5 ms·
That is not how it works. The system gets more efficient as transaction volume increases. The only reason the cost of running the network relative to the number
by aminok 11y ago
That is not how it works. The system gets more efficient as transaction volume increases. The only reason the cost of running the network relative to the number of transactions currently comes out to $7 per tx is that much of the revenue miners earn is from the block subsidy of 25 BTC per 10 minutes. The subsidy is a constant, and therefore as tx volume increases, the total cost of running the network relative to the number of txs decreases.
- bduerst 11y agoNo, that's not how it works. Transaction volume doesn't increase with efficiency. Blocksize is capped at 1MB, and any new efficiency goes into the hashing algorithms, not the size. The Bitcoin network has always only been able to handle 1 MB of transactions every 10 minutes (~7 tx/s) and always will at this rate.
- aminok 11y agoNo, it is not. Efficiency increases with transaction volume. That transaction volume is currently capped at 1 MB is a separate issue from whether efficiency improves with transaction volume. It's possible there is a misunderstanding here with me interpreting "gets more successful" as seeing its transaction volume increase, and you interpreting it to mean something else.
- bduerst 11y agoYou can't fit more transactions into 1,048,576 bytes with more efficiency. It's pretty clear.