Norwegian entreprenour plans to put chinese miners out of a job ! atleast some of them :P

With revolutionary processor technology, the company Cryptotech claims that it will proclaim the majority of today’s bitcoin miners in the world

Entrepreneur Erik Solberg plans to set up a huge data center in Norway, which will be responsible for half of the world’s new bitcoin, with a power consumption of a big Norwegian city.

"We are going to outperform the Chinese, which today controls 60 percent of all bitcoin mining in the world. One side effect is that we move bitcoin from polluting coal to climate-neutral hydropower, "says Cryptotech chief Erik Solberg.

"Today, the bitcoin is mined for 30 million dollars a day. We are planning to control half of this, "said Solberg, who has several smaller greenhouse companies.

Together with two researchers in processor technology from the United States, the Norwegian engineer plans to set up a huge data center somewhere in Norway.

"We have found facilities that are big enough and have the kind of power supply we will need. But we have not gone out with any specific location. There are probably many who would like to put sticks in the wheels for us, in cases where sabotage is known from earlier in bitcoin context.

New transistor technology
The core of the business idea is Chryptotech’s new processor, based on a new, simpler and more efficient CMOS transistor.

This makes the processor both easier to produce, far faster, requires less power, less cooling, and that the cores are smaller, so there is room for much more on the same area.

Solberg says the simulations have confirmed that the Chryptotech processor will be six times faster than today’s most common bitcoin processor S9, and 25-30 times faster per. area.

“Adding all the benefits together will be a total of 125 times more efficient than the nearest competitor,” Solberg claims.

Tried earlier
Solberg says he has minted bitcoin and several other crypto currencies since 2009. In 2012, he tried to start mining on a larger scale, but was downsized by his investors.

“Then I started a drones company instead, which was very hot at that time, and has continually regretted more and more,” says Solberg.

This summer, he contacted his former acquainted Tom Agan, with a background of chip design in, among others, Mostek, Cray and Honeywell, who again put him in contact with James Lupino.

  • Only then did we know if the new unipolar technology Lupino had developed and could possibly be used for mining.

The data center is being added to Norway because of cheap power and stable political and geological conditions. The start-up will be in August 2018.

READ ALSO: Krypto-Stool: - I’m not near to buy

Token sales for $ 200 million
The company is launching token sales of $ 200 million on its web sites.

Buyers are granted mining capacity rights for two years from August 2018. The company estimates a 5-point return, provided the bitcoin price is over $ 5,500, and far higher if it stays on today’s $ 17,000.

  • If the technology is so revolutionary, why not use it in other processors?

  • You can certainly. But a bitcoin mining chip is pretty stupid. It will solve a single type of equation, an SAH-256 algorithm, and may not add 2 + 2. A typical processor to solve all kinds of tasks takes five to seven years to develop, while a mining chip takes a few months.

According to the simulations, technology will work according to the plan. In February, the first prototype will be ready, and then it will be through its first production round at German Global Foundries.
Power for a city
The planned power consumption, however, becomes impressive if everything goes according to plan.

Even though one of Cryptotech’s mining devices will replace 70 Chinese, it will nevertheless be free to replace 50 percent of global bitcoin production. According to Solberg, up to 2.3 terawatt, which corresponds to around 5 percent of today’s Norwegian power consumption.

"But the whole plan is that the bitcoin award does not go to the basement?

  • The Bitcoin award is of course the biggest variable here. But we have very low production costs, and the price must go extremely low before we go in minus. Then we speak 2012 levels of around $ 100.

Source :http://www.hegnar.no/Nyheter/Boers-finans/2017/12/Erik-vil-bli-verdens-stoerste-bitcoin-produsent
Translated with Google translate :stuck_out_tongue: and im tired so keep that in mind when reading ;O

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Thanks for dropping this! Juicy news!

Competition is always good. It will improve the network and make it more decentralised.

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does the end say theynwill only jump intot he market iff the price goes to 100 bucks? did i misunderstand

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They want to control 50% of all mining. I don’t like that at all. What happened to decentralization? I do not like these asic mining equipments. Bitcoin core team should change the mining algorithm to favor CPU mining if possible to counteract these kind of attempts to centralize power. Thats how I feel anyways

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This is mentioned in the satoshi’s white paper…
BTC will evolve eventually.
Hardware will also change…
As the BTC get more valuable, big companies like Intel may produce chips and start mining it…
Then we will need to worry about Intel being in charge of mining.

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One of the reasons I like Monero is that they have promised to counteract these kind of attempts by changing the mining algorithm. That takes power away from the miners, and gives it developers. I personalty prefer the developers to have more power than the miners, but I could be wrong. Maybe that´s bad for some other reason.

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No wonder why Monero is used in the dark web…
Is Monero the third coin after BTC & LTC? :smiley:

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25% of all mining in Monero is done by botnets for this reason (CPU mining possible) and because of its anonymity…

I think Bcash and Dash are bigger

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Read recently that some Russian company was looking to invest 1billion NOK in starting Crypto mining in norway .https://www.digi.no/artikler/russisk-datafirma-satser-stort-pa-kryptomining-i-hedmark/414787

A Russian computer company will invest heavily in mining crypto currencies - like bitcoin - and will invest close to $ 1 billion on data servers located in Alvdal in Hedmark (Norway)

The first machines will be in place already in February next year, and then the server park will expand in the next year.

“We live in the midst of a technological revolution and must position ourselves towards a technological future,” says Arild Løvik in Nordavind DC Sites to NRK.

Nordavind DC, which will build data centers, is owned by several municipalities and power companies in Hedmark.

Russians have found that Alvdal and Tynset are the perfect places to place the powerful data servers as they can afford a cold climate sheltered for natural disasters and with a well-developed fiber network.

In addition, it spoke to the Norwegians that they quickly responded to the request from the Russians while providing enough renewable energy.

The company New Mining Company aims to create 10-15 jobs in 2018 and up to 50 jobs in 2019. The company will invest around 30 million euros next year and another 75 million euros in 2019.

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They said the price volatility is not a problem unless btc price drop below 100Usd (so it wont be a problem ever :stuck_out_tongue: ) for them to make a proffit

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ya i just read it all again. thanks for clarifing. thats makes more sense

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This worries me. If they control half the mining power they could do a 51% attack on the network, that would literally destroy Bitcoin. I think he is just saying that as marketing strategy, but if they somehow got control over that much mining power its bad news.

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Half of the chinese 60% of BTC hash power. =) so it will be 30% think its good that they take away hashpower from Bcash loving bitmain

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Sure?

“I dag mines det bitcoin for 30 millioner dollar i døgnet. Vi har planer om å kontrollere halvparten av dette, sier Solberg, som har flere mindre gründerselskaper bak seg.”

“Selv om én av Cryptotechs miner-enheter skal erstatte 70 kinesere, blir det likevel ikke gratis å erstatte 50 prosent av den globale bitcoin-produksjonen. Ifølge Solberg opp mot 2,3 terawatt, som tilsvarer rundt 5 prosent av dagens norske strømforbruk.”

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But where is the incentive for a 51% attack? Why would you want to destroy Bitcoin after acquiring mining hardware capable of such an attack? It would make it all pointless.

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Dang yeha he says 50% . but seeing as the russian firm is investing 120mill usd in mining in norway next year /and 2019 i guess they wont have 50%:stuck_out_tongue:

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A lot of things go wrong if 51% of mining power is concentrated to one company. One of them being that the intensives for hackers to access their computers would be astronomicaly high. Probably 1000 more things that could go wrong. The point of bitcoin is that its supposed to be decentralized. If they succeed with their mission (which I don´t believe they will) I´m leaving Bitcoin for something better.
.

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well they prob know about the 51% and thats probobly why they chose 50% and not higer:P and they will prob focus on staying below that, they wont invest money to lose it :stuck_out_tongue:

And when they upgrade to new equipment :stuck_out_tongue: so will others do :stuck_out_tongue: think its healthy that they make more Energy efficient miners:P wich will force the competition to do the same

And those miners will prob be buyable for us mere mortals:P after awhile…No need for Jetplane Antminers in the house anymore :o)

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Yea, I think is a bit of marketing trick also. A lot of companies will want compete and take a share of the mining profits

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