Author: Peter Todd 2014-12-12 09:05:51
Published on: 2014-12-12T09:05:51+00:00
Proof-of-publication is a concept that is gaining attention in the embedded consensus systems and sidechains model proposed by Blockstream. This system involves using cryptographic methods such as timestamping, proof-of-receipt, proof-of-non-publication, and proof-of-membership to solve the double-spend problem. The Torrens Title System is an example of real-world proof-of-publication that is similar to the Bitcoin blockchain. However, some common myths about proof-of-publication need to be debunked, such as confusing it with timestamping, assuming it is always easy to censor, and believing it cannot be made expensive.One benefit of proof-of-publication is that it provides a useful solution to the double-spend problem and has many practical applications. It does not bloat the blockchain as some other systems do not grow the Unspent Transaction Output (UTXO) set. However, some systems do grow the UTXO set, which could result in a higher per-transaction price in fees due to increased demand.The use of proof-of-publication systems in Bitcoin can have varying effects on the cryptocurrency's price. While some uses are unrelated to money, others add new features like anonymity and asset trading. However, even if proof-of-publication has a net-negative effect, people will still use it because of its security and resistance to censorship. Therefore, Bitcoin must make technical improvements to scalability to mitigate any harmful effects.While proof-of-publication systems may be inefficient from the perspective of an SPV client, they hold trusted third parties accountable and keep them honest. Mined alternatives create new points of failure rather than remove them. The inefficiency of global consensus is a fundamental problem with Bitcoin's architecture that applies to all uses of it. Proof-of-publication systems can require limited-supply tokens for technical reasons, but whether or not they are "scamcoins" is not a technical question. Tokens allow for secure client-side validation and do not need to appreciate in value relative to Bitcoin. Only some use-cases involve tokens at all, while others transact directly to and from Bitcoin or do not involve finance at all.
Updated on: 2023-06-09T14:44:55.412624+00:00