Serious issues with feathercoin and my suggestion
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[quote name=“ironstove” post=“54544” timestamp=“1390546921”]
The lack of knowledge on this board is astounding, most of the posters are just completely wrong and I can’t even begin to formulate an argument against them. Difficulty has nothing to do with the supply, and price has no impact on difficulty. FTC is a fork of BTC, so there is plenty of information already available for you to educate yourselves, there is no excuse for not understanding how the system works, and even less of an excuse for spreading false information.To those of you posting about how difficulty throttles the supply of FTC and how price affects the difficulty/supply, please do your research. I’m serious, it’s your money so at least do some research. And to those of you listening to these people and concluding now is the best time to buy, I suggest the same.
Won’t take you more than 20 minutes to permanently understand how you are investing your money…
https://en.bitcoin.it/wiki/Difficulty
https://en.bitcoin.it/wiki/Target
https://en.bitcoin.it/wiki/Mining
[/quote]Could you please explain how difficulty has nothing to with the supply. Because if I read what you wrote correctly and my understanding of difficulty is correct then I assume that if the difficulty is low then I can get more FTC a day but if it is high then I get less FTC a day and this is inversely proportional to the network hash rate. I mean then half the community is wrong when they get excited that the difficulty is falling and they keep throwing the phrase “I am going to mine big chunks because the difficulty went down”.If I have made a mistake in understanding what you wrote, please enlighten me.
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[quote name=“motherlode1” post=“54547” timestamp=“1390547993”]
[quote author=ironstove link=topic=7152.msg54544#msg54544 date=1390546921]
The lack of knowledge on this board is astounding, most of the posters are just completely wrong and I can’t even begin to formulate an argument against them. Difficulty has nothing to do with the supply, and price has no impact on difficulty. FTC is a fork of BTC, so there is plenty of information already available for you to educate yourselves, there is no excuse for not understanding how the system works, and even less of an excuse for spreading false information.To those of you posting about how difficulty throttles the supply of FTC and how price affects the difficulty/supply, please do your research. I’m serious, it’s your money so at least do some research. And to those of you listening to these people and concluding now is the best time to buy, I suggest the same.
Won’t take you more than 20 minutes to permanently understand how you are investing your money…
https://en.bitcoin.it/wiki/Difficulty
https://en.bitcoin.it/wiki/Target
https://en.bitcoin.it/wiki/Mining
[/quote]Could you please explain how difficulty has nothing to with the supply. Because if I read what you wrote correctly and my understanding of difficulty is correct then I assume that if the difficulty is low then I can get more FTC a day but if it is high then I get less FTC a day and this is inversely proportional to the network hash rate. I mean then half the community is wrong when they get excited that the difficulty is falling and they keep throwing the phrase “I am going to mine big chunks because the difficulty went down”.If I have made a mistake in understanding what you wrote, please enlighten me.
[/quote]It’s very simple:
Supply is constant.
Difficulty is variable. It varies in order to keep the supply constant. When the number of coins generated increases, difficulty increases, and the supply slows down. When the hash power decreases, the coin generation rate decreases, and difficulty comes down, allowing more coins to be generated. The net effect is that over any reasonable time period, the average generation rate doesn’t vary very much, and the coin generation rate is entirely predictable, and quite steady regardless of what the hash power available is.
Then, every 4 years, the block reward halves. This means that the coin is deflationary, because over time, less and less of it will come into existence at that steady rate, until one year there will be no more coins generated. Because the supply rate is steady, this can be tied to a date in the future with a good amount of certainty. The newsletter lists the stat “10 days behind expected generation rate” or something like that, which IS the measure of the variance in that difficulty adjustment: we’re 10 days slower than we should be because in the past, difficulty didn’t adjust often, but now it does. As a result, if the algorithm works right, we should ALWAYS be 10 days behind.
Therefore, difficulty has nothing to do with supply. Supply doesn’t change.
You are correct, however, that your share will be proportionately bigger on a coin with lower difficulty, as you will find a larger proportion of blocks.
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[quote name=“Kirjokansi” post=“54562” timestamp=“1390552269”]
[quote author=motherlode1 link=topic=7152.msg54547#msg54547 date=1390547993]Could you please explain how difficulty has nothing to with the supply. Because if I read what you wrote correctly and my understanding of difficulty is correct then I assume that if the difficulty is low then I can get more FTC a day but if it is high then I get less FTC a day and this is inversely proportional to the network hash rate. I mean then half the community is wrong when they get excited that the difficulty is falling and they keep throwing the phrase “I am going to mine big chunks because the difficulty went down”.If I have made a mistake in understanding what you wrote, please enlighten me.
[/quote]As I understand it the amount of coins released / time is (roughly) always the same. No matter how high or low the difficulty is. Fewer miners -> larger shares / miner. So yes you get more FTC when the difficulty is low, but there’s no more FTC mined as a whole.
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That is correct. There will be a new block with 200 FTE about every 2.5 minutes and the difficulty is adjusted every X number of blocks to realign the discovery of new blocks to that time.
If more hashing power is available to generate new blocks, the time between two blocks decreases and as a result the difficulty will increase to come beck to the 2.5 minutes time frame between two blocks.
