Author: Venzen Khaosan 2015-06-27 08:16:27
Published on: 2015-06-27T08:16:27+00:00
The article discusses blockchains as a way to determine consensus among users. According to the writer, blockchains can go beyond value token and into the realm of vote and deterministic politics. The mining operator as an economic class on one hand and the user as a dependent on the other is based on the current Keynesian model of economics that views the centralized system as inevitable and considers the citizen as a consumer to be enlisted into spending at every opportunity. The Austrian School of Economics illustrates that the Keynesian model is fundamentally flawed. The developers are making economic decisions about how Bitcoin will be influenced and grow according to market dynamics, and they must strive to make a well-informed decision. The fundamental question is whether developers want to compete with existing payment networks or define Bitcoin's network in its own right. If Bitcoin must compete and win, then centralize it and it will soon beat the competition on every metric. If Bitcoin is its own beast, then users and finance capital must adapt to its constraints, for the benefit of all involved. Developers have a crucial role to play in implementing economic policy. A multinational or government sponsored entity mining this blockchain with the purpose of dominating it does not mean they have done their job of surrendering Bitcoin to the "free market".In a separate discussion, Eric Lombrozo views blockchains as dispute resolution mechanisms. He believes that the vast majority of crypto negotiation will be taking place at levels lesser than global consensus in the future. Lombrozo says that regardless of whatever linear factor we scale the blockchain by, any exponential growth in usage will overwhelm the current network. There are two fundamental things that need to be solved: 1) there’s no model for how we’ll introduce a fee market, even though the design of Bitcoin fundamentally depends on fees for its survival, and 2) there’s no mechanism for how to perform fee bidding and estimation. Most wallets simply have no way to do this without serious usability problems.
Updated on: 2023-06-10T01:09:57.728151+00:00