Click here to read in Russian.
Click here to read in Korean.
Click here to read in Japanese.
What Bitcoin SV (BSV) can do today, no other blockchain or digital asset can even come close to. BSV stands alone as the only universal multi-purpose data ledger with an economic model that produces the ultimate in security. It’s time to revisit why we are here, and what we have achieved with Bitcoin SV so far. Today we see the latest Bitcoin protocol upgrade, named Quasar.
BTC is hamstrung with an artificially stifled throughput, as well as false and evidently failed scaling solutions Segwit and Lightning Network. LTC, which is in much of its entirety a clone copy of BTC, also suffers similar problems at scale. ETH which was once upon a time touted as the world computer literally broke down in a congestion nightmare in 2017 as a single app called Cryptokitties brought the entire chain to its knees. The same scalability problems ETH faced then continue to affect it today, as do many security concerns which I’ve written about in the past. Other coins have simply fell by the wayward with lacklustre developments, meandering roadmaps, or simply an outright refusal to scale.
“Big blockers” — a phrase given to those who want to see Bitcoin scale massively to global ambition, are all betting on Bitcoin SV. With the “Quasar” upgrade, Bitcoin SV stands at a default maximum 2GB capacity per block (though some miners intend to set a lower, but still very big, 512MB cap for an initial period to allow the network to get accustomed to bigger block capacity), and it signals strongly to businesses around the world. Bitcoin SV is ready. February next year, the maximum cap on the node software is removed altogether.
What we are seeing is a determined development team seeking to offload responsibility and influence of a key scalability variable, and empower miners who run the network to make decisions themselves on what capacity limits best serves them, and in consequence, serves the interests Bitcoin itself.
On face value, this is a capacity increase that enables Bitcoin SV to match and exceed the likes of VISA and co. But holistically, this represents a major paradigm shift in the way Bitcoin is perceived to work by the eco-system of miners and businesses. What I am alluding to is Nakamoto Consensus. Miners will not be mining 2GB blocks right from the very beginning of this upgrade (indeed, as noted above, some miners will begin at 512MB caps and increase toward the 2GB default hard cap over time). Blocks of GB size will come organically as demand for the network and transactions grows, and as miners adjust their own soft and hard limits to adjust for demand, we find the true nature of Nakamoto Consensus come into play as described by Dr. Craig Wright (pseudonym Satoshi Nakamoto) in the seminal 2008 whitepaper. This means that miners themselves, will now vote for consensus on new block sizes (up to 2GB). Miners that fail on consensus stand to find their blocks orphaned. Undoubtedly, some lesser knowledgeable news outlets will paint this as a negative, when in reality, it is the outcome of the very feature described by Satoshi Nakomoto concerning miners voting on rule changes.
While this particular “Quasar” upgrade sets the default hard limit at 2GB, the next upgrade due in early 2020 will seek to remove the hard limit altogether, and empowers miners to completely vote on this rule. Bitcoin SV will be free of a developer-controlled variable forevermore. In the interim, 2GB will be more than sufficient to carry to the torch of scalability for the next 7 months.
The inventor of Bitcoin Dr. Craig Wright states that the upgrade “leads to a long term path for miners. With the upcoming block reward halving approaching, transaction volume becomes much more critical. BTC is not going to keep doubling in price.” Undoubtedly this is the only logical front that comes out on top. And Bitcoin SV is pushing this angle, because we do not seek to survive just for now, we seek to be global for many decades to come. “If it isn’t used, and use requires big blocks, then eventually people will stop investing in it. Bitcoin is designed to be a ledger. It competes on an open market with other options. Pure dogmatic ideas about the decentralisation are religion and will not continue to grow bitcoin. Most people don’t care for these dogmatic notions,” says Dr. Wright. He states that “with the increase in capacity, bitcoin becomes more useful for more parties and attracts further investment. Not because of dogma but because of economic viability and value. The more people use bitcoin, the more valuable it becomes the miners and the cheaper the transaction is becoming the same time. It’s a virtuous circle.”
Calvin Ayre who leads the biggest mining operation on the network agrees — “It is clear that the adoption of ‘original Bitcoin SV’ will be driven by application developers creating unique business models using the incredibly low cost microtransactions that only BSV with its massive scaling can offer. This latest proof of the massive scaling available today on BSV will just speed up the application development as BSV will have gapped all competing technologies and will be the only choice for any application that needs low cost microtransactions. Original Bitcoin SV stands alone in the world today as a utility platform.”
Today not a single coin comes close. Not even anywhere near the scalability and technical prowess of Bitcoin SV and the revolutionary Metanet which will sit atop this blockchain. But this future is unfolding right before our very own eyes. Some see it and are paving the way. Only very recently, we had a new Github like application created on the Metanet: CodeonChain which is an immutable, timestamped code repository that tracks all changes on-chain. Such applications are being built right now. With Bitcoin SV we do not need to wait for promises of grandeur, because that promise exists today and is actively being utilised and developed by application developers from all over the world. With Bitcoin SV we do not need to pitch to investors of how great things are going to be tomorrow, because things are great today.
Jimmy Nguyen, Founding President of Bitcoin Association (the global industry organization which backs BSV), describes immediate goals to attract business use: “With the Quasar upgrade bringing BSV very big block capacity and with unlimited capacity coming next February, we are very focused now on getting real enterprise applications built on BSV. BSV provides the advantages of massive data capacity, speed, and tiny transaction fees that enable micro-payments and high volume data transactions of all types. Businesses in every industry can use the BSV blockchain to develop virtually any application they can imagine.”
In less than one year of the BSV ticker’s existence, it has managed to overtake a majority number of top 10 coins by market cap in transaction volume and is on track to overtake BTC volume in the very near future. Overtaking BTC is not the aim however, as that would be an easy feat. BSV seeks to overtake VISA and the like, as Satoshi stated it could in its infancy. This is what this upgrade is all about. This is what all these scalability efforts have been about.
There are no half measures here. We are heading full steam and leaving the competition for dead. Bitcoin SV is a society of developers, users, businesses and miners working on scaling and on application development to take things to the next level. This unbounded scale is upon us. Meanwhile, scam riddled blockchains like Ethereum are still desperately trying to untangle themselves from a scaling mess that is choking on its own flawed implementation.
Bitcoin had it right in the beginning, and now we prove every day that this solid, foundational protocol is capable of delivering a new economic model for the entire world. Bitcoin SV is evidence that Satoshi was right on scaling.
The Genesis protocol upgrade on February 4, 2020 is a monumental step in the history of Bitcoin, and will see BSV returned as close as possible to the original protocol as envisioned by Satoshi Nakamoto. Visit the Genesis Hard Fork page to learn more.
To receive the latest CoinGeek.com news, special discounts on CoinGeek Conferences and other inside information direct to your inbox, please sign up for our mailing list.