This just isn't how the grid works. Texas has added more than double the amount of renewable energy than any other state grid in the last two years. These investments introduce variable production and require on-demand response to keep the demand/consumption balance steady. Normal / residential consumers do not have a steady demand, don't prepay power usage, and don't guarantee future power usage. All of these factors are what make industrial demand response valuable and necessary for the modernizing, increasingly-renewable based, power grid. ERCOT isn't perfect, I think there are areas for vast improvement, but I think your comment is a little uninformed as to how the grid currently works and will be working in the future as we increase renewable production.
HN user
wc-
Software engineer focused on blockchain tech and crypto trading markets.
Totally agree! But this isn't the reality we live in today and you have proposed a potentially better option with no ideas on how to achieve it. What you need to focus on is how we can grow a better grid while achieving prepaid usage levels, guaranteed usage levels, and on-demand response. These factors are what lead to a more efficient, more climate friendly, more better etc etc grid.
There's a lot of misunderstanding in the comments so far regarding bitcoin mining incentives. I urge you to read this thread describing the split-second load-shedding response time from the POV of one of these miners:
https://twitter.com/ogbtc/status/1699588007664275873
It also goes into the other mechanism by which they make money (being natural sellers of future energy demand contracts during times of high demand). This mechanism is similar to how other commodity markets operate with producers, consumers with steady future demand, and consumers with unpredictable short-term demand.
Our energy grids need to keep an equal demand/production at all times, and on-demand load-shedding is a valuable part of this equation. The bitcoin miners are providing a service to ERCOT and being paid for it. If there were a more "productive" source of on-demand energy usage, then it will replace the bitcoin miners, this is how markets work (of which both energy production/consumption and capitalism in general are).
This is the reality of how the texas energy grid works at present. The bitcoin miners, for lack of a (subjectively) "better" option, are filling the two needs of elastic load-shedding and predictable future demand. The first is very hard to fill, the latter can probably be fulfilled more productively with steady demand from other industries (factories, data centers, other things that run 24h per day).
One more edit: this whole equation changes COMPLETELY if we have the ability to store energy production in times of low demand to be used in future times of high demand (batteries). We don't currently have this at any sort of reasonably useful scale, we need this, and the current "market" everyone is upset about is a bandaid on top of the lack of decent storage options. For the climate folks, the anti-bitcoin folks, whoever disagrees with what I've said here: Fix the storage issue and everything gets magically better. Good luck, it's a very hard problem with very nasty environmental impacts, I'm rooting for you.
This point is getting missed by a lot of people I think. FTX / Alameda had a part in funding almost all solana-based projects, and almost all of these fundings involved some kind of "use FTX as your bank" fundraising stipulation. So not only were they propping up the ecosystem with projects getting funding that might not have really deserved it, but now those projects have no treasuries.
The entire solana ecosystem is just nuked now and it isn't hard to see this in on-chain activity and project/dao comm's.
edit: as a dev solana had some nice implementation details and was a step forward over some other chains in some ways. IMO it's totally DOA now, but I hope the dev community (whoever is real and not an alameda-funded "anon" dev etc) continues on in some capacity on a fork or other chain.
Coinbase adds new assets to the pro option first, establishes a market, and then adds to the retail Coinbase "buy button" app. When a user hits the retail Buy Coin button, the internal market maker fills the order against the coinbase pro's order books.
Anyone have other resources (besides the who's hiring monthly thread which is my favorite) for remote work hiring that are worth checking out? Especially not just technical roles?
I don't really want to say more because I'm worried that the creator of both of these (Richard Heart) would somehow be litigious, but please do more research, especially into how the hex network handles fees and rewards flowing back toward the creator. There are very concerning behaviors of the hex network that enrich the creator at the cost of everyone else. Pulse is doing the same, it's a playbook being followed.
And this is coming from a very pro-crypto person, non-btc maxi etc, type of person.
Regarding this "print": https://twitter.com/paoloardoino/status/1467504705857335302?...
"PSA: 1B USDt inventory replenish on Tron Network. Note this is a authorized but not issued transaction, meaning that this amount will be used as inventory for next period issuance requests and chain swaps."
The tether CTO routinely comments on these seemingly large moves because people get very worked up about them.
Why does tether seem to bring out the tinfoil theories from people that have absolutely 0 background in finance or crypto market structure or econ in general.
thank you for responding with this info. i had no idea dxdao even existed and now this will be my first answer to any curious devs!
There's a lot of back and forth about the general idea of NFT's, why would visa do this, the usual HN pros and cons of crypto, etc, in this thread.
To the software devs on HN that might scroll past this, before you close this tab because of all the crypto stuff when you want to read about coding, hang on a sec!
There are some really really cool new user experiences being unlocked with so-called "web3" tech. Micro transactions, wallets embedded in your browser, these technologies offer so much potential for things far beyond a punk NFT or cryptokitty.
Any front-end dev I talk to in person I urge to get in contact with some of these communities and try out a consulting project or two, so I'll urge the same here. The pay rates right now are outrageous and you will get to try out some tech that might end up being useless or might end up being the next major comms layer, exciting times!
edit, adding some links here:
https://ethereum.org/en/developers/learning-tools/
https://ethereum.org/en/community/
https://ethereum.org/en/learn/
some of the above are ethereum specific, but there are always new communities popping up and out of ethereum. for example, Avalanche is ramping up their dev community funding right now with over $170m committed to the ecosystem.
Why do you care if this company wants to take on the hassle of converting the bitcoin to $ for the customer? It's an additional source of revenue for them.
I buy a house with a mortgage, I owe $1k a month or whatever to this company to pay my mortgage. If I pay with bitcoin it is a capital gains event to convert it to USD and I would owe capital gains taxes on the $1k per month or whatever my payment is.
It's the same as if I were to convert the bitcoin to dollars on my own and pay via dollars. Taxes are still paid in this scenario just as they would be if I converted the bitcoin to dollars and did whatever else with it...
Why so angry about this?
This sounds really helpful, can you provide any links to read more about setting these helpers up?
The screenshot he shared supporting this claim was shown to be easy to forge. (source: https://twitter.com/Mike__V_/status/1116725165168177152?s=19 )
I think before continuing further you should familiarize yourself with the mountain of evidence showing lies, fraud, and deceit found at:
- https://en.bitcoin.it/wiki/Craig_Wright
- https://www.stopcraigwright.com
- https://news.bitcoin.com/craig-is-a-liar-early-adopter-prove...
- tax fraud in AUS, attempting to cover this up is most likely the cause of his campaign: https://medium.com/@Bitcoin_Beyond/forensic-report-raises-qu...
The list goes on and on, the evidence is easy to find and there is really no excuse for trying to push this theory.
The wash trading volume has nothing to do with tether (the trades are not even executing against the book in many cases, just reported as trades on the data feeds CMC consumes). Exchanges are using bots to wash trade back and forth on every trading pair to give the appearance of massive volume in an attempt to gain customers. It is very easy to see on charts and has nothing to do with propping tether up, whatever that means.
CoinMarketCap has been asked to exclude these exchanges from their volume reports for a long time and ignores them, most likely due to a conflict of interest (exchanges pay to advertise on CMC for example). Just like someone can create a new token and artificially inflate its market cap, exchanges can be created and artificially report their volume. CMC does nothing to filter this out and it results in a totally misleading view of the crypto markets.
OnChainFX is one example of an attempt to remove those wash-trading exchanges from the total volume reports.
My only reason for the inital reply was to urge people to not use CMC volume reports, there are better options out there that reflect real trading activity.
Just a heads up, CoinMarketCap has been deliberately dragging its feet on addressing the issue of blatant wash trading to increase volume reported on some unregulated exchanges (especially some coming out of/focused on asian markets).
There are a number of sites working on more reliable volume metrics, one is here: https://messari.io/onchainfx . (edit: it is the "Real 10" 24 Hour Vol column)
What CMC is doing is disingenuous at best, they have a clear conflict of interest, and they are holding back the industry. We should push for alternative sources of information.
Tether has maintained $1, tether redemptions are smooth, bitfinex premium over market has returned to ~0% and was even at a discount during the push up through $7200. There are serious problems ahead for Bitfinex legally, but bitfinex is not leading the price action and is certainly not driving up prices.
Source: Work in the space every day at an algo/automated prop trading and market making firm.
These are wild claims and we are going to need to see some references.
I don't think you should be allowed to make a one-liner comment "This is really cool!" and then follow it up with a 15 line copy-pasted sales pitch for a potentially competing product.
That being said, it is refreshing to see a barebones data site by geeks for geeks! I'll following up to find out what they have behind the client subscription.
The crypto market is down 75% to 95% or more depending on the asset. This is a last ditch effort to stay solvent after betting the farm on the bull market continuing around Jan 2018.
The buddy would owe taxes on receiving the money like receiving any kind of money (is it a gift etc?). Beyond that they owe capital gains or can take a cap gains loss due to changes in btc price if they hold onto the btc. If they receive it and immediately cash it out the additional potential capital gains taxes would be extremely minimal. I don't really see what the issue is here?
People send and receive money and owe taxes on it, whether it is using bitcoin or dollars or whatever... The difference here are the reasons the parent post said they enjoyed sending the money via btc.
Per FINRA rules: Cash accounts are effectively limited to a settlement schedule (at least a day) in which the unsettled funds from one trade cannot be used for another trade. If the unsettled funds are used for another trade, it begins to count toward pattern day trading. Attempting to bypass the pattern day trading limitation with a cash account can also be subject to good faith violations.
So to follow FINRA's rules, Robinhood will limit cash accounts from pattern day trading as well as margin accounts. The rules applied to margin accounts are stricter, but truly day trading in a cash account won't work for long.
GDAX bot activity is all: speculative automated trading, arbitrage, or (and most importantly) coinbase's own activity on the gdax exchange. They have to fill orders for all their customers clicking the buy button on their iphone apps. 100k new customers A DAY were seen at bitstamp, the coinbase app was the #1 app in the appstore, that is a lot of retail buying activity. Those buys are then passed to traders / bots that fill them on the exchange so I get that it looks automated and one-sided.
"if you try to arb it, all of a sudden the spread disappears" - well there's a lot of people trying to do the same thing because they think it is easy money and no one has thought of this great idea of buying LTC on one exchange and selling on GDAX, so when your incoming transfer of LTC completes so do a bunch of other transfers all doing the same arb trade (and those are automated and will beat you in the race).
The blogs you are referring to I do not hold in high esteem. I maintain high levels of doubt about exchanges as a whole and realize the extremely high counterparty risk more than most in the space, but their ideas about painting the tape and nefarious bots are misguided at best.
For whatever reason I always get too tempted and have to jump into these crypto-arbitrage posts that appear on here about twice a month.
This is by far the most informed reply I've seen in all those threads I've read.
Especially wanted to highlight the last two sentences: there is no way to do risk-free arb in crypto due to counter party risk with exchanges. Even if it might seem small, it isn't small! The opportunity size, scale, roi, etc need to outweigh that risk and (despite playing in this sandbox which I guess makes me a hypocrite but w/e, just trying to help...) I don't think it is worth it right now.
To be fair, all arbitrage is? You are picking up a nickel against a price move with no real guarantee you can execute the other leg successfully.
The very large spreads you see here are (usually) caused by some unexpected interruption to the usual stream of arbitrage trades. These unexpected interruptions could be anything from a temporary wallet maintenance to an overloaded exchange not accepting trades for a few minutes to people fleeing an exchange due to insolvency (mt gox). If everything is working correctly, then we might get a wonderful situation where users on one exchange are just going nuts for buying a specific crypto, and then it can be very profitable but also usually short lasting. One example of this was the recent run-up of LTC's price.
When things are running "normally" the arb space is pretty crowded especially amongst crypto-crypto pairs. Things like BTC-USD arbitrage between a USA exchange like GDAX and a Korean exchange are more of a regulatory arbitrage than a trading arbitrage (it takes a lot of work to get set up to trade and withdraw money from Korea to the USA to balance the sell-leg of the arb), so I would ignore those as they are really out of the scope of a HN tech discussion.
I think this site has come up before and I might have commented on it. If you are seeing these spreads and thinking about quitting your day job, don't.
Source: I did quit my day job and paired arbs like this account for about 0% of trading volume we do.
Shameless plug: if you are interested in this stuff feel free to contact me, info should be in my profile.
I'll probably be downvoted into oblivion for hating on the latest hot internet rumor, but here is why I believe the tether rumors should be ignored:
The tether situation has been twisted into a PR campaign against bitcoin by the bcash supporters (formally the segwit2x) supports.
When the segwit2x fork was cancelled, /r/btc (a segwit2x and bcash community) and a number of popular twitter accounts suddenly started picking up the bitfinex'd anti-tether campaign. This includes a large group of what are most likely twitter bot accounts (have not tweeted in a long time, all joined around the same time, etc).
Tether/Bitfinex is working on an audit but this takes considerable time. The auditing group will not put their stamp of public approval on an audit until it has gone through the most stringent reviews.
Tether has been receiving significant "institutional" money over the past few months specifically trying to exploit the bitfinex USD lending market.
Given how Wells Fargo and other large banks have been treating any company related to the bitcoin space, it is not in Tether's best interests to publicize which banks they are using. Hopefully someday this situation will improve, but for now if you run a company in the cryptocurrency space your fiat banking is tenuous at best, therefore you do not advertise your industry to your banking partners.
Bitfinex is making $5m or more per day on a slow day, and has been for quite a while. This revenue stream can be used to support Tether if needed.
Tether's USD pair on Kraken has remained close to $1. This would be the first market to go crazy if there were an actual issue with Tethers as the tether holders would rush to redeem them at Kraken instead of via Tether themselves.
The "printing" of Tethers is now largely being sent to Bittrex and Poloniex in order to support their customers' tether balances. Tethers are a public blockchain, do the research and follow them to their actual destination.
Even if every single tether were being used to borrow margin funding on bitfinex and buy bitcoin, it would hardly make a dent in the daily BTC volume at Bitfinex. Tether "followers" make a big deal about a 15m or 30m tether generation event, but even with this being used for 3x margin on bitfinex it would hardly make a dent on the > 2.5B usd trading volume.
There are many more arguments supporting or attacking tether. I will not be responding to any comments because I have a feeling this will turn into a mess but I just wanted to throw some more information / opinions into the mix. The whole cryptocurrency world has been completely fueled, almost lives off of, FUD and rumors that would push a price up or down. This feeds right into that.
BUT:
At the end of the day you should trust no exchange, the entire point of cryptocurrency is that you control your own holdings.
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Bitpay is a payment processor, they receive bitcoin on behalf of a store, and then give the store USD or EURO or whatever. When Bitpay says their activity has gone up, that means more bitcoin is being used to pay for real goods, services, etc.
Please go back and read the article, or just look at their homepage...
Ethereum's value, its reason for existing, is the deployment and operation of smart contracts.
When one of the most popular semi-complex smart contracts fails not once but twice in a matter of months (losing hundreds of millions USD in the process), it is time to look not at the newbie or the contract programmer, but the platform itself.