Re:The Limits to Blockchain Scalability
by wcoenen on Monday May 24, 2021 @10:52AM
(#27265050)
That is one way to estimate a maximum possible value.
My point is that by assuming "Bitcoin cannot consume more than X % of all electricity or there will be trouble", you can calculate another maximum value which turns out to be much lower.
In fact, if you assume Bitcoin can consume no more than 1% of all electricity (before regulatory trouble starts brewing) and electricity costs 0.05 USD/kWh, then you get a maximum price which is pretty close to the current price.
My point is that by assuming "Bitcoin cannot consume more than X % of all electricity or there will be trouble", you can calculate another maximum value which turns out to be much lower.
In fact, if you assume Bitcoin can consume no more than 1% of all electricity (before regulatory trouble starts brewing) and electricity costs 0.05 USD/kWh, then you get a maximum price which is pretty close to the current price.
https://www.wolframalpha.com/input/?i=0.05+USD%2FkWh+*+10+mi...