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If Bitcoin were used by everybody on the planet, the current max of 10 transactions/second means that each person could be part of a transaction once every 13 y
by MereInterest 5y ago
If Bitcoin were used by everybody on the planet, the current max of 10 transactions/second means that each person could be part of a transaction once every 13 years (4 billion pairs of people / 10 Hz). Boosting the rate up to 100 transactions per second reduces that down to 15 months. Just think, receive you paycheck this week, and over a year later you can use it to buy groceries.
Bitcoin's throughout is absolutely pathetic, by several orders of magnitude. I think the only reason that aspect hasn't gotten more attention is because the energy efficiency is even worse.
- ezekg 5y agoAre there any cryptocurrencies that are attempting to solve this issue?
- sambroner 5y agoBasically all (hardly even an exaggeration!) other cryptocurrencies are attempting to improve upon the throughput issue. Solana is a particularly prominent one with 50k/s https://solana.com/ https://solana.com/
- uncoder0 5y agoI'm interested in how all these other chains deal with people writing tons of junk transactions per second to bloat up the chain.
- cgb223 5y agoHaving a transaction fee de-incentivizes most people who want to do this Every junk transaction costs them money
- WanderPanda 5y agoFrom what I’ve seen they don’t
- ezekg 5y agoNANO actually just went through a pretty big spam attack and it crippled the network for awhile, but they supposedly came up with a pretty novel solution in the latest version. I haven't dug into it yet though. But NANO is fee-less, so it is (was?) more prone to these types of attacks. Having a fee increases the cost of a spam attack.
- smabie 5y agoI don't know about other chains, but for ethereum you get money for destroying/freeing up block space. This is how the Chi gas tokens work: they write 0s to the chain when gas is cheap and destroy the blocks when gas is expensive.
- chromaton 5y agoI looked into it and Solana requires "Validator" nodes to be specially blessed by them to get rewards for running their software, so this isn't particularly de-centralized.
- deleted 5y ago[deleted]
- amackera 5y agoAlgorand looks like a promising proof of stake altcoin in my opinion. https://www.algorand.com/ https://www.algorand.com/
- CyberDildonics 5y agoIt is only an issue in the first place because of bitcoin's purposely meniscule throughput. Monero's throughput adapts while bitcoin cash has 32x the max blocksize.
- djanogo 5y agoI don't know how Bitcoin transactions work, but can a company (like Paypal) buy bunch of bitcoins (10000), and then proceed to do all transaction internally with their own ledger mechanism without depending on other networks?, wouldn't this allow anybody within paypal network to send/receive super fast?
- unwoundmouse 5y agoYeah that's how all centralized crypto exchanges do it
- CSSer 5y agoWhat if there's a run on the exchange?
- ChainOfFools 5y agothey suddenly have a 'technical issue' and suspend trading until it is 'fixed.' sometimes its never fixed and the exchange founder mysteriously disappears to Thailand or dies, or claims to start an orphanage in india. sometimes all three.
- wmf 5y agoIf the blockchain gets backed up it would take a few days to get money in/out of exchanges.
- beiller 5y agoI don't think there can theoretically be a run on the exchange because in theory all the deposits are there, in the exchange, in theory, unlike a bank which only had a fraction of the deposited money in reserve. A run on a crypto exchange would be great for them considering they usually charge a withdrawal fee.
- CyberDildonics 5y agoThose aren't withdrawal fees, those are transaction fees for the network. Most cryptocurrencies cost next to nothing for each transaction, while bitcoin and ethereum cost from $20 - $60 USD for the average transaction.
- wskinner 5y agoThis is not really true, for several reasons. One simple reason is that a bitcoin transaction can have multiple outputs, while your analysis assumes each transaction is between two people.
- rebelos 5y agoIt hasn't gotten attention because they just re-centralized using exchanges and off-chain transactions. Just the latest episode of the fugazicoin clown show.
- Ekaros 5y agoIf the transactions are off the chain and to centralized and networked banks I wonder if the 21M coins will hold true for very long... And what happens when bank-run is attempted... As I don't see people staying away from all the fun things they can do with fiat currencies... As at that point the currency on exchanges and between them is fiat.
- billytetrud 5y agoThis is what the lightning network is for. It would be somewhat reasonable to withdraw or deposit to/from your lightning channel a couple times a year. Some other solutions would be needed to get the rest of the way, but improvement is improvement right? Why be so negative about it?