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datagod
03-13-2021 at 12:01 PM
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Crytpo Assets

I am trying my hand at selling digital assets on blockchain. In this particular case I have a collection of photos (well, one so far) that are available on OpenSea. These are NFT's which I really don't understand. Non Fungible Tokens. Come on people, we need better names than than.

Anyway, I'll keep blogging as I learn, and hopefully sell some photos too.

My Collection on OpenSea.io


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  1. datagod's Avatar

    Well I learned something surprising today. I am sure that @Snowflake will laugh at me. I wanted to list one of my photos for sale, and as a result I would have to pay the "gas". What does that mean?

    Gas is fuel for the Ethereum distributed network. You pay the current gas rate, and the computers involved in validating the transaction and making room on the blockchain get compensated for the extreme processing required.

    Sadly today this fee is $134 USD. That is about 130 dollars above my comfort zone.

    Gas price changes daily. Ethereum 2.0 is moving to a different model that will hopefully drastically reduce gas prices.

    Oh well, I got into this to learn, not to get richer.

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  2. Snowflake's Avatar

    Haha

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  3. Barthax's Avatar

    In some estimates, Bitcoin alone consumes more energy than Argentina. It's ultimately a false economy: the more popular they get, the more it costs to keep them running and the more blockchains exist as more crytpminers target that blockchain*. Someone has to pay the bills & when the fad fades, some blockchains are going to simply disappear & with them their "value" will also.

    * Non-fungible items have a pseudo-cryptominer: the publishing of shite for publishing's sake.


    I wouldn't be surprised to see the opposite of what happens in company shares. In company shares the current pool of shares is doubled (this is a very over-simplistic view for demonstration) and so halving the value of the new individual share vs. the old. Everyone that used to own one gets two - same value as they already had (again: very over-simplistic view for demonstration). More shares can then be sold and thus there's a sudden spike as the landrush to grab the "new pot of value" as the existing owners shed part of their stake. In blockchains, I wouldn't be surprised to find a conversion rate of one blockchain to another blockchain where the second blockchain has far less numbers (but individually more valuable) - just to reduce the ongoing energy costs.

    LikesSnowflake liked this post
    Updated 03-14-2021 at 01:24 AM by Barthax
  4. Snowflake's Avatar

    with silver and gold so important to electricty and electronics, anyone who believes in the future of bitcoin should be a yuge silver and gold investor. If bitcoin really isnt a bubble and will stay this high or go higher, than a lot of the price is already bid up by investors, but gold and silver have yet to see the future price increased priced in.

    seems like a win win for metal. it bitcoin succeeds then the physical silver and gold needed for its electric use will sky rocket, if bitcoin fails, the physical silver and gold goes back to the doomsday prepper future seeing alt currency. either way you slice it, this is convincing me gold and silver is the way to go.

    i'm actually surprised now that i think of it you dont see gold and bitcoin people talking together more considering how much bitcoin depends on gold and how much gold is therefore helped by bitcoin. a natural alliance if i ever saw one

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  5. datagod's Avatar

    Electronics certainly do require gold and silver in the manufacturing process, along with other minerals. Over the next 15 years I believe we are going to see a concerted effort at mining on the moon, or finding a nearby asteroid loaded with megatons of precious metals.

    It is such a valuable commodity, but supply and demand set the price. If they spend a few hundred billion to capture an asteroid with a few hundred trillion dollars worth of metal, will the value of the metal drop enough to make the whole effort a huge giant failure?

    As for the electricity being consumed by mining, Bitcoins are in limited supply. 21,000,000 total. Once they are all discovered, no more mining will need to take place.

    Other coins such as Ether and the Ethereum blockchain are moving away (potentially) from mining to go to a proof of stake model. Instead of calculating hashes and earning Ether, entities will need to hand over 35 ETH in order to take part in the validation of transactions and smart contracts. In exchange for getting things right, they will earn a reward. If they get things wrong (approving an invalid transaction) will cost them ETH.

    The goal of proof of stake is the VASTLY reduce the amount of processing required to run the network, which is great for the planet overall.

    I find it all so facinating.

  6. RedDawn's Avatar

    Gold is undervalued right now. Many people interested in Crypto are also interested in precious metals.
    It all depends on what exactly it is your wanting to do, cuz one could trade futures without ever actually having the metal, or one could actually buy the metal themselves.
    If I had a large fortune I wanted to protect from inflation or the dollar being devalued in some other way I would definitely buy physical gold, even if the price wasnt undervalued, just to protect against inflation.

    I believe Palladium is highest valued metal on common markets. And yea silver is used in electronics as well and is likely to go relatively higher in price in the future.

    With stuff like stocks and precious metals the gains are usually minimal compared to crypto, ala the risk is much higher as well. Bitcoin has went from 10k to 60k in a matter of a few months, and thats not abnormal. We are in a bull Market right now, many crypto coins have seen anywhere from 5-10X gains and more. Ethereum went from $377 a coin in October 2020 to being worth almost $2000 a coin now.

    Ive been lucky enough to make a little profit from it, nothing too crazy. Enough that I could buy a used Motorcycle and an Arcade game Ive been wanting for awhile anyway! LOL But I am still a newb to it all really, its something I always found intriguing but never really got into until September or October of last year.

    As for Gas, yea even Bitcoin has a small transaction fee of sorts like that, the cost depending on how many people are trying to make transactions at that moment. Crypto is at its most popular right now, so those fee's are at all time high's. If you doing it all in a single exchange like coinbase though that 'gas' type fee doesnt exist since its being traded within the exchange, though there is a small fee from coinbase itself.
    As for first hand experience Ive really only dealt with more simple stuff, trading apps such as coinbase, Robinhood, Webull, Bybit, stuff like that. I dont know a whole lot when it comes to the actual blockchain and all those mechanics. I try to keep up, but its a lot.

    Likesdatagod liked this post
    Updated 03-14-2021 at 10:22 AM by RedDawn
  7. Barthax's Avatar

    In terms of pricing of "precious" anything then diamonds are the story of ownership. There's so many diamonds already mined that the price would be nearly worthless if they flooded the market. As it is, the tide of diamonds reaching the market is so controlled it artificially keeps the pricing high.

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  8. Snowflake's Avatar

    Quote Originally Posted by Barthax

    In terms of pricing of "precious" anything then diamonds are the story of ownership. There's so many diamonds already mined that the price would be nearly worthless if they flooded the market. As it is, the tide of diamonds reaching the market is so controlled it artificially keeps the pricing high.


    thats why i admit i cant give investing advice, however i think with fundamentals its easy to predict long term, though diamonds are an example where the long term fundamentals may take 100s of years to catch up with, so admittedly long term/fundamentals are sometiems too theoretical to be useful, still in general its what i'll bet on.

  9. Snowflake's Avatar

    i did buy one share of gamestop at $69 and sold at $140 as well as one share of koss at $20 and sold at $30, so i am willing to ignore fundamentals if its fun enough and it theres strong reason to believe it'll work out.

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  10. RedDawn's Avatar

    Yea the diamond industry is a complete racket.

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