THELOGICALINDIAN - JPMorgan has acquired a activity amidst cryptocurrency miners afterwards aftermost months address ciphering Bitcoins fair amount at 2400 This appraisal derives from the bordering amount of bearing Bitcoin but some disagree with Chinese miners assembly amount estimations
The Price Of Dystopia
In the report, JPMorgan analysts claimed that the “average banknote cost of a bargain Chinese miner was about US$2,400 per bitcoin” in Q4 2024.
This, they suggested, is the break-even point; the bordering amount of bearing one bitcoin. With bitcoin currently aerial about the $4000 mark, that represents a amount bead of 40% afore accomplishing ‘fair value’.
This absolutely seemed like advance from the antecedent day, back a JPMorgan analyst claimed bitcoin alone had amount in a dystopian environment. Unless the advancement is that we are already active in a dystopian environment?
The Fallacy Of Metrics
Anyway, miners argued that the architecture of Bitcoin agency that the actual abstraction of an boilerplate ‘marginal cost’ was flawed. Ben Gagnon, co-founder of mining accouterments developer, LuTech explained that there could be no ‘average cost’ or ‘break-even point’.
With a bound accumulation of about 1800 bitcoin per day, a miner can alone get a bigger allotment of that about to added miners. As Gagnon says:
Valuation Motivation
Perhaps JPMorgan are black with the statistic that they authority 200 times added chump drop amount than the top bristles cryptocurrency exchanges combined?
A bitcoin amount of $2400 would access this to over 300 times the value, alike if the exchanges backing were advance analogously beyond all accessible tokens. The actuality that the majority of tokens captivated by the exchanges are bitcoin, would accomplish this gap alike wider.
And one wonders how JPMorgan would amount its own recently unveiled JPM coin? Presumably centralised, it would not crave mining, accordingly the ‘marginal cost’ of assembly per bread would be…
Zero?
Do you accede with JPMorgan’s appraisal of bitcoin? Share your thoughts below!
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