Post
Topic
Board Speculation
Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
by
inca
on 15/06/2016, 22:50:47 UTC
In your subjective opinion... when does it get high? 25 cents, 50, $1 for one of the smallest transactions you can make?

Since most people in the speculation section are morons, let me explain it for you.  Even if you raised the block size to 8MB, that would only allow Bitcoin to have market penetration as a checkbook type device for large value transactions in middle/upper middle class, first world nations of around $10,000 transactions and higher.  There is absolutely no fucking room whatsoever on anything that uses a blockchain for microtransactions.  

Even with 8MB blocks, fees would still be high and you'd only use it for huge transactions.  The only people doing transactions on the blockchain will be rich people, or financial entities doing settlement transactions.  Anyone not doing high value transactions will be pushed to off-chain solutions, or second tier networks of Bitcoin like Lightning Network where you can do all the  cheap microtransactions you want.

You will never have microtransactions directly on chain.  You will never have cheap transactions while using a blockchain either.  They're only suitable for high value transactions.

Everyone here knows that raising the blocksize to 2, 4 or 8mb does not solve bitcoin's scaling problems. What it does provide is a can-kick and delay things to allow more mature and well thought out solutions to be implemented such as lightning.

This is about providing a network in this moment which can absorb current transaction demand and function to allow new users and increased transaction volume without suffering decreased network performance.

Most ardent big blockers would be happy with layer 2.0 solutions eventually. In fact they are a necessity over the longer term. But artificially constraining blockspace now risks a jettison of speculative value to other chains or from crypto entirely. And for what? To allow some developers to keep control of an open source software client?