Eww, I missed the opportunity to post a shitcoin meme and we are already at the quantum FUD, Sad!
Did not read the whole discussion here. But that just stood out. The transaction limit of Bitcoin’s main layer is artificial. This has noting to do with the mining process at all. It is a simple block size limit that is there to keep the database growth in check so that regular unsubsidized full nodes (not miners) stay affordable and the network enjoys maximum decentralization.
The means by which Bitcoin scales the transactions is by a second layer technology called Lightning Network. With Lightning you have unlimited transactions, with near instant finality at almost no cost in fees.
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It absolutely does. The block chain ceases to function when mining is no longer profitable. The block size limit on transactions per block is a separate issue.
Ok, enlighten me how mining limits the transactions and how more transactions would require more power? Do you even know what mining does?
Difficulty readjusts as miners come and go, also those with a vested interest in the value and use of it will continue to mine, they can always fork algorithms later with agreement, they will also make money on Layer 2 LN fees for services, LN will not just be for basic transactions, they will also be able to do custom routing and also custom properties that people may pay extra for.
Layer 1 fees will go up for bulk settlement of Layer 2. There may be no rewards but there will be fees.
Monero also is inflationary by a small amount as their way to solve this reward drain problem.
They were not willing to fork the chain by collusion simply because they have a vested interest in it existing with faith of the users to reclaim funds recently on Bitcoin. They will keep it running.
Because without mining nobody has any incentive to do the calculations to generate more iterations of the blockchain. Bitcoin is already spending an entire country worth of electricity running dedicated ASIC farms to keep the blockchain going, what do you think is going to happen when the income from mining drops below the level required to fund all of that?
And then bitcoin dies. Fee-based bitcoin is not competitive with conventional payment services.
We do not know what will happen, that’s a long way off, we’re simply pulling guesses out of our rear airlocks. We will find out in time. Beyond your lifetime possibly.
It IS an experiment after all, a disruptive one at that and that is good.
Things only change with big things via disruption, and that is what this is. Another kick in the evolution of finance.
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We absolutely know what will happen because we know how much bitcoin’s hardware infrastructure costs. Bitcoin only functions because of the self-funding nature of mining, take away mining profits and there is no way that bitcoin can compete with the much cheaper infrastructure costs of conventional payment systems.
I get it, crypto is NOT for you, don’t worry about it, it’s not your problem as I keep saying. Let us worry about that.
You got a huge bee in your bonnet over something you don’t want to be in. Ok so don’t.
Well this thread WAS about accepting payments, not the technology or state of the economy.
I think this thread has went its course
Miners go offline until the remaining miners are profitable again because the available subsidy and fees are split among less people. Producing blocks is never a problem as the difficulty is simply adjusting itself. The real issue would be a lowered security because of reduced hashing power.
Is your argument that the transactions are limited because otherwise the fees would be too low if the block reward is too low in the future?
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Many of us run infrastructure on crypto, we do NOT get any reward for doing so, for example, full nodes. That costs to run, we get nothing back, appart from keeping it up running.
Exchanges and finance houses run nodes.
Some even mine.
They have a vested interest in keeping it up, their business built around it.
And then we have staking, oh they love that. It brings in more deposits and also reward cuts.
Yes, I run a full node as well. But I mean that is just a rasperry pi. The reward is that I don’t have to trust a third-party and have increased privacy
The argument is that the finite supply of bitcoins and increasing difficulty of mining (the thing that gives bitcoin value) inherently limits the number of steps that can be done on the bitcoin blockchain. We’ve seen this already as mining went from “effortlessly get thousands of bitcoins” to “you can mine on your home PC” to “you can mine on your home PC with a high-end video card” to “you need dedicated ASICs” to “you need dedicated ASIC farms in a country with cheap electricity”. When those ASIC farms in locations with cheap electricity can no longer mine profitably bitcoin ends.
As for fee-based bitcoin, it is not viable. The cost of operating bitcoin’s hardware infrastructure (which is deliberately wasteful) is vastly higher than the infrastructure required for a conventional payment system, so bitcoin will have to charge vastly higher fees than Paypal or your credit card. Without the self-funding aspect of mining bitcoin just can’t compete in the market.
Whilst you’re all gurning and whinging about it, Bitrefill is making a killing over sales accepting crypto.
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Well you can use a PoS chain if that’s more your thing.
Plenty of choice in cryptoland.
This is a nonsense argument.
Bitcoin requires more trust than conventional payment systems. If I use my credit card to buy something I have built in fraud protection, and that credit card is owned by a major corporation with government backing. If I use bitcoin to buy something I have none of that. If a transaction is fraudulent the money is gone. If the payment processor decides to just take my bitcoins there’s nothing I can do because it’s a shell company operating in a country with no legal relations with the US.
Bitcoin has less privacy than conventional payment systems because all transactions are a public record. It’s just not worth tracing your transactions unless you’ve done something much worse than buying small amounts of drugs on the internet. But the same is true of conventional payment systems, no human that I care about is ever going to see my credit card history.
Bitcoin crypto is a trustless network. Not a permissioned network
Conventional is a permissioned system based on trust.
That’s why we use math and consensus.
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Which has nothing to do with trust. No amount of math and consensus will protect you if a seller decides to just take your bitcoins and never ship you the thing you bought. Sucks to be you, your money is gone. But if someone does that to me I just file a fraud report with my credit card and they reverse the transaction.
That can happen with conventional methods too, and does indeed happen.
Plenty of scammers in conventional
So take out an insurance policy if you want protection, even with crypto.
We still catch fraudsters on crypto, plenty of coins cleaned by state auction.
Fait is the largest use in crime