Sunday, 29 March 2020

What price of bitcoin is needed to maintain the network safety.

Hi, I am a newbie with very basic understanding of Bitcoin. What I understand roughly:

Bitcoin transaction are secured by blocks. Blocks need to be mined with much compute. If there are too few different miners the security of the network goes down. Miners are rewarded with Bitcoin. To limit the amount of Bitcoin the Bitcoin reward for mining is halved every so and so often.

My question: What I understand it is possible for Bitcoin to increase in value significantly. At the same time Bitcoin is only safe while we have enough miners. With the continued halving of the rewards could the decline in miners compromise the safety of Bitcoin? Has anyone ever done the math with mining capacity of GPU ect. and can tell what minimal USD value Bitcoin needs to hold in the long run (after many halvings) to keep the network safe by financing the mining effort?

submitted by /u/some_dadaism
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