Investors Hoping to Make a Killing off of Bitcoin May Not Get Rich After All – Bitcoinist. What are you looking for? Receive got rich off bitcoin Bitcoinist news in Telegram!
The value of Bitcoin continues to dominate the headlines as prices climb ever higher. This has attracted even more investors to venture into bitcoin mining, looking to make a killing off the digital currency. If you’re thinking about getting rich by mining bitcoin, though, think again. 100,000 prospectors looking to find their fortunes during the Klondike Gold Rush of the 1890s, so too is mining for the popular cryptocurrency.
Each block contains, among other things, a record of some or all recent transactions, and a reference to the block that came immediately before it. The mathematical problem in each block is extremely difficult to solve, but once a valid solution is found, it is very easy for the rest of the network to confirm that the solution is correct. The rest are lucky to break even, and most end up spending more in equipment and electricity costs than they ever actually earn. Should Investors Be Worried About the Turn of Events? Two, will Bitcoin mining be remembered in history as just an investment that got only a few people rich?
The tremendous increase in the price of Bitcoin in the last year or so has seen many speculators sucked in, with many of them being ordinary investors without much know-how about Bitcoin mining. Satoshi Nakamoto’s original idea behind the digital currency was that it would become purely a store of value, just like gold. Bitcoin is just a sideshow and that it is not big enough to pose a threat to the larger global economy. Bitcoin is enjoying a free ride, as of now, but with regulators getting closer to regulating this freshly minted industry, it is not certain what the future holds.