On BitCoins, and The Value of a CPU Cycle

A Primer on BitCoins first. Bitcoins are a relatively new form of Fiat Currency. As you may know Fiat currency provides us with a medium such as paper, with a value, decided by group consensus. Since our currency is (mostly) hard to counterfeit, the incentive to do so is low, and the currency is thus made and controlled by the state.  Bit coins on the other hand can be produced by anyone, however the incentive to make bit-coins is still low, because it's still quite difficult. What is a bitcoin? A very unique, specific and complex number. How is it produced? An equally complex mathematical process that I can't even pretend to understand yet. Can I profit from it? Well, in the broad sense of "this may be good for society", then yes, and if I were to put some investment into number-crunching hardware to make bitcoins, maybe even for myself.

Bitcoin controversy: Ladies and gentleman, this is the Perfect way to launder money. It could be used by criminal organizations to great advantage. But you know what? I believe this is outweighed by the possibility that it will come in handy to fight oppression, from banks, and from governments.

People are currently making money off this currency by being clever, as it should be. Some however are being profitable by ripping off those who may not have looked into bit coins sufficiently.  For instance BitCoin Plus. It has it's legitimate uses: if your CPU cycles are free (you've hooked free internet and electricity) you can make bit-coins with close to 0 effort (and a LOT of time).  Most people however don't do the math, and it's unfortunate. Calling this evil however would be hypocritical, because check this out; there is a script on this page allowing You to do BitCoin calculations for me!

Update! The script is no longer here because bitcoinplus has been added to googles malware sites list. I guess the idea of secretly using someone else's computer to mine coins is bad for them to warrant it.


Honestly, I'd rather be doing this for a cause like Folding@Home, or any of these.  It's distributed computing for stuff like analyzing telescope data, curing cancer and such... so science.  Sadly I'm not Yet aware of any that I can embed in this web-site. Let me know if you find any.

-The Baron & Tahnok

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