if we keep the 1MB limit fees go up but mining is easy even with a really crappy internet connection "more decentralized higher fee"
if we up the limit to 32MB fees remain unaffected (very low) but you need a reasonable internet connection to mine "more centralized lower fee"
what if we could use the block limit to make sure fees are always ~5cent
if the avg fee is <4 cents lower the the limit
if the avg fee is >6 cents up the limit
simple enough.
this way block limit will increase with demand and is sure to be as low as it can be to allow for free TX being processed but free TX will always take alot of time because most blocks are filled with TX that have a fee, and that's the reason poeple pay fee to make sure they get confirmed ASAP.
the balance between decentralized and low fees is always such that free TX are slow but possible
cool no?
Wouldn't that require a centralized service to determine how to calculate the current exchange rate?
I think adamstgBit was referring figuratively to these "cents". The calculation could be tied to an amount in Bitcoin, based on the default fee settings. That being said, this doesn't seem like a bad idea at all...