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Looking cross-comment I think you're advocating for micro-payments or micro-proof-of-burn. This is better than having every user compute their own PoW as they'd
by 8organicbits 3y ago
Looking cross-comment I think you're advocating for micro-payments or micro-proof-of-burn. This is better than having every user compute their own PoW as they'd purchase a small amount of cryptocurrency from an ASIC farm, which should be cheaper/faster/more efficient than using their local hardware. I mostly agree with the concept, but I don't think any such API exists yet with enough adoption to consider this a real option any time soon.
Right now, if I was to ask my users to do a proof of burn for $0.0001 of BTC most of them would just close my site as they don't have any BTC. The process of setting up an account on an exchange, waiting several hours/days for KYC checks to clear, adding a credit card, buying BTC, sending it to a browser extension, and then trying the signup again is a *significant* initial hurdle. If we were in a world where I could assume all my users already owned BTC, that's a different story, but we haven't seen adoption of cryptocurrency anywhere near that level. I don't expect PoW schemes to drive that adoption either, so this seems like a poor solution today.
Do you happen to know if a hCaptcha/mCaptcha-like micro-proof-of-burn tool exists already? I'd be happy to be proven wrong.
That brings us back to options that exist today, which includes every user computing their own PoW. Looking at mCaptcha some more, it uses a SHA256 derivative so it's compute-hard and vulnerable to GPUs/ASICs. The author mentions some of those concerns in an earlier thread [1]. I wonder if a different proof-of-work algorithm would be better, like a memory-hard PoW, proof-of-space, and/or proof-of-wait. I'm skeptical of those too, unfortunately.
[1] https://news.ycombinator.com/item?id=32341446 https://news.ycombinator.com/item?id=32341446
- emporas 3y agoYou are right in most of your points. Today it doesn't exist an API for micro_proof_of_burn. Economic incentives however require a little patience because they need to work their way through the system. 0.0001 BTC is hugely expensive. A blockchain with millionth of a cent transaction, is certainly possible, and it will exist in 2-3 years approximately. In my calculations, with millionth of a cent per transaction, even paying for torrent blocks (64 KB), not torrent pieces (16KB) will soon become profitable.
- yyyk 3y agoMicropayment are 'profitable' save for anti-money-laundering laws (not to speak of anti-terrorism laws) which make any such payment have significant compliance costs. The only way to bypass that would be with centralized verification agencies to take liability (and demonetize anyone deemed controversial). Since they're centralized, they'll have zero use for blockchain (good riddance). Does anyone want that future?