Icutgrass205
Jr. Member
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Activity: 98
Merit: 4
Bitcoin is today what the internet was decades ago
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November 16, 2018, 03:53:54 PM |
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It seems to me that many in the crypto space could benefit from learning how important scaleability is. I'll keep it as short and sweet as i can. The foundation of the bitcoin network are the miners, miners keep the chain secure while processing transactions and adding blocks to the chain. Miners have skin in the game, if there is no profitability, they dont mine. No miners means no chain security, or transaction processing, miners need profitability to keep bitcoin alive. When the next halving hits, it is a 50% cut on their profits, in order to make up for this there needs to be double the amount of transactions coming in so that miners can continue staying in profit from large quantities of low fees. Why low fees you ask? Because no one is going to pay an absurd amount of a fee to send coin from one place to the other, the best solution is to grow the number of transactions with different rates of fees, this opens the range of profitability for miners. IF BITCOIN DOES NOT SCALE, and TRANSACTION VOLUME DOES NOT INCREASE BY AT LEAST 2X BEFORE THE NEXT HALVING, IT IS GAME OVER FOR BITCOIN. Why? Because the miners will be out of business, no miners=no bitcoin. BTC segwit can no longer scale and we will see that in the coming years, BCH can scale, but not if idiots like ABC get to do whatever the hell they want to the protocol, which btw right now their goal is to implement WHC/plasma, and hundreds of shitcoins.
Did I get that right?
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