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1  Bitcoin / Development & Technical Discussion / Re: Don't we need to increase block weight/size? on: January 19, 2018, 04:50:25 PM
...it is still unclear how secure the transactions will be and there will still be the issue of high fees when you open/close a channel.
Technically, you don't need to close channels. You can refill them through the lightning network, and so you would only ever make one last transaction on-chain.


You can refill channels? What does that mean?
2  Bitcoin / Development & Technical Discussion / Re: Don't we need to increase block weight/size? on: January 17, 2018, 04:20:11 PM
I've been reading a lot about the lightning network, trying to understand if this is the solution to the scaling problem.

However, it is still unclear how secure the transactions will be and there will still be the issue of high fees when you open/close a channel.

Bitcoin is at the chasm, for those who are familiar with the Technology Adoption Lifecycle. In order to cross the chasm the Early Majority need to see and feel that the technology is not only safe and secure, but that it will handle major adoption. The technology will not cross the chasm until this is proven.

Some people say and believe that there is ample time to prove and test the Lightning Network, however, there was a major momentum happening with the technology entering the mainstream before the end of 2017. This momentum would have provided great leverage to cross the chasm, if the technology had been ready to scale.

I would like to explore a solution that is not increasing the block size, which has already been done via Bitcoin Cash, but instead to decrease the difficulty. Not the number of confirmations required, but to find the lowest difficulty while maintaining the stability of the network. I understand the bottleneck will become how quickly the nodes are able to communicate with the network.

I have started to write up a rationale for this solution, but it requires a bit of editing. I will post it as soon as it is ready. The solution acknowledges the fact that 80% of Bitcoins have already been mined, how to create a fair economic valuation method, and the need for a global public good fund.

If Bitcoin is to enter the majority and become a global store of value for the trade of goods and services then it will disrupt how governments operate, which will have an effect on our infrastructure and welfare. These are things that need to be discussed as we find a new form of communication and governance.

The Internet is a tool for communication, but forums, wikis and Facebook are not the ideal solution to communicate our self-governance.

The majority adoption of Bitcoin and a new system of communication and governance may go hand in hand, along with a method for distributing funds to the public good as a function of our new economic system.
3  Bitcoin / Bitcoin Discussion / Re: Bitcoin should be viewed as a financial asset or currency? on: January 17, 2018, 03:58:30 PM
I disagree that Bitcoin is either an asset or a currency.

Bitcoin more accurately resembles a commodity.

An asset: produces value
A currency: defined by governments
A commodity: a raw material

Bitcoin is "mined" like copper or gold.
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