I have another question. Because hard drives are cheaper, have a large surplus in supply and it consumes less electricity for mining then wont the coin using it for mining be cheaper as a result? Comparing it to gold mining, what if gold can be found everywhere and mined easily with a shovel. That will make gold cheaper wouldnt it?
Yep. That too.
Still if enough people holds the coin no matter what their mining costs are, coin can still go up. Burst is a speculative coin almost like any other coin out there.
Do you think a btc miner would be holding his coin just because he spent $6k to mine it if there were no buyers at all?
Maybe yes, maybe no. But some of those miners will eventually sell them for pennies just because they have bills to pay. Because they invested too much in mining. Those who can afford to hold, will hold. (Usually the small miners who can pay the bill from their pockets)
That's not the exact situation with burst. Zero mining cost here. That's why it's completely speculative. That's why I suggest you to not buy too many HDD's. Throw 500-600 bucks at most and be done.
Btw, I just realized it is not healthy to look at the situation just by thinking the mining costs. Burst has a great tech too. You should take this into consideration.
There are hundreds of dead coins with the exact same PoW mechanism bitcoin has. They still died anyway which means mining algo/PoW itself don't mean much.
