There have been many institutions and people who have grossly underestimated the potential of crypto.
Wired is one of the many Bitcoin skeptics who once existed. In 2013, Wired destroyed the private key to a Bitcoin wallet that held 13.34623579 BTC to prove the cryptocurrency was an abstraction. The Bitcoin at the address now unavailable is worth $761,000.
Robert McMillan, a Wall Street Journal reporter, set up a Butterfy Labs Bitcoin miner in his Wired office to see what all the fuss is about. He was not impressed by the results of his experiment.
All points given for being prompt, but none for making wise decisions.
He wrote, “The world’s most widely used digital currency is really nothing more than an abstraction.” He contemplated what to do with Bitcoin, and initially considered donating them to charity.
“But in the final, the answer was clear,” he wrote. “We’re destroying our Bitcoin wallet’s private key.”
“This leaves our growing Bitcoin lucre in a digital vault until someone cracks SHA256 encryption to unlock it.
The Butterfly Labs ASIC was producing an average of two Bitcoin per ten days at the time. Wired reported in an article that two Bitcoin were worth approximately $220 at the time. They’d now be worth approximately $57,000 per pair, or $112,000 each — an increase of about 51,000%.
It took on average 13 hours to mine 1 BTC with an ordinary PC in 2013. In 2014, it took 23 days to mine one BTC using an ordinary PC. According to the NYT, it would take 10 Years to mine 1 BTC in 2021.
However, Bitcoin mining difficulty has been growing exponentially since 2013. McMillan claimed that it was 10 million times more difficult to win the Bitcoin mining “lottery” since 2009.
Related: Bitcoiner loses nearly $100K in wallet transfer bundle
Reddit user leMartinx mentioned the article in a posting yesterday. He wrote that it shows “how far we have come from 2013”. However, many users were not so kind, including Cappy2020 who said that the article “serves them well for being so arrogant” and that even if you think Bitcoin is just “daydreaming”, you should still keep it in case you are wrong.
BakedPotato840, meanwhile, wrote:
It’s not surprising that people from the past have opinions on Bitcoin. These opinions are still held by people today, and they deserve to be criticized.
Eileen Wilson –Technology and Energy
My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.