desperately creating new wallet addresses and moving his 49 retirement wallets through them, but having to wait for 3 or 4 confirmations each time before moving them again. Each time I caught up, I "666"ed him - sent 0.00666 bitcoins to mess up his lovely round numbers like 4,000. Then,all of a sudden, decimal places started appearing, and fractions of bitcoins were jumping from wallet to wallet like grasshoppers on a hotplate without stopping for confirmations.
Shit!
He was tumbling our stolen bitcoins a second time, and a tumbler is unbeatable....
Unless you guess which one it is, nearly all the coins belong to the person you're tracking, jump in with him, and get jumbled up through the same wallets using the same algorithm. I was hopping from foot to foot shouting "come on!" at my laptop, waiting an age for 6 blockchain confirmations to get 0.5 btc into "bitcoin fog". My half a bitcoin got sliced and diced through loads of wallets and I followed the biggest chunk with blockchain.info - along with 96,000 stolen ones!
Or, in other words:
He gathered 96,000 in one pot, then split it into about 50 smaller ones. then he saw me 666ing them all. Imagine a sports stadium with 96,000 people in it, each with $1000.
He sent them all via different routes all over the world, but the same 96,000 people then arrived at a different stadium and he went to bed.
Now there are 96,001, and I just phoned you on my mobile to tell you where the stadium is.
A major problem with tumblers is that they only work with lots of bitcoins coming and going from a lot of different sources - if a tumbler is taking in 96,000 bitcoins, those will massively outnumber all other bitcoins being tumbled and it’ll be easy to spot them coming out the other end. Mix in a little of your own with all those other ones and you'll find out the wallet addresses that the tumbler uses, and it should be easy to spot large transactions splitting off from there.
The fascinating consequence of this is that you can see the stolen bitcoins on the public blockchain, and as long as there are people keeping tabs on it there’s going to be no way for the thief to cash in on their haul. Considering how people rely on tumblers to maintain anonymity when buying illegal stuff online, this unusual loophole is something of a revelation.
Right now, as you’re reading this, you can watch as the the thief starts trying to move their bitcoins on again - it’s currently down to 92,000 bitcoins and dropping as smaller chunks begin going out. Selling those bitcoins and turning them into cash is going to be extremely difficult, as the major Bitcoin exchanges all demand proof of identity (specifically to avoid charges that they're involved in money laundering), and if they're broken down into smaller quantities to sell via a site like localbitcoins.com a paper trail will still be generated. As soon as it's possible to link one real-life bank account or identity to any bitcoins from that stash, it will be possible to work out their real-life identity.
This counts as one of the largest robberies in history at Bitcoin's current market value, ranking in the same company as real-life thefts like the $108m diamond theft at the Harry Winston store in Paris in 2008. 96,000 bitcoins also places the thief as one of the wealthiest Bitcoin millionaires on the current rich list (but bear in mind that few serious Bitcoin players keep their currency in just one wallet) - and all without having to go to the trouble of wearing balaclavas or threatening someone with a gun.
Let's watch and see what happens next.
__________________

AW|E90|ZSP|ZPP|2XA|NAV|HID| ///M | BMS |JB4 | VRSF



JDLM is offline   Reply With Quote
Unread 2013-12-03, 02:59 PM   #53
DIYAutoRepair
**Sponsor**
 
DIYAutoRepair's Avatar
 
Join Date: Oct 2011
Posts: 4,900
Post Thanks / Like
Thanks (Given): 25
Thanks (Received): 192
Likes (Given): 71
Likes (Received): 1308
Dislikes (Given): 1
Dislikes (Received): 25
Default

Quote:
Originally Posted by JDLM View Post
Let's watch the Bitcoin market and see what happens next.
.
__________________
DIY Auto Repair
Fully equipped service bay rental by the hour
We also offer full service automotive repairs along with paint and bodywork
Visit us at http://diyautorepairkc.com/
or call (913) 226-3806

Favorite car from the past (73 Pinto)
Post Thanks / Like - 0 Thanks, 1 Likes, 0 Dislikes
Likes Prolific liked this post
DIYAutoRepair is offline   Reply With Quote
Unread 2013-12-03, 11:15 PM   #54
Prolific
 
Prolific's Avatar
 
Join Date: Apr 2007
Location: Here and There.
Posts: 8,666
Post Thanks / Like
Thanks (Given): 446
Thanks (Received): 103
Likes (Given): 3805
Likes (Received): 840
Dislikes (Given): 110
Dislikes (Received): 22
Default

This. This is what I was worried about. This is why I didn't put ANY money in to it.
__________________
2007 Gsx-R 750
1994 Integra GSR
1993 Civic EG VX
1995 Grand Cherokee

Quote:
Originally Posted by jimmy has a EK View Post
your just a dumb ass fuck this im done with these dumdasses!.
Prolific is offline   Reply With Quote
Unread 2013-12-04, 09:05 AM   #55
Justin 05 STi
 
Justin 05 STi's Avatar
 
Join Date: Dec 2004
Location: foiling your fun
Posts: 4,738
Post Thanks / Like
Thanks (Given): 4
Thanks (Received): 100
Likes (Given): 4
Likes (Received): 415
Dislikes (Given): 0
Dislikes (Received): 11
Default

Quote:
Originally Posted by Casey L View Post
This. This is what I was worried about. This is why I didn't put ANY money in to it.
Well technically it's not the currency itself that's had issues. Just the exchanges / markets people use the currency at...

lol
__________________
- Justin

Quote:
Originally Posted by Weather as a Force Multiplier: Owning the Weather in 2025
In 2025, US aerospace forces can “own the weather” by capitalizing on emerging technologies and focusing development of those technologies to war-fighting applications.
Justin 05 STi is offline   Reply With Quote
Unread 2013-12-07, 01:20 AM   #56
JDLM
Super Moderator
 
Join Date: Feb 2004
Location: Lenexa
Posts: 158,357
Post Thanks / Like
Default

Up-close with a Bitcoin mining powerhouse (video)



Alex Lawn is in New York on a pitstop, arriving in from Sweden on his way to next week's Inside Bitcoin conference in Las Vegas. He hasn't slept much. The way he describes it, no one at KnCMiner does much sleeping these days, as the company races to become the driving force in the rapidly expanding world of Bitcoin mining. He elicits some stares as he hauls around a giant metal box full of computer components, an accessory that's no doubt been the source of some major headaches passing through customs on his world travels. Inside is Jupiter, which the company claims is capable of mining the currency 100-times faster than the competition. "Everything about our project is totally over-engineered," Lawn says with a smile. "Normally the post-fabrication refinement process is around 12 to 18 months, and we did it within 24 hours."
It's precisely the company's drive to beat the competition to market that has lead to so many sleepless nights. He pulls out his iPhone and shows a video of CTO Marcus Erlandsson celebrating as KnC fires up the Jupiter for the first time, the result of millions of dollars of crowdfunded investment. "He literally hadn't slept in four months." The computer is a massive beast with four giant cooling fans designed to reduce the heat given off by the 28-nanometer chip-powered modular boards. The system is broken up into four modules, designed so you can continue the 24 / 7 mining process, should one fail.
Up close with a Bitcoin mining powerhouse

See all photos 12 Photos



Alex Lawn is in New York on a pitstop, arriving in from Sweden on his way to next week's Inside Bitcoin conference in Las Vegas. He hasn't slept much. The way he describes it, no one at KnCMiner does much sleeping these days, as the company races to become the driving force in the rapidly expanding world of Bitcoin mining. He elicits some stares as he hauls around a giant metal box full of computer components, an accessory that's no doubt been the source of some major headaches passing through customs on his world travels. Inside is Jupiter, which the company claims is capable of mining the currency 100-times faster than the competition. "Everything about our project is totally over-engineered," Lawn says with a smile. "Normally the post-fabrication refinement process is around 12 to 18 months, and we did it within 24 hours."
It's precisely the company's drive to beat the competition to market that has lead to so many sleepless nights. He pulls out his iPhone and shows a video of CTO Marcus Erlandsson celebrating as KnC fires up the Jupiter for the first time, the result of millions of dollars of crowdfunded investment. "He literally hadn't slept in four months." The computer is a massive beast with four giant cooling fans designed to reduce the heat given off by the 28-nanometer chip-powered modular boards. The system is broken up into four modules, designed so you can continue the 24 / 7 mining process, should one fail.
Up close with a Bitcoin mining powerhouse

See all photos 12 Photos

It is, as Alex puts it, a "race," after all. "Bitcoin mining is processing, verifying and securing the transactions that take place in the Bitcoin network," he explains. "The transactions that take place are bundled together and encrypted. The Bitcoin miners are in a race to verify that these transactions are taking place. Within the Bitcoin protocol, there is a reward of Bitcoins for doing this." That reward is currently around 25 Bitcoins, down from 50, a number that will drop even further as more Bitcoins are mined, which means, in the meantime, a continued push toward more powerful machines, like the forthcoming 20nm Neptune - and even less sleep for everyone involved.


http://www.engadget.com/2013/12/06/u...erhouse-video/
__________________

AW|E90|ZSP|ZPP|2XA|NAV|HID| ///M | BMS |JB4 | VRSF



Post Thanks / Like - 0 Thanks, 1 Likes, 0 Dislikes
Likes Beowulf liked this post
JDLM is offline   Reply With Quote
Unread 2013-12-10, 03:56 PM   #57
cmehl
 
Join Date: Jul 2004
Location: kansas shitty missery
Posts: 4,670
Post Thanks / Like
Thanks (Given): 5
Thanks (Received): 3
Likes (Given): 61
Likes (Received): 20
Dislikes (Given): 1
Dislikes (Received): 10
Default

I just started a blog about bitcoin today... check me out. www.bitcoincorey.tumblr.com
__________________
BAMF Squad JuniorCzar
cmehl is offline   Reply With Quote
Unread 2013-12-10, 04:19 PM   #58
cmehl
 
Join Date: Jul 2004
Location: kansas shitty missery
Posts: 4,670
Post Thanks / Like
Thanks (Given): 5
Thanks (Received): 3
Likes (Given): 61
Likes (Received): 20
Dislikes (Given): 1
Dislikes (Received): 10
Default

everyone needs a place to keep bitcoin.. here's the wallet i signed up for to keep all of the bitcoin i buy/earn..

coinbase
https://coinbase.com/?r=52a73934df8c...=referral-link
__________________
BAMF Squad JuniorCzar
cmehl is offline   Reply With Quote
Unread 2013-12-12, 12:44 PM   #59
cmehl
 
Join Date: Jul 2004
Location: kansas shitty missery
Posts: 4,670
Post Thanks / Like
Thanks (Given): 5
Thanks (Received): 3
Likes (Given): 61
Likes (Received): 20
Dislikes (Given): 1
Dislikes (Received): 10
Default

For those interested in capitalizing on the alt-coin trend... at the moment, looks like Litecoin mining (gpu based) is more profitable than bitcoin mining terms of growth.

yesterday 1 Litecoin was trading around $30 USD while 1 Bitcoin was $900 USD
__________________
BAMF Squad JuniorCzar
cmehl is offline   Reply With Quote
Unread 2013-12-15, 05:11 PM   #60
JDLM
Super Moderator
 
Join Date: Feb 2004
Location: Lenexa
Posts: 158,357
Post Thanks / Like
Default

__________________

AW|E90|ZSP|ZPP|2XA|NAV|HID| ///M | BMS |JB4 | VRSF



Post Thanks / Like - 1 Thanks, 0 Likes, 0 Dislikes
Thanks 79cutlas thanked for this post
JDLM is offline   Reply With Quote
Unread 2013-12-15, 06:04 PM   #61
YourWorstNightmare
 
YourWorstNightmare's Avatar
 
Join Date: Nov 2005
Location: All Over The U.S
Posts: 10,467
Post Thanks / Like
Thanks (Given): 11
Thanks (Received): 105
Likes (Given): 1033
Likes (Received): 639
Dislikes (Given): 4
Dislikes (Received): 19
Default

After reading a fair bit about this, it still sounds like a gigantic joke....

There's no hard backing to it. At all.

Not gold. Nothing of actual value.

No collateral, nothing. De nada.


Some people are really gunna' lose their ass on this one.
__________________
www.twistedautodetail.com
www.facebook.com/twistedautodetail
Oklahoma City's Premiere Mobile Detailing Service
YourWorstNightmare is offline   Reply With Quote
Unread 2013-12-15, 06:46 PM   #62
jasman18
 
jasman18's Avatar
 
Join Date: Jul 2007
Posts: 2,668
Post Thanks / Like
Thanks (Given): 7
Thanks (Received): 39
Likes (Given): 19
Likes (Received): 247
Dislikes (Given): 2
Dislikes (Received): 18
Default

Quote:
Originally Posted by YourWorstNightmare View Post
After reading a fair bit about this, it still sounds like a gigantic joke....

There's no hard backing to it. At all.

Not gold. Nothing of actual value.

No collateral, nothing. De nada.
Like the US dollar?
__________________
Post Thanks / Like - 0 Thanks, 1 Likes, 0 Dislikes
Likes Keboh liked this post
jasman18 is offline   Reply With Quote
Unread 2013-12-15, 08:44 PM   #63
spikejnz
 
spikejnz's Avatar
 
Join Date: Mar 2005
Location: Olathe, KS
Posts: 1,063
Post Thanks / Like
Thanks (Given): 70
Thanks (Received): 15
Likes (Given): 503
Likes (Received): 180
Dislikes (Given): 14
Dislikes (Received): 13
Default

Quote:
Originally Posted by jasman18 View Post
Like the US dollar?
Bingo

Sent from my HTC6500LVW using Tapatalk
__________________
2016 Chevy SS
spikejnz is offline   Reply With Quote
Unread 2013-12-15, 11:26 PM   #64
cmehl
 
Join Date: Jul 2004
Location: kansas shitty missery
Posts: 4,670
Post Thanks / Like
Thanks (Given): 5
Thanks (Received): 3
Likes (Given): 61
Likes (Received): 20
Dislikes (Given): 1
Dislikes (Received): 10
Default

Quote:
Originally Posted by YourWorstNightmare View Post
After reading a fair bit about this, it still sounds like a gigantic joke....

There's no hard backing to it. At all.

Not gold. Nothing of actual value.

No collateral, nothing. De nada.


Some people are really gunna' lose their ass on this one.
One could argue that gold isn't backed by anything either.

it does take a transaction of cash/credit/debit to convert currency to bitcoin so it does posses a relative value to the dollar, euro, yen, etc

http://en.wikipedia.org/wiki/Subjective_theory_of_value
__________________
BAMF Squad JuniorCzar
cmehl is offline   Reply With Quote
Unread 2013-12-18, 10:21 AM   #65
Justin 05 STi
 
Justin 05 STi's Avatar
 
Join Date: Dec 2004
Location: foiling your fun
Posts: 4,738
Post Thanks / Like
Thanks (Given): 4
Thanks (Received): 100
Likes (Given): 4
Likes (Received): 415
Dislikes (Given): 0
Dislikes (Received): 11
Default

Ouch.

http://www.businessinsider.com/bitco...nd-500-2013-12

Quote:
Recent days have brought headlines about Chinese authorities clamping down on Bitcoin — not wanting various institutions to deal in the digital currency.
The latest is that BTC China, the big Bitcoin startup there, announced that it could no longer accept deposits in the local currency.
This makes sense. One of the big things that everyone was talking about was how Bitcoin made for the perfect tool to circumvent capital controls (restrictions on getting money out of the country).
So Bitcoin is getting crushed. Not that long ago it was above $1,000. Then it settled into around a $900 area, then it dropped to around $700.
Now it's around $500.
__________________
- Justin

Quote:
Originally Posted by Weather as a Force Multiplier: Owning the Weather in 2025
In 2025, US aerospace forces can “own the weather” by capitalizing on emerging technologies and focusing development of those technologies to war-fighting applications.
Justin 05 STi is offline   Reply With Quote
Unread 2013-12-18, 10:57 AM   #66
mild83
 
Join Date: Jan 2010
Location: cabrini green
Posts: 14,246
Post Thanks / Like
Thanks (Given): 925
Thanks (Received): 335
Likes (Given): 6331
Likes (Received): 2725
Dislikes (Given): 128
Dislikes (Received): 131
Default

Color me shocked.
__________________
Post Thanks / Like - 0 Thanks, 1 Likes, 0 Dislikes
Likes 79cutlas liked this post
mild83 is offline   Reply With Quote
Unread 2013-12-18, 11:10 AM   #67
69Mach351
 
69Mach351's Avatar
 
Join Date: Apr 2007
Location: NE KS
Posts: 8,468
Post Thanks / Like
Thanks (Given): 262
Thanks (Received): 234
Likes (Given): 1789
Likes (Received): 1701
Dislikes (Given): 37
Dislikes (Received): 44
Default

Quote:
Originally Posted by cmehl View Post
One could argue that gold isn't backed by anything either.
I get what you are saying here, but that argument is kind of like a theory, it may make sense, but in reality, it doesn't play out like that.

Looking at the argument from that point a view, gold it just a metal with its own specific properties, which in itself is not that special.

The counter argument would be that gold has been valued for thousands of years. It has outlasted countless forms of currency, government, and is still around today. As long as people are getting their own needs met, it is fairly safe to say that a luxury item like gold will hold value.
69Mach351 is offline   Reply With Quote
Unread 2013-12-18, 12:10 PM   #68
uprrman23
 
uprrman23's Avatar
 
Join Date: Mar 2007
Location: KCMO
Posts: 16,499
Post Thanks / Like
Thanks (Given): 267
Thanks (Received): 319
Likes (Given): 1963
Likes (Received): 2502
Dislikes (Given): 40
Dislikes (Received): 51
Default

So..... People make virtual money from thin air and then it starts dropping in value? I get what a bitcoin is but I don't understand how people think it's a good investment. Seems like fad and a gimmick. Just my opinion.
__________________
Post Thanks / Like - 0 Thanks, 2 Likes, 0 Dislikes
Likes YourWorstNightmare, 69Mach351 liked this post
uprrman23 is offline   Reply With Quote
Unread 2013-12-18, 12:58 PM   #69
mild83
 
Join Date: Jan 2010
Location: cabrini green
Posts: 14,246
Post Thanks / Like
Thanks (Given): 925
Thanks (Received): 335
Likes (Given): 6331
Likes (Received): 2725
Dislikes (Given): 128
Dislikes (Received): 131
Default

Quote:
Originally Posted by 69Mach351 View Post
I get what you are saying here, but that argument is kind of like a theory, it may make sense, but in reality, it doesn't play out like that.

Looking at the argument from that point a view, gold it just a metal with its own specific properties, which in itself is not that special.

The counter argument would be that gold has been valued for thousands of years. It has outlasted countless forms of currency, government, and is still around today. As long as people are getting their own needs met, it is fairly safe to say that a luxury item like gold will hold value.
Which has always seemed odd to me, because silver would seem to be a more "valuable" element, due to being able to use if for some types of manufacturing. Gold is valuable for nothing, really. Just a soft metal that is attractive (if you were rocking it in the 80s).
__________________
Post Thanks / Like - 0 Thanks, 1 Likes, 0 Dislikes
Likes cmehl liked this post
mild83 is offline   Reply With Quote
Unread 2013-12-18, 01:38 PM   #70
Ryan D
Custom User Title
 
Join Date: Feb 2004
Posts: 45,166
Post Thanks / Like
Thanks (Given): 30
Thanks (Received): 175
Likes (Given): 91
Likes (Received): 1288
Dislikes (Given): 28
Dislikes (Received): 212
Default

Quote:
Originally Posted by jasman18 View Post
Like the US dollar?
The dollar is backed by the US Government. You're good until the Zombie Apocalypse at which point you'll need DeMar Dollars.
__________________
Post Thanks / Like - 0 Thanks, 2 Likes, 0 Dislikes
Likes YourWorstNightmare, cmehl liked this post
Ryan D is offline   Reply With Quote
Unread 2013-12-18, 02:37 PM   #71
69Mach351
 
69Mach351's Avatar
 
Join Date: Apr 2007
Location: NE KS
Posts: 8,468
Post Thanks / Like
Thanks (Given): 262
Thanks (Received): 234
Likes (Given): 1789
Likes (Received): 1701
Dislikes (Given): 37
Dislikes (Received): 44
Default

Quote:
Originally Posted by mild83 View Post
Which has always seemed odd to me, because silver would seem to be a more "valuable" element, due to being able to use if for some types of manufacturing. Gold is valuable for nothing, really. Just a soft metal that is attractive (if you were rocking it in the 80s).
Rarity. I am sure that gold has its place in manufacturing and industrial settings, but I would guess that it can be substituted as well. Look at silver. It is an excellent conductor of electricity, but it can be substituted for copper. Sure it loses some efficiency, but it also costs 15-20% of what silver does.
__________________
Post Thanks / Like - 0 Thanks, 1 Likes, 0 Dislikes
Likes Keboh liked this post
69Mach351 is offline   Reply With Quote
Unread 2013-12-21, 03:29 PM   #72
Hegro
 
Join Date: Feb 2009
Location: Around..
Posts: 2,360
Post Thanks / Like
Thanks (Given): 37
Thanks (Received): 32
Likes (Given): 117
Likes (Received): 193
Dislikes (Given): 7
Dislikes (Received): 7
Default

Anyone on here doing any scrypt mining?
__________________

Hegro is offline   Reply With Quote
Unread 2013-12-21, 05:18 PM   #73
spikejnz
 
spikejnz's Avatar
 
Join Date: Mar 2005
Location: Olathe, KS
Posts: 1,063
Post Thanks / Like
Thanks (Given): 70
Thanks (Received): 15
Likes (Given): 503
Likes (Received): 180
Dislikes (Given): 14
Dislikes (Received): 13
Default

Quote:
Originally Posted by Hegro View Post
Anyone on here doing any scrypt mining?
Yup. Hashco.ws

Sent from my HTC6500LVW using Tapatalk
__________________
2016 Chevy SS
spikejnz is offline   Reply With Quote
Unread 2013-12-21, 07:26 PM   #74
Hegro
 
Join Date: Feb 2009
Location: Around..
Posts: 2,360
Post Thanks / Like
Thanks (Given): 37
Thanks (Received): 32
Likes (Given): 117
Likes (Received): 193
Dislikes (Given): 7
Dislikes (Received): 7
Default

Quote:
Originally Posted by spikejnz View Post
Yup. Hashco.ws

Sent from my HTC6500LVW using Tapatalk
I like how it auto switches coins based on profitability. I have been looking into scrypt mining for the last couple months. I just started today and got in way too fucking late. I am sad. Been mining Doge coins all day.
__________________

Hegro is offline   Reply With Quote
Unread 2013-12-23, 12:57 PM   #75
JDLM
Super Moderator
 
Join Date: Feb 2004
Location: Lenexa
Posts: 158,357
Post Thanks / Like
Default

Into the Bitcoin Mines


On the flat lava plain of Reykjanesbaer, Iceland, near the Arctic Circle, you can find the mines of Bitcoin.
To get there, you pass through a fortified gate and enter a featureless yellow building. After checking in with a guard behind bulletproof glass, you face four more security checkpoints, including a so-called man trap that allows passage only after the door behind you has shut. This brings you to the center of the operation, a fluorescent-lit room with more than 100 whirring silver computers, each in a locked cabinet and each cooled by blasts of Arctic air shot up from vents in the floor.
Article Tools

  • FACEBOOK
  • SAVE
  • TWITTER
  • EMAIL
  • GOOGLE+
  • PRINT
  • SHARE
  • PERMALINK




These computers are the laborers of the virtual mines where Bitcoins are unearthed. Instead of swinging pickaxes, these custom-built machines, which are running an open-source Bitcoin program, perform complex algorithms 24 hours a day. If they come up with the right answers before competitors around the world do, they win a block of 25 new Bitcoins from the virtual currency’s decentralized network.
The network is programmed to release 21 million coins eventually. A little more than half are already out in the world, but because the system will release Bitcoins at a progressively slower rate, the work of mining could take more than 100 years.
The scarcity — along with a speculative mania that has grown up around digital money — has made each new Bitcoin worth as much as $1,100 in recent weeks.

Bitcoins are invisible money, backed by no government, useful only as a speculative investment or online currency, but creating them commands a surprisingly hefty real-world infrastructure.
“What we have here are money-printing machines,” said Emmanuel Abiodun, 31, founder of the company that built the Iceland installation, shouting above the din of the computers. “We cannot risk that anyone will get to them.”
Mr. Abiodun is one of a number of entrepreneurs who have rushed, gold-fever style, into large-scale Bitcoin mining operations in just the last few months. All of these people are making enormous bets that Bitcoin will not collapse, as it has threatened to do several times.
Just last week, moves by Chinese authorities caused the price of a Bitcoin to drop briefly below $500. If the system did crash, the new computers would be essentially useless because they are custom-built for Bitcoin mining.
Miners, though, are among the virtual-currency faithful, believing that Bitcoin will turn into a new, cheaper way of sending money around the world, leaving behind its current status as a largely speculative commodity.
Most of the new operations popping up guard their secrecy closely, but Mr. Abiodun agreed to show his installation for the first time. An earnest young Briton, with the casual fashion taste of the tech cognoscenti, he was a computer programmer at HSBC in London when he decided to invest in specialized computers that would carry out constant Bitcoin mining.
The computers that do the work eat up so much energy that electricity costs can be the deciding factor in profitability. There are Bitcoin mining installations in Hong Kong and Washington State, among other places, but Mr. Abiodun chose Iceland, where geothermal and hydroelectric energy are plentiful and cheap. And the arctic air is free and piped in to cool the machines, which often overheat when they are pushed to the outer limits of their computing capacity.
Richard Perry/The New York Times
The energy required to run these computers is huge, and has led to criticism that Bitcoin mining is wasteful, not to mention socially useless.
The operation can baffle even those entrusted with its care. Helgi Helgason, a burly, bald Icelandic man who oversees the data center that houses the machines, said that when he first heard that a Bitcoin mining operation was moving in he expected something very different. “I thought we’d bring in machines and put bags behind them and the coins would fall into them,” said Mr. Helgason, with a laugh.
Since then, the education he has received about Bitcoins has been enlightening, but only to a point.
“It’s a strange business,” he said, “and I can’t say that I understand it.”
Until just a few months ago, most Bitcoin mining was done on the home computers of digital-money fanatics. But as the value of a single Bitcoin skyrocketed over the last few months, the competition for new coins set off a race that quickly turned mining into an industrial enterprise.
“Even if you had hardware earlier this year, that is becoming obsolete,” said Greg Schvey, a co-founder of Genesis Block, a virtual-currency research firm. “You are talking about order-of-magnitude jumps.”
The work the computers do is akin to guessing at a lottery number. The faster the computers run, the better chance of guessing that right number and winning valuable coins. So mining entrepreneurs are buying chips and computers designed specifically — and only — for this work. The machines in Iceland are worth about $20,000 each on the open market.
The energy required to run these computers is huge, and has led to criticism that Bitcoin mining is wasteful, not to mention socially useless. But Mr. Abiodun prides himself on using renewable power, at least in Iceland.
When Mr. Abiodun first heard about Bitcoin mining in 2010, he thought it was a scam. Begun in 2009 as the imaginative creation of an anonymous programmer (or group of programmers) known as Satoshi Nakamoto, it was initially little more than a tech world curiosity. As early users connected their computers into the network, they became a part of the decentralized infrastructure that hosts Bitcoin’s open-source program. The computers joining the network immediately began capturing virtual coins. The network’s protocol was designed to release a new block of Bitcoins every 10 minutes until all 21 million were released, with the blocks getting smaller as time goes on. If the miners in the network take more than 10 minutes to guess the correct code, the Bitcoin program adapts to make the puzzle easier. If they solve the problems in less than 10 minutes, the code becomes harder.
Mr. Abiodun’s opinion of Bitcoin changed in January, when he saw the price rising. He installed a free application on his home computer that linked him into the Bitcoin network and set it to mining, harnessing the power of his graphics card, which is the part of a normal computer best suited to doing the code work.
Mr. Abiodun’s computer was in the guest room of his house in southeast London. Working at HSBC during the day and tinkering with his Bitcoin system at night, he realized if he wanted to make any money, his computer would have to run around the clock.
The constant computing, however, overheated the graphics card and pushed the computer’s exhaust fans into overdrive. When he added another graphics card, then a new computer, the room became too noisy for guests to sleep, and the windows had to be kept open to release the heat. That did not make his wife, Gloria, who was pregnant at the time, very happy.
“It just created a scenario where there was no way our parents would come over to stay,” he said. “I did offer to put her parents in a hotel, but that didn’t go down well.”
Mr. Abiodun’s wife finally gave him an ultimatum — either the computers had to go, or he did. At the same time, he was making money, and friends were asking if they could invest in his mining operation.
In February, Mr. Abiodun used the investors’ money to buy machines from a start-up dedicated solely to manufacturing specialized mining computers. The competition for those computers is so intense that he had to pay for them and wait for delivery.
When the delays became lengthy, however, he went on eBay and paid $130,000 for two high-powered machines, which he set up in June in a data center in Kansas City, Kan.
This was the beginning of Mr. Abiodun’s company, Cloud Hashing, which rents out computing power to people who want to mine without buying computers themselves. The term hashing refers to the repetitive code guessing that miners do.
Today, all of the machines dedicated to mining Bitcoin have a computing power about 4,500 times the capacity of the United States government’s mightiest supercomputer, the IBM Sequoia, according to calculations done by Michael B. Taylor, a professor at the University of California, San Diego. The computing capacity of the Bitcoin network has grown by around 30,000 percent since the beginning of the year.
“This whole new kind of machine has come into existence in the last 12 months,” said Professor Taylor, who is studying mining hardware. In the chase for the lucky code that will unlock new Bitcoins, mining computers are also verifying and assigning unique identifying tags to each Bitcoin transaction, acting as accountants for the virtual currency world.
“The network is providing the infrastructure for making sure the currency is being transferred between people according to the rules,” Professor Taylor said, “and making sure people aren’t creating currency illegally.”
Even before Mr. Abiodun’s machines in Kansas City were up and running, it was clear that they wouldn’t be enough. So he ordered about 100 machines from a start-up in Sweden and, in October, had them moved to the facility in Iceland. In just a few months, that installation has generated more than $4 million worth of Bitcoins, at the current value, according to the company’s account on the public Bitcoin network.
At the end of each day, the spoils are divided up and sent to Cloud Hashing’s customers. Last Wednesday, for example, the entire operation unlocked 225 Bitcoins, valued at around $160,000 at recent prices. Cloud Hashing keeps about 20 percent of the capacity for its own mining.
Richard Perry/The New York Times
Inside a high-security facility in Iceland, one company’s powerful computers toil nonstop on the project.
The unregulated Bitcoin-mining industry is ripe for abuse, and ventures that sound similar to Cloud Hashing have turned out to be scams. Mr. Abiodun’s company has proved itself real, but it is still unclear if it is a good deal for customers. Cloud Hashing charges $999 to rent a tiny portion of the company’s computing power for one year. That’s an expensive price for the computing capacity they are getting, but Mr. Abiodun argues that it’s a good value because individual miners would not be able to buy his modern machines outright. It’s a little like buying a fractional ownership in a private jet; you might not want responsibility for the jet itself, and it’s out of your price range anyway. He also says he provides the maintenance and keeps away thieves and hackers.
Some Cloud Hashing customers have also complained on Internet forums that it can be hard to get a response from the company when something goes wrong. But this has not stopped new contracts from pouring in. Cloud Hashing now has 4,500 customers, up from 1,000 in September.
Mr. Abiodun acknowledges that the company has not been prepared to deal with its rapid growth. He said he had used $4 million raised from two angel investors to add customer service representatives to offices in Austin, Tex., and London. Cloud Hashing is now preparing to open a mining facility in a data center near Dallas, which will hold more than $3 million worth of new machines being produced by CoinTerra, a Texas start-up run by a former Samsung chip designer.
The higher energy costs — and required air-conditioning — in Texas are worth it for Mr. Abiodun. He wants his operation to be widely distributed in case of power shortages or regulatory issues in one location. But he is also expanding his Icelandic operation, shipping in about 66 machines that have been running for the last few months near their manufacturer in Ukraine.
Mr. Abiodun said that by February, he hopes to have about 15 percent of the entire computing power of the Bitcoin network, significantly more than any other operation.
Inside the Iceland data center, which also hosts servers for large companies like BMW and is guarded and maintained by a company called Verne Global, strapping Icelandic men in black outfits were at work recently setting up the racks for the machines coming from Ukraine. Gazing over his creation, Mr. Abiodun had a look that was somewhere between pride and anxiety, and spoke about the virtues of this Icelandic facility where the power has not gone down once.
“We don’t want downtime — ever, never,” he said. “Not with what we paid. Not with Bitcoin.”
__________________

AW|E90|ZSP|ZPP|2XA|NAV|HID| ///M | BMS |JB4 | VRSF



JDLM is offline   Reply With Quote
Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

 

All times are GMT -5. The time now is 11:40 PM.


Design By: Miner Skinz.com
Powered by vBulletin® Version 3.13.37
Copyright ©2000 - 2017, vBulletin Solutions, Inc.
Copyright (c) 1993-2012, KCSR.org