I greet everyone in his or her capacities. Am here to appreciate the great lecture done by @owesononso which is blockchain rewards. Indeed this is really a nice lecture and let me go ahead to answer his questions.
In your own words, explain mining and block reward.
As for my own understanding I know that the word mining means extraction forexample oil, petroleum, gold among others.
So in Blockchain In defines mining as the extraction of transactions on a Blockchain where data is stored. So mining shows evidence that the transaction has took place on the block chain.
Block reward
As you well know that the word reward means appreciating. So block reward is where miners on the block chain are rewarded for the successful mining of a block in crypto currency. Forexample a successful mining of a bitcoin block and so they are given a value as a reward.
What do you understand by Bitcoin halving?
Bitcoin halving means two halves that’s every four years a successful mining of BTC is splitters into two halves as a reward for instance in May 11,2020 the BTC price was $8,821 and in April 12,2021 soared to $63,558 And this reduced the mining of many blocks. And in this case the reward system reduced to 6.25BTC per block mindedness and till now it’s the amount of BTC block mines.
What are the effects of the halving on miners.
Halving has led to decreased supply of bitcoin and this is due to inflationary rate that has decreased which is reducing the purchasing power of the BTC and this is due to halving . Forexample In 2016 inflation dropped from 4-5% where now it is on 1.76%. Hence an efffect on miners.
Halving has also reduced the rate at which a new BTC coins are created. That is low available supply which can cause some implications for investors as other assets with low supply like gold can have high demand and push prices higher.
Also halving has led to low payments of the BTC and acceptance to pay is also low which leads to fluctuations and this has led to a price drop in bitcoin. Forexample In a week that followed Mr. Musk’s statement the price of the bitcoin plunged below $40,000 after chinese regulations announcing banning of financial institutions.
So these are the effects of halving on miners and really they have a negative effect mainly because of inflation rate decrease.
What is the current height on the BTC Blockchain? How many more blocks before the next halving?
The time of my research, from the above images we see that the height of BTC block was 696262.
210,000blocks are mined before halving and as we know that the bitcoin has 4 halvings now let us see in the next step.
Total number of BTC blocks needed to be mined for the next halving = 210,000 * 4
= 840,000 blocks of the BTC
Current block height = 696262 blocks
Number of blocks remaining for the next halving = 840,000 - 696262
= 143,738 blocks needed before the next halving.
Do you think steem’s inflation rate reduction can affect other coins ? Why?
As to my side I don’t think steem’s inflation rate reduction can affect other coins because inflation rate is not significant compared to the other crypto currencies where it reduces by 0.01% at every 250,000blocks mined.
And also since the inflation rate is higher than it is supposed to be then it reduces slowly which can’t affect other coins.
What is the current block height on the steem Blockchain? How many more blocks before the next reduction 0.01% reduction?
During the time of my research the block height was 56,480,122
The inflation rate which reduces by 0.01% at every 250,000blocks .
Total number of reduction = 56,480,122/250,000
= 226
Block height for the next reduction = 226 * 250,000
= 56,500,000 and this must be mined before the next reduction.
Number of blocks remaining till the next reduction = 56,500,000 - 56,480,122
= 19,878 blocks must be mined before the next 0.01% reduction.
Continuation of last week’s work.
What is the current value of the BTC on the day you are performing this task? If you make a purchase of $2500 then.
a) How many satoshi would you have?
b) What is the value of a satoshi for that day?
Solution
a) Value of the BTC as per the day of my research was 45,399.22
If I purchase $2500
So if 1 BTC = $45,399.22
? BTC = $2500
BTC = 2500/45,399.22
= 0.0551 BTC
Therefore
1 satoshi = 0.00000001BTC
?satoshi = 0.055 BTC
satoshi = 0.055/0.00000001
= 5,500,000 satoshi
So if I purchased $2500 BTC I would have 5,500,000 satoshi.
b) the time of my research 1 satoshi was 0.00000001BTC
1 satoshi = 0.00000001 BTC
1 BTC. = 45,399.22
1 satoshi = 0.00000001 * 45,399.22
= 0.000454
What is the value of the BNB on the day you are performing this task? If you made a purchase of $30 then.
a) How many jagers would you have ?
b) What is the value of a jager for that day?
Solution
The time of my research the value of BNB was 404.44 so if i made a purchase of $30
1 BNB = 404.44
? BNB = $30
BNB = 30/404.44
= 0.0742 BNB
1 jager = 0.00000001 BNB
?jager = 0.074 BNB
= 0.074/0.00000001
= 7,400,000 jagers I would have.
b) 1 jager = 0.00000001 BNB
1 BNB = $ 404.44
1 jager = 0.00000001*404.44
= $ 0.000004044
In conclusion therefore I would like to appreciate @owesononso for the wonderful lecture really I have gained a lot from blockchain rewards and really it is an interesting session.