If you want to be confused, read up on how bit coin works.
Yeah, it is confusing. I'll tell you what's the biggest threat to Bitcoin- the greenies. All these crypto currency "miners" are running high powered computers systems 24/7 to serve no need other than collecting Bitcoins. There are single purpose systems out there that do nothing else and run up power bills on the order of $1,000/month. Wait until the environmentalists figure this stuff out.
Oh, that ship has sailed! The greenies are already claiming the sky is falling.
http://money.cnn.com/2017/12/07/technology/bitcoin-energy-environment/index.html"Bitcoin uses about 32 terawatts of energy every year, enough to power about three million U.S. households, according to the Bitcoin Energy Consumption Index published by Digiconomist, a website focused on digital currencies.
By comparison, processing the billions of Visa (V) transactions that take place each year consumes the same amount of power as just 50,000 American homes, according to Digiconomist.
More worryingly, Bitcoin's energy demands are set to explode.
"As bitcoin grows, the math problems computers must solve to make more bitcoin get more and more difficult," which means more processing power is needed, Holthaus wrote.
And he made a startling forecast: Without a significant change in how transactions are processed, bitcoin could be consuming enough electricity to power the U.S. by the middle of 2019.
Six months later, that demand could equal the world's power consumption.
The fact that most bitcoin is mined in China is also fueling the environmental concerns.
The country's hinterlands have proved attractive for the data centers that bitcoin mining requires because "electricity and land are very cheap," researchers at the University of Cambridge wrote in a recent study.
A lot of the energy in provincial China comes from inefficient, coal-fired power plants that were built in anticipation of big construction projects that never happened, according to the researchers."