Wouldnt solving the miner anonymity and latency of propagating blocks solve this issue and we can all agree not to increase block size if we understand that bitcoin block mining is a settlement process rather than a real-time payment processor?
Aslong as majority of miner's aren't subjected to regulation (because they are anonymous) and the anonymity doesn't introduce extra lag or that we find a more efficient way to propagate blocks then I think XT will become redundant no? What am I missing here?
Is it about fees? but increasing blocksize will introduce more spam which makes the entire system less efficient?
The concerns are two fold (ranked from my own opinion):
1. Raising cost of entry to become a network peer (running a full node)
2. Mining centralization.
1. Isn't efficiency in storage capacity and bandwidth overcoming the demand for it with our current block structure? With bigger blocks perhaps demand capacity and bandwidth will be higher, but the tradeoff is less fees correct? If so then I'd like to know based on an assumption on the entire world running on bitcoin that what the percentage of success of having a transaction get included in a block with current limits such that it is set with 0 fees. (IMO having it completed within 5 days is not bad, which competes with overseas transfer times today.)
2. With bigger blocks miners have no choice but to read headers off of each other to try to be profitable, and even bigger blocks will cause more centralization correct? However what if the value of bitcoin rises? Perhaps bigger blocks can be afforded if bitcoin was of sufficient value to follow the difficulty curve.. and in lean times those that do not believe in its long term potential can give up and be replaced with ones that do (those that aren't doing it strictly for business, converting to fiat). I don't find this issue as important as the need to have miners anonymous as regulation can really cripple the network if miners can be physically identified. By adding anonymity this includes latency in the system that will encourage centralization just like bigger blocks would do, but bigger blocks is not really the largest issue here in regards to centralization of miners.