Blockspace Is the Commodity of Bitcoin

[Paleus]

Read original research: https://diginomics.com/2018/11/10/blockspace-commodity-bitcoin/

When an individual makes a transaction on the bitcoin network, no actual currency is moved. That is – no file has moved, no commodity or asset has moved, no private or public key has moved. Rather, the only thing which changes is the percentage of the blockchain ledger which User A & B claim control over.

When a transaction occurs in the realm of bitcoin, the image of the blockchain is altered. Nothing ever changes but the composition of this blockchain record. The blockchain is a historical record of its ownership. It is a downloadable file (.dat) which began at zero and is now ~ 189 gigabytes (GB) in size.

There is no separation to be made between the blockchain and bitcoin. They are one in the same. Without the blockchain, you have no bitcoin ecosystem. Without an accompanying cryptocurrency, you have no measuring tool to determine the ownership of the blockchain. Money is now an image, rather than something which can be separated from the system itself. This image of money is being constructed by machines acting as miners across the globe. The miners are the painters of the blockchain image.

On the bitcoin network, money is an image continuously being generated (coinbase), re-attributed, and verified by way of cryptographic authorization – the application of numerical law.

The commodity of bitcoin is blockspace – that is, space within the blockchain where data can be timestampped and verified into existence through the decentralized network of computers who are contributing their labour (hashing proof-of-work) in order to propagate the next iteration of the blockchain record.

Each hash performed by a bitcoin miner produces a random number between 0 and the maximum value of a 256-bit number. The SHA-256 hash of a block's header must be lower than or equal to the current target to be accepted by the network. If not, miners increment the nonce (completely changing the hash) and try again. This is the contributed labour that all miners contribute to the ledger of bitcoin.

The process of verifying information into the blockchain is the work performed. Each unit of bitcoin gains its value from the amount of work (hashpower) that went into solving the latest block.

Blockspace is the commodity!

[1715061695]

1715061695

[1715061695]

1715061695

[smartbitcoininvestor]

The blockchain is the system behind it!

[coin8coin8]

When an individual makes a transaction on the bitcoin network, no actual currency is moved. That is – no file has moved, no commodity or asset has moved, no private or public key has moved. Rather, the only thing which changes is the percentage of the blockchain ledger which User A & B claim control over.
This image of money is being constructed by machines acting as miners across the globe. The miners are the painters of the blockchain image.

Then when you transfer money in the bank, your money is being constructed by bankss across the globe. The banks are the painters of the money image?
I don’t think it’s necessary to understand bitcoins so much. It’s just enough to recognize that it’s worth it.

[franky1]

a commodity is a raw material used to make other products
once its mined. and refined and turned into something that then is 'used' and cant be altered at all/easily its an asset


so yea UNCONFIRMED blockspace is the commodity. but once a block is solved, confirmed and immutable the block is then an asset(end product(containing end products)) because you cant then edit/change/create anything new from that now used blockspace

its why raw gold is a commodity and sold on commodity markets(raw ore state). but gold is also sold on asset markets too (bars, coins)

..
nice try to presume bitcoin is a commodity by saying the unconfirmed space (not yet filled/not yet existent) is bitcoin. yet bitcoin is the blockchain of confirmed uneditable data

[Marcel666]

In theory that's also how fiat currencies work. When you make a transfer using PayPal or visa, the money is not moved over the distance. But the record is made and updated so the receiver can now spend from the reserve available at his location (say he wants to withdraw using an ATM)