Bitcoin mining efficiency and Botnets

[Juan Garofalo]

--On Wednesday, October 16, 2013 7:33 AM -0400 Softy
<softservant at gmail.com> wrote:

> I hope others point this out, the cost of gold ( nor any other commodity )
> is so simplisticly tied to the price of production.
> 
> Without doing any googling for specific numbers:
> - the price rise of gold in the past decade.
> - is the production costs of mining gold getting more or less expensive?
> 

	No, the price of gold went up because of 'demand', which in turn can be
partially explained by people believing that the US dollar has had it. 

	Also, all commodities have gone up a lot in the last ten years. That's
usually called 'inflation' and is caused by new dollars being magically
created by the US government.  More papper, same amount of goods, higher
prices. 




> alright ... here are some numbers:
> total cost of production example: 670 per ounce
> need I quote the current price of gold per ounce?  Note, that AISC is just
> one regions cost - others are plus or minus a hundred or so.
> 
> http://www.trefis.com/stock/abx/articles/206888/an-analysis-of-barrick-go
> lds-two-most-important-mines/2013-09-24
> 
> ​and in pretty pictures:
> http://www.visualcapitalist.com/what-is-the-cost-of-mining-gold
> ​
> 
> ​It is the 'other factors' of commodities which drive prices.  Biggest
> is the cartel which controls that particular commodity - think diamonds
> for easy picture, Read about Libor, ISD etc:
> http://www.rollingstone.com/politics/news/everything-is-rigged-the-bigges
> t-financial-scandal-yet-20130425
> 
> ​-daniel
>