{"id":509126,"date":"2022-11-11T22:40:01","date_gmt":"2022-11-11T19:40:01","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-might-finally-be-collapsing-and-thats-a-good-thing\/"},"modified":"2022-11-11T22:40:01","modified_gmt":"2022-11-11T19:40:01","slug":"bitcoin-might-finally-be-collapsing-and-thats-a-good-thing","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-might-finally-be-collapsing-and-thats-a-good-thing\/","title":{"rendered":"#Bitcoin Might Finally Be Collapsing, and That\u2019s a Good Thing"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2f082635970\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2f082635970\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-might-finally-be-collapsing-and-thats-a-good-thing\/#%E2%80%9CBitcoin_Might_Finally_Be_Collapsing_and_Thats_a_Good_Thing%E2%80%9D\" >&#8220;Bitcoin Might Finally Be Collapsing, and That\u2019s a Good Thing&#8221;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9CBitcoin_Might_Finally_Be_Collapsing_and_Thats_a_Good_Thing%E2%80%9D\"><\/span>&#8220;Bitcoin Might Finally Be Collapsing, and That\u2019s a Good Thing&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div>\n<figure style=\"width: 1200px\" class=\"wp-caption alignnone\"><img loading=\"lazy\" decoding=\"async\" class=\"type:primaryImage size-full wp-image-809235\" data-pagespeed-no-defer=\"\" src=\"https:\/\/www.howtogeek.com\/wp-content\/uploads\/2022\/06\/shutterstock_2142450165.jpg?width=1198&amp;trim=1,1&amp;bg-color=000&amp;pad=1,1\" alt=\"A pile of Wrapped Bitcoin (WBTC) tokens.\" width=\"1200\" height=\"675\"\/><figcaption class=\"wp-caption-text\"><span class=\"type:primaryImage imagecredit\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.shutterstock.com\/image-illustration\/pile-wrapped-bitcoin-wbtc-coins-various-2142450165\">David Sandron\/Shutterstock.com<\/a><\/span><\/figcaption><\/figure>\n<p>Bitcoin was the first mainstream cryptocurrency, but its high price has ensured it remains popular, even as the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> behind it became more outdated and inefficient. Now, Bitcoin might finally in a death spiral.<\/p>\n<p>One Bitcoin is still worth <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/redirect.viglink.com\/?key=204a528a336ede4177fff0d84a044482&amp;u=https%3A%2F%2Fwww.coinbase.com%2Fprice%2Fbitcoin&amp;cuid=xid:{xid}&amp;___trxnet=vg\">around $17,000<\/a>, as of when this article was published, but that\u2019s a significant drop from where the currency was valued a year ago. The currency was at an all-time high of <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnbc.com\/2021\/11\/08\/bitcoin-and-ether-hit-new-all-time-highs.html\">around $68,000 in November 2021<\/a>, so if you bought some then, you would have lost over 70% of your money. Bitcoin\u2019s value is based entirely on its algorithm of artificial scarcity (mining Bitcoin is designed to be more difficult as time goes on) and the perception of its worth to other people \u2014 the latter has certainly been damaged over the past year.<\/p>\n<figure style=\"width: 941px\" class=\"wp-caption alignnone\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-848085 size-full\" data-pagespeed-lazy-src=\"https:\/\/www.howtogeek.com\/wp-content\/uploads\/2022\/11\/Clipboard-Nov-11-2022-at-2.04-PM.png?trim=1,1&amp;bg-color=000&amp;pad=1,1\" alt=\"Bitcoin price graph over a 1-year period, showing a loss of $47,899.11, or -73.91%\" width=\"941\" height=\"517\" data-crediturl=\"https:\/\/redirect.viglink.com\/?key=204a528a336ede4177fff0d84a044482&amp;u=https%3A%2F%2Fwww.coinbase.com%2Fprice%2Fbitcoin&amp;cuid=xid:{xid}&amp;___trxnet=vg\" data-credittext=\"Coinbase\" src=\"\/pagespeed_static\/1.JiBnMqyl6S.gif\" onload=\"pagespeed.lazyLoadImages.loadIfVisibleAndMaybeBeacon(this);\" onerror=\"this.onerror=null;pagespeed.lazyLoadImages.loadIfVisibleAndMaybeBeacon(this);\"\/><figcaption class=\"wp-caption-text\">Bitcoin price graph from November 2021-2022 <span class=\"imagecredit\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/redirect.viglink.com\/?key=204a528a336ede4177fff0d84a044482&amp;u=https%3A%2F%2Fwww.coinbase.com%2Fprice%2Fbitcoin&amp;cuid=xid:{xid}&amp;___trxnet=vg\">Coinbase<\/a><\/span><\/figcaption><\/figure>\n<p>Since that all-time high in November, the United Kingdom <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/redirect.viglink.com\/?key=204a528a336ede4177fff0d84a044482&amp;u=https%3A%2F%2Fwww.bbc.com%2Fnews%2Ftechnology-60709209&amp;cuid=xid:{xid}&amp;___trxnet=vg\">ordered all Bitcoin ATMs to be shut down<\/a>, the Bexplus crypto exchange <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/web3isgoinggreat.com\/?blockchain=bitcoin&amp;id=bexplus-crypto-exchange-closes-gives-users-only-24-hours-to-withdraw-funds\">shut down with only 24 hours of warning<\/a>, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/decrypt.co\/105594\/elon-musk-tesla-sold-75-percent-bitcoin\">car manufacturer Tesla sold most of its Bitcoin<\/a> (at one point you could buy Tesla cars with the currency), and China has conducted <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnn.com\/2021\/11\/16\/investing\/bitcoin-china-crypto-mining-crackdown-intl-hnk\/index.html\">repeated crackdowns of cryptocurrency mining operations<\/a> in its country. That\u2019s ignoring the various <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/web3isgoinggreat.com\/?id=gala-games-tokens-drained-by-project-claiming-to-help-them-huobi-claims-the-project-profited\">hacks<\/a>, \u201crug pulls,\u201d and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnbc.com\/2022\/10\/27\/bitcoin-miner-core-scientific-warns-it-might-go-bankrupt-stock-plunges.html\">other incidents<\/a> that damaged trust in the wider cryptocurrency world, including Bitcoin.<\/p>\n<p>Bitcoin has taken another plunge in the past week, along with some other cryptocurrencies, partially due to the collapse of FTX, a platform for exchanging cryptocurrency. FTX had <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnbc.com\/2022\/09\/07\/gamestop-gme-q2-2022-earnings.html\">a partnership with GameStop<\/a> and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.youtube.com\/watch?v=Ut3m9OK1c7Y\">an advertisement during the last Super Bowl<\/a>, but a report on November 2 indicated much of the company\u2019s worth was wr<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ed up in a trading company (Alameda Research) owned by the CEO of FTX,\u00a0Sam Bankman-Fried. That led to Binance, another trading company, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/cz_binance\/status\/1589374530413215744\">deciding to sell their share of FTX\u2019s crypto token<\/a>, which quickly turned into <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/web3isgoinggreat.com\/?id=binance-moves-to-bail-out-ftx\">Binance attempting to acquire the entirety of FTX<\/a> to keep its investment stable. The next day, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.wsj.com\/articles\/binance-is-said-to-be-likely-to-walk-away-from-deal-to-buy-ftx-11668020963\">the deal was off<\/a>, trading platform BlockFi <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/web3isgoinggreat.com\/?id=blockfi-suspends-withdrawals\">suspended customer withdraws<\/a> because of its connections to the companies, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.scb.gov.bs\/wp-content\/uploads\/2022\/11\/Securities-Commission-Statement-on-FTX-101122-Final.pdf\">the Bahamas froze all FTX assets<\/a>, and now <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/web3isgoinggreat.com\/?id=ftx-files-for-bankruptcy-sam-bankman-fried-resigns\">FTX has filed for bankruptcy<\/a>. The situation is so bad that <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.coindesk.com\/policy\/2022\/11\/11\/sec-commissioner-hester-peirce-ftxs-collapse-could-finally-be-catalyst-for-regulation\/\">it\u2019s reigniting calls to regulate the crypto industry<\/a> like banks.<\/p>\n<p>Much like <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.cnet.com\/personal-finance\/crypto\/luna-crypto-crash-how-ust-broke-and-whats-next-for-terra\/\">the collapse of the Luna and terraUSD cryptocurrencies<\/a> earlier this year, the chain of liquidity problems caused ripple effects throughout the entire trading ecosystem, as one company realized the other didn\u2019t have as much money as they claimed. Unsurprisingly, that impacts the value of many cryptocurrencies (<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/redirect.viglink.com\/?key=204a528a336ede4177fff0d84a044482&amp;u=https%3A%2F%2Fwww.coinbase.com%2Fprice%2Fethereum&amp;cuid=xid:{xid}&amp;___trxnet=vg\">Ethereum is also down 73% in the past year<\/a>), but it\u2019s hitting Bitcoin especially hard.<\/p>\n<p>Bitcoin is unlikely to completely fall apart anytime soon, since there are still many people that see value in the currency, but it\u2019s difficult to see the currency rising back to its previous highs. That\u2019s probably a good thing, though \u2014 Bitcoin is one of the worst cryptocurrencies in terms of energy efficiency, and Bitcoin mining plants <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.theguardian.com\/technology\/2022\/feb\/18\/bitcoin-miners-revive-fossil-fuel-plant-co2-emissions-soared\">often use coal and other forms of non-renewable energy<\/a>. With climate change on the rise, and other coins switching to a better (but still far from perfect) proof-of-stake model, Bitcoin should be left in the past.<\/p>\n<\/div>\n<p><script async src=\"\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p><script>\n setTimeout(function(){\n  !function(f,b,e,v,n,t,s)\n  {if(f.fbq)return;n=f.fbq=function(){n.callMethod?\n  n.callMethod.apply(n,arguments):n.queue.push(arguments)};\n  if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version='2.0';\n  n.queue=[];t=b.createElement(e);t.async=!0;\n  t.src=v;s=b.getElementsByTagName(e)[0];\n  s.parentNode.insertBefore(t,s) } (window, document,'script',\n  'https:\/\/connect.facebook.net\/en_US\/fbevents.js');\n   fbq('init', '335401813750447');\n   fbq('track', 'PageView');\n  },3000);\n<\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more like this article, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/technology\/\" target=\"_blank\" rel=\"noopener\">Technology category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/www.howtogeek.com\/848084\/bitcoin-might-finally-be-collapsing-and-thats-a-good-thing\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Bitcoin Might Finally Be Collapsing, and That\u2019s a Good Thing&#8221; David Sandron\/Shutterstock.com Bitcoin was the first mainstream cryptocurrency, but its high price has ensured it remains popular, even as the technology behind it became more outdated and inefficient. Now, Bitcoin might finally in a death spiral. One Bitcoin is still worth around $17,000, as of&#8230;<\/p>\n","protected":false},"author":1,"featured_media":509127,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/www.howtogeek.com\/wp-content\/uploads\/2022\/06\/shutterstock_2142450165.jpg?height=200p&trim=2,2,2,2","fifu_image_alt":"","footnotes":""},"categories":[18],"tags":[],"class_list":["post-509126","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/509126","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=509126"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/509126\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/509127"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=509126"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=509126"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=509126"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}