The Veltor Foundation, finding a solution for Bitcoins scalability problemGreetings fellow decentralisers, miners and blockchain enthusiast.
For a long time now, there has been a very specific obstacle blocking the path of success for Bitcoin.
People may argue, "but Jason, look at Bitcoin, it is doing just fine!". Yes, Bitcoin is working, and it is slowly growing, however its potential is magnitudes greater than what we are currently observing. People may refer to it as going viral, which I am convinced of hasn't happened yet.
And there is a very specific reason for why that is.
Bitcoin has a major scalability issue; we all know it. Increasing block size is one solution but not the ideal one. There is a better one out there.
Duplex micropayment channels also known as the Lightning Network, they solve a multitude of problems, paving the way for credit card style transaction capacities and providing transaction confidentiality without bloating the blockchain. The theory is pretty solid and is slowly transitioning in to reality, real code. But there is still a major unsolved problem which may very well be the detriment of the Lightning Network.
The so called Lightning Network Failure Mode.
The Lightning Network failure scenario described by Todd, takes place when a large number of people on the blockchain network need to settle their Lightning Network disputes on the blockchain in a relatively short period of time. Such a scenario could occur during a panic, such as a rumor of a major exchange being hacked.
“We do have a failure mode which is: Imagine a whole bunch of these [settlements] have to happen at once,” Todd explains. “There’s only so much data that can go through the bitcoin network and if we had a large number of Lightning channels get closed out very rapidly, how are we going to get them all confirmed? At some point, you run out of capacity.”
That’s where The Veltor Foundation jumps in. Our goal is it solve that problem, using the Veltor blockchain as our sandbox, where things like flexible block sizing algorithms can easily be implemented and tested in order to find THE solution for the Lightning Network Failure Mode, paving the way for its implementation in to Bitcoin.
If you are interested in contributing in any way, shape or form or even becoming a Foundation Member, then you are invited to contact us via our e-mail:
info@veltor.orgOr join us on IRC:
http://webchat.freenode.net/?channels=veltorJ.V.
