financial principle – Is it logically inconceivable for me to earn a living this fashion?
Up till not too long ago, I used to be working actively on this challenge which might include an internet site the place individuals may pay with Bitcoin to submit inquiries to be answered by different individuals, and when the one who submitted/paid for the query marked a solution as “accepted”, the one who submitted that reply would get the Bitcoin reward despatched to them.
The extra I considered it, the more durable it grew to become for me to maintain working. Ultimately, really simply at this time, after realizing that Lightning Community is simply obscure, pre-alpha fluff, not wherever prepared for manufacturing, I killed the entire challenge halfways via. Or relatively, I’ll until someone can persuade me that it is a good suggestion in spite of everything. Here is the rationale why I feel it is inconceivable to earn a living this fashion:
- For instance that I am extraordinarily fortunate and really get individuals utilizing this service in any respect, which is in itself unlikely from my expertise. Suppose that Joe is keen to pay the Bitcoin worth of $50 USD for the precise reply to some powerful programming query. (This looks like it might be uncommon, and the standard quantity would possible be a lot decrease.)
- To begin with, Joe has to ship my service the Bitcoin sum amounting to $50 USD + my service’s payment + the Bitcoin transaction value. For instance my payment is 10%, so $55 + Bitcoin transaction payment. I’ve personally paid a mean of $10-12 USD for every Bitcoin transaction I’ve made within the final six months, utilizing my at all times up to date Bitcoin Core. So let’s rely low and say the Bitcoin transaction is $10. Which means Joe has to spend a complete of $65 USD in Bitcoin to ask his query, $50 of these to be forwarded later to the one who supplies the accepted reply.
- A while passes, presumably months. Joe lastly will get a solution he finds to assist him and so he marks it as accepted. My system makes a Bitcoin transaction of $50 USD to that individual, and I thus need to pay $60 USD in Bitcoin ($50 reward + $10 transaction payment). I do know you can “bundle collectively” many transactions into one you probably have tons of them and which aren’t time-sensitive, however my quantity of outgoing transactions will likely be so small as to make this meaningless.
- I’ve simply misplaced $5 USD in Bitcoin, assuming that the value has stayed the identical. If the Bitcoin value has gone down, I’ve misplaced much more! If it has gone up, I could have made some very minor revenue. For instance $1.
- The federal government now calls for that I pay them 30% of these minimal income. There goes $0.3. I’ve $0.7 left.
- I can use my $0.7 USD (if I am fortunate) to pay for half a small cheeseburger at McDonald’s.
Once more, this assumes that someone would really pay as a lot as $50 for a solution, and even then, there’s an especially slim probability of me making any cash in any respect from it. It is extra possible that they’ll need to pay one thing like $5, which might merely be inconceivable for me to just accept. I might need to make a minimal reward quantity set to $50 or extra possible $100 to face an opportunity of creating any cash to talk of in any respect, and the way many individuals are going to have the ability (and keen) to pay 100 bucks + my 10% payment + Bitcoin transaction payment?
I might by no means have even tried this if it weren’t for the truth that I am determined to earn a living, and I assume I used to be closing my eyes to actuality so as to have the ability to even get 50% prepared earlier than I noticed how futile this concept is.
After all, the Lightning Community would make this rather more cheap, however what can I say? I’ve actually spent an infinite period of time studying about LN and it simply does not appear wherever close to prepared for manufacturing. Each time I deliver it up, I am simply ignored or individuals do not actually need to speak about it. Even Bitcoin itself has not been adopted by regular individuals to any significant extent, despite all of the fixed “excellent news”, and the LN is sort of a small fraction of Bitcoin… So I am simply speaking about pure Bitcoin now.
Is there one thing about my calculations that’s grossly incorrect? One thing I’ve not thought of?
Simply to make it clear: I am not utilizing any type of “third-party” or “hosted” Bitcoin service; I run a Bitcoin Core fullnode and deal with all of it myself, to attenuate my dependency on others and the charges. If I have been counting on some type of “service” for this, it might actually be 100% inconceivable to ever make even a cent.
PS: I’ve used USD value quantities right here, however I do not stay within the USA. So no have to remark concerning the 30% Bitcoin positive aspects taxes, please.