Ethereum

[awemany]

Ethereum isn't yet even close to the size of Bitcoin. How are you so sure then when it reaches the same level of scale it won't be hit with the exact same types of civils wars and infighting bitcoin has? This is only happening precisely because it is so big and valuable. If not the blocksize, it would be about something else.

Point taken, but I think other wars regarding Bitcoin would be unlikely. This is clearly engineered by the small blockers trying to take over with Borgstream. Bitcoin was always meant to scale, everything else is idiotic insanity. Sorry, but it is just that.

If Bitcoin goes down, the whole cryptocurrency idea will take a strong credibility hit.

But at some point Bitcoin miners who watch Ethereum should get nervous. Still waiting, though...

Some of the miners are amazingly thick-skulled though. What doesn't come from Core is bad. Almost as if the miners cannot form their own opinions about matters.

 

[Erdogan]

I wouldn't diversify too much. Liquidity is the name of the game, and bitcoin is the leader.

 

[VeritasSapere]

I'm also diversifying. The only coin in the top three I don't have is Ripple. Does anyone have an elevator pitch for it? I know nothing about it other than Theymos thought it was a good idea back in 2012.

It is good as a hedge against cryptocurrency as a whole, that is about it in my opinion. I hold a very small amount, just encase the entire cryptocurrency revolution does not take off in the way that I predict.

Ripple can be used as a very effective settlement network between the banks, it is highly centralized though and has KYC now being build on top of it. Essentially it allows the banks to compete with cryptocurrency on some levels but not on the most important ones in my opinion.

It is ironic that for the blockstream vision to succeed it will have to become more like ripple, which they will never be able to change Bitcoin that much that it will be able to compete with ripple directly as a settlement network for the banks under the current economic system. Ripple is just much better suited for that. My ripple holdings account for less then one percent of my portfolio, so it is very minimal, my thinking was like, just in case.

 

[Bagatell]

@VeritasSapere Thanks for that. I wont rush into it. The weekly chart doesn't look too good.

 

[Matthew Light]

ETH going parabolic now. :/

 

[YarkoL]

Does anyone know if mining ETH on amazon ec2 instance is currently worth it?

 

[tynwald]

bagatell, Ripple for me is more or less Paypal with private blockchain, trusted hubs and AMY/KYC baked in.

So technically not very interesting (original version was) but it has interest from banks and finance companies like UBS.

 

[VeritasSapere]

Exactly, besides ripple itself the entire network is based on IOU's, with trusted third parties like banks. This is part of why it works so well with the current financial system. I think Ripple will be obsoleted when the cryptocurrency revolution really takes off in a big way. I think settlement networks become a lot less important when everyone has the ability to transact directly and cheaply with each other.
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Does anyone know if mining ETH on amazon ec2 instance is currently worth it?

If I where to guess it probably is, you would have to run profitability calculations yourself but Ethereum is extremely profitable to mine right now. It certainly is for the 750ti rigs that I am running.

 

[YarkoL]

If I where to guess it probably is, you would have to run profitability calculations yourself but Ethereum is extremely profitable to mine right now. It certainly is for the 750ti rigs that I am running.

g2.8xlarge costs $2.6/h, hashrate about 35 Mh/s... earning $0.28 per hour at the current prices. .... off to poloniex

 

[VeritasSapere]

Oh wow, I guess not then, well if you run any of the latest nvidea cards out of your home I can tell you that that is at least very profitable. Surprising that the amazon ec2 is not profitable, I presumed that it would be, considering the recent price rise. This is GPU mining though right, if not it might explain why it is not profitable, if it is not a dedicated GPU rig?

 

[YarkoL]

That particular instance is the most powerful ec2 you can get, with NVIDIA... it's just that the rent is so high. You might get off cheaper with spot prices, but not much and AFAIK they don't persist, so you can't do calculations based on them.

 

[VeritasSapere]

I guess the rent must be very high then, since I am getting a high profitability and ROI's with all of my GPU rigs right now.

 

[Matthew Light]

I hope all of you will consider hedging your Bitcoin portfolio with some Ethereum.

 

[Zangelbert Bingledack]

If you wanted to diversify, you calculate how much ETH you'd have to buy for each BTC you own in order to be in the same position if the two market caps switched places. That would be about 7% ETH, not 75%. Riding the pump is an entirely different matter of course, but in the context of hodling...

 

[Bagatell]

@Matthew Light

All my cryptos are paired with BTC. I no longer care if I'm buying MAID with BTC or ETH with XBT. I'm hoping they all thrive from their synergy and blossom in their respective niches.

 

[Matthew Light]

If you wanted to diversify, you calculate how much ETH you'd have to buy for each BTC you own in order to be in the same position if the two market caps switched places. That would be about 7% ETH, not 75%. Riding the pump is an entirely different matter of course, but in the context of hodling...

I initially bought in with about 20% as a hedge. Then I kept buying as I learned more, and saw more evidence that Core will succeed in smothering Bitcoin in the crib.

You are quite correct, I am not diversifying any more. I have done a thorough evaluation of Ethereum as a platform and community, the disasterous state of Bitcoin, and I am voting that I believe Ethereum is likely to win the race. If I see another candidate that looks like it has a good shot at taking over, I will certainly invest there as well.

I still hold enough Bitcoin that, if I am wrong and Bitcoin takes over the world's financial system, I will do more than fine.

The idea that the first mover can lose and a later entry can run away with the race in technology is not particularly controversial: Myspace and Friendster vs. Facebook, Lycos and Altavista vs. Google, Windows Mobile and Symbion vs. iPhone and Android. Believing that it can't happen in cryptocurrency could be very dangerous to your financial future. I hope that the small blockers will consider at least hedging your Bitcoin position, just in case my analysis is correct. Good luck to you all.

 

[YarkoL]

I believe the current price hike is more driven by BTC messiness than the technical merits of Ethereum.

Eth still has a lot of issues to sort out. From a dev standpoint, it is still very difficult to get around building dApps, and the future switch to PoS is a huge question mark.

That being said, it is hands down the most seriously innovative crypto there is right now, and probably a decent long term investment. But I don't think it will take over the whole world as the go-to DAO platform, instead it will serve as an inspiration to all kinds of new innovations, and the banking sector is already busy adopting chunks of it for proprietary uses.

 

[IMALLIN]

I initially bought in with about 20% as a hedge. Then I kept buying as I learned more, and saw more evidence that Core will succeed in smothering Bitcoin in the crib.

You are quite correct, I am not diversifying any more. I have done a thorough evaluation of Ethereum as a platform and community, the disasterous state of Bitcoin, and I am voting that I believe Ethereum is likely to win the race. If I see another candidate that looks like it has a good shot at taking over, I will certainly invest there as well.

I still hold enough Bitcoin that, if I am wrong and Bitcoin takes over the world's financial system, I will do more than fine.

The idea that the first mover can lose and a later entry can run away with the race in technology is not particularly controversial: Myspace and Friendster vs. Facebook, Lycos and Altavista vs. Google, Windows Mobile and Symbion vs. iPhone and Android. Believing that it can't happen in cryptocurrency could be very dangerous to your financial future. I hope that the small blockers will consider at least hedging your Bitcoin position, just in case my analysis is correct. Good luck to you all.

If you are worried about first mover advantage losing then you do what Zangelbert mentioned. You invest a small amount in the less valued asset (7% in this case) and if it takes over you are doing just as well. You don't go investing 75%. That is just not intelligent

 

[Matthew Light]

If you are worried about first mover advantage losing then you do what Zangelbert mentioned. You invest a small amount in the less valued asset (7% in this case) and if it takes over you are doing just as well. You don't go investing 75%. That is just not intelligent

Assume that MySpace and Facebook were both available on the exchange, and someone took 75% of their MySpace investment and put it into Facebook.

Would that be "unintelligent"?

I'm making a judgment call about which crypto I think is going to take over the world based on what I see happening. I could be choosing the wrong horse. If either takes over the world, I'll still do very well. I will tell you one thing - my stress level over the idiocy happening in the Bitcoin arena has gone to zero, and I'm very thankful about that. And the liquidation value of my total crypto holdings are now double what they were a few weeks ago, so at least at this point in the game I'm doing well.

I will certainly keep my eyes open and if my evaluation of which Crypto horse is worth investing in changes, I will not hesitate to make that change.

 

[cbeast]

I'm waiting for the POS version to be cloned and provably staked to DAPPS that only distribute to the world's minorities. /s