Wall Observer BTC/USD - Bitcoin price movement tracking & discussion

[HairyMaclairy]

difficulty is adjusted so blocks are produced every 10 minutes

Maybe I am being retarded but where does the measuring stick come from?  How does Bitcoin know how long “10 minutes” is?

[1714282363]

1714282363

[1714282363]

1714282363

[Toxic2040]

difficulty is adjusted so blocks are produced every 10 minutes

Maybe I am being retarded but where does the measuring stick come from?  How does Bitcoin know how long “10 minutes” is?

By comparing the timestamps of the last 2016 blocks and seeing how closely it comes to the 14 day target. Difficulty is then adjusted up or down to try and reach that target of time it took to generate 2016 blocks. Its sort of circular but once you wrap your head around it not so bad.

[Phil_S]

Frothless.

Yep. That's a pretty important line, imo.

https://bitcointalk.org/index.php?topic=178336.msg50155216#msg50155216

[Cryptotourist]

How does Bitcoin know how long “10 minutes” is?

As Toxic mentioned, or in detail & comparison:

https://medium.facilelogin.com/the-mystery-behind-block-time-63351e35603a

[Toxic2040]

Yep. That's a pretty important line, imo.

https://bitcointalk.org/index.php?topic=178336.msg50155216#msg50155216

Credit where credit is due.

+1 WOsMerit

Guys. Your petty feuds are super-boring.

Our feuds are anything but petty..  

How does Bitcoin know how long “10 minutes” is?

As Toxic mentioned, or in detail & comparison:

https://medium.facilelogin.com/the-mystery-behind-block-time-63351e35603a

A much more elegant explanation than I gave.  Thanks.

+1 WOsMerit

Bitcoin tries to maintain its block time to be around 10 minutes with its difficulty algorithm. Why it is 10 minutes? Why not 2 or 20 minutes? The very first reference of having 10 minutes as the bitcoin block time comes from the original research paper, which introduced bitcoin in 2008, by Satoshi Nakamoto. It has only one reference, and 10 minutes is not a concrete suggestion, but takes as an example.

    A block header with no transactions would be about 80 bytes. If we suppose blocks are generated every 10 minutes, 80 bytes * 6 * 24 * 365 = 4.2MB per year. With computer systems typically selling with 2GB of RAM as of 2008, and Moore’s Law predicting current growth of 1.2GB per year, storage should not be a problem even if the block headers must be kept in memory.

Let’s say block time is 2 minutes — and the average network latency to reach that block to other miners in the bitcoin network is 1 minute (this is just an example, in practice it’s quite less than this). This value of latency is independent of the block time. All the miners in the network mine simultaneously and independently. Let’s say everyone is mining the 3500th block (assume all start mining at time t0) — and the miner tom solves the puzzle first and broadcasts the block to the rest of the miners at time t0 + t, where t is the time taken by tom to mine the 3500th block. Now peter, another average miner finds tom’s block at (t0 + t)+ 1, due to the network latency of 1 minute. Peter and every other miner, who complete mining the same block with (delta_t)i times lagging, where ; (t0 + t)< (t0 +t) + (delta_t)i < (t0 + t) + 1 or can be reduced to 0< (delta_t)i< 1, succeed in solving the puzzle, but waste all their energy — and all those blocks will be orphan blocks with no mining rewards. The total wastage of hashes in the complete network due to the orphan blocks would be:

sum of { (t+ (delta_t)i ) * (hr)i } for every i where (delta_t)i is the additional time from t, the miner ith took before noticing the block mined by tom — and (hr)i is the number of hashes per minute the ith miner generates.

If we increase, the difficulty by p%, then both t and (delta_t)i will increase in, let’s say the same p1%. Since this makes (delta_t)i increases, the number of miners who complete mining where (t0 +t) + (delta_t)i < (t0 + t) + 1 will go down. So, in the above function of wastage, the number of is will go down — so the wastage. Let’s go through few examples with concrete values.

    If the value of t is 2 minutes, and then every miner who completes mining a block before 3 minutes time period (with 1 minute network latency) will only contribute to the waste (except the miner who finishes very first and gets the reward). Here you can see, there is a 50% of time gap where a miner can fall into this time period. [ 50% = (3–2)/2 * 100]
    If the value of t is 4 minutes, and then every miner who completes mining a block before 5 minutes time period (with 1 minute network latency) will only contribute to the waste. Here you can see, there is a 25% of time gap where a miner can fall into this time period. [ 25% = (5–4)/4 * 100]
    If the value of t is 8 minutes, and then every miner who completes mining a block before 9 minutes time period (with 1 minute network latency) will only contribute to the waste. Here you can see, there is a 12.5% of time gap where a miner can fall into this time period. [ 12.5% = (9–8)/8 * 100]
    If the value of t is 10 minutes, and then every miner who completes mining a block before 11 minutes time period (with 1 minute network latency) will only contribute to the waste. Here you can see, there is a 10% of time gap where a miner can fall into this time period. [ 10% = (11–10)/10 * 100]

Now you can see, as the block time increases, the percentage of wastage goes down. Considering all the other factors, Satoshi Nakamoto thinks the wastage at the 10minutes block time is acceptable. Along with the wastage, if multiple nodes start generating the same block simultaneously or within a short period of time, this will lead into multiple and more frequent bitcoin forks. Frequent folks, will make the bitcoin network less healthy, and the transaction confirmation time will increase, as everyone has to wait till the bitcoin network becomes eventually consistent.

Note: In the above calculation 1 minute of network latency was taken just as an example to make the math easier. A 2013 paper by Decker and Wattenhofer in Zurich measures bitcoin network latency, and determines that 12.6 seconds is the time it takes for a new block to propagate to 95% of nodes.

Deeper rabbit hole about propagation.
https://www.tik.ee.ethz.ch/file/49318d3f56c1d525aabf7fda78b23fc0/P2P2013_041.pdf

[Phil_S]

Yep. That's a pretty important line, imo.

https://bitcointalk.org/index.php?topic=178336.msg50155216#msg50155216

Credit where credit is due.

+1 WOsMerit

Also, it's interesting when in 2018 the price got very close:

month #1
month #3
month #5
month #7
month #9
month #11

[JayJuanGee]

Guys. Your petty feuds are super-boring.

Our feuds are anything but petty..   

We have the best feuds.

[JSRAW]

https://twitter.com/mad_liberals/status/1098364052047306754?s=19

Check this out! Funny af

[Phil_S]

Another attack on $4050 in progress...

[600watt]

Another attack on $4050 in progress...

we only had 2 or 3 daily closes above this level in 2019....       getting tense....

[JayJuanGee]

Another attack on $4050 in progress...

we only had 2 or 3 daily closes above this level in 2019....       getting tense....

So far, the attack  on $4,405 is taking place on relatively low trade volume.  Things might change.. but patience, is ok. too..

If we keep inching up little by little (like the past few weeks) on relatively low trade volume, at some time the higher volume battle might begin?

[BitcoinGirl.Club]

Voting poll is early this time.

Voted already, $6,000 over, here we go.

Good morning WO

The morning wish for me is to wish for your wish to be fulfilled. 🙂

If price hits $6k then people will go crazy with the buy order.

Bitcoin price $4,028

[Wilhelm]

Voting poll is early this time.

Voted already, $6,000 over, here we go.

Good morning WO

The morning wish for me is to wish for your wish to be fulfilled. 🙂

If price hits $6k then people will go crazy with the buy order.

Bitcoin price $4,028

Yep You better get ready for the sell if that happens

[ProfTP]

those spikes in the last hours are looking very strong.

tension is in the market.

next attempt can break 4050 easily

[encycrypto]

CME CHAIRMAN ADMITS BITCOIN’S FINITE AMOUNT IS A PROBLEM

https://bitcoinist.com/cme-chairman-admits-bitcoins-finite-amount-is-a-problem/

LOL

[BitcoinGirl.Club]

Yep You better get ready for the sell if that happens

I was holding my coin even when the price was $19k+ so make your guess what will I do 🙂
My coins are not for sell untill I see $50k+

[El duderino_]

98% of you likely have your 2FA app on your cell phone.

I dont have enough time to explain all the reasons thats a terrible idea...

Buy a new IPod touch
Create a new Apple ID w/ new email
Download Google Authenticator
Put IPod in airplane mode

Rest easy👍

Authenticator does not require internet.

Having it on an offline iPod is almost as good as having every code written down.

You also no longer have to worry about your phone being hacked, stolen, lost, etc.

It’s $199 for an IPod. Just do it.

https://twitter.com/bitcoinbirch/status/1111260251662311429?s=21

[BitcoinGirl.Club]

CME CHAIRMAN ADMITS BITCOIN’S FINITE AMOUNT IS A PROBLEM

https://bitcoinist.com/cme-chairman-admits-bitcoins-finite-amount-is-a-problem/

LOL

Yes, problem for him because he can not create as many as he wants LOL
The most meaningful fact about bitcoins is it's limited supply.

[El duderino_]

Good morning

WO’s

[BitcoinGirl.Club]

98% of you likely have your 2FA app on your cell phone.

I dont have enough time to explain all the reasons thats a terrible idea...

Buy a new IPod touch
Create a new Apple ID w/ new email
Download Google Authenticator
Put IPod in airplane mode

Rest easy👍

Authenticator does not require internet.

I will give you the easiest option.

Download Authy. Link: https://authy.com

This app works in both Desktop and mobile device.

The good thing is that it has backup option. Once you set it and have the backup password you can recover your 2FA codes easily in any device. You do not need to go through the customer services of individual websites or do not need to store the 2fa key. However I suggest to store the 2FA keys in a notepad though.

You can try it.