Mining & Lightning Network - Is Bitcoin (BTC) Doomed to Fail?

4개월 전

Dan Held has recently written a fantastic article about Bitcoin's security model, addressing the concerns that many people have about the miners' current reliance on the block subsidy, and whether the system can remain secure as we rely more and more on transaction fees instead.

Let's take a look at what he has to say.

DISCLAIMER: This is NOT financial advice. I am just offering my opinions. I am not responsible for any investment decisions that you choose to make.

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Are you concerned at all with the time it takes to complete a bitcoin transaction. I tried to send some bitcoin yesterday and it took almost an hour for the transaction to complete. When I send other crypto like steem or xrp it gets to the other account in seconds. I know Lightning is supposed to help but why hasn’t the time problem been fixed yet? Great video. Keep up the good work


Ah the block time.
As miner propagate tx it sends to every node. So shorter the block time the higher the chance of orphan blocks or splits. The more full nodes a block chain the more the issue is as well.
Full nodes help you become more independent and trustless.
There has been studies that show 1 minute block time might be safe but aren't guaranteed.
In a blockchain like bitcoin safety and security is very important. 10 minutes provide ample time and great deal of security. Chains with smaller block time like litecoin are less secure than bitcoin. Bitcoin 1 confirmation is equal to about 5+ litecoin confirmations.
As such another benefit to LN is LN tx confirm at 10 seconds or less while using bitcoin high degree if security.
Added to the fact of smaller block to allow more full nodes using onchain tx are slow.
Things like blockstream liquid which is like xrp for bitcoin. Help get 1 minute confirmation to exchanges. Centralized yes but as a tool for interexchange trades it great. Lower costs and time for traders.

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Let’s see, I think it is too early to tell.

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@anonymint has a very interesting take on the issue of transaction fees skyrocketing due to the stock to flow model...

Time will surely tell