Author: Alex Mizrahi 2015-05-31 00:13:30
Published on: 2015-05-31T00:13:30+00:00
It is difficult to predict the actual growth of Bitcoin with any degree of accuracy, but linear growth seems to be the best option. Linear growth compares favorably to exponential growth as it models diminishing returns better and has a smaller risk of growing too much. It also allows time for adaptation to near realities and the ability to change something if there are unwanted effects. Adaptive solutions are complex and prone to manipulation, positive feedback loops, and unhealthy game-theoretic dynamics. However, game theoretic aspects of Bitcoin mining in the presence of various real-world factors are not fully understood, so a proper adaptive solution cannot be designed. While sudden growth spurts are possible, they cannot be predicted and may be a serious problem for many bitcoind installations. Slow growth is usually better than sudden growth.
Updated on: 2023-06-09T19:56:34.222452+00:00