Satoshi Nakamoto said Bitcoin can outpace Visa in scale of transactions
The post Satoshi Nakamoto said Bitcoin can outpace Visa in scale of transactions appeared on BitcoinEthereumNews.com. Newly released emails have provided insights into the early days of Bitcoin (BTC) and its capabilities, as perceived by its anonymous founder, Satoshi Nakamoto. In these emails, Nakamoto and his early collaborator, Martti Malmi, discussed the cryptocurrency’s potential concerning the traditional financial system. The 120-page email correspondence, released on February 23, includes Nakamoto’s bold assertion that “there is only one global chain.” He compared Bitcoin’s transaction volume potential to the existing Visa (NYSE: V) credit card network, which, in May 2009, processed approximately 15 million Internet purchases daily worldwide. Section of Satoshi’s email on scalability. Source: Martti Malmi Nakamoto asserted that Bitcoin could already scale much larger than Visa with existing hardware and at a fraction of the cost. He expressed confidence in the scalability of Bitcoin, noting that it would not hit a scale ceiling. His rationale was rooted in Moore’s Law, predicting that hardware speed would increase tenfold in five years and a hundredfold in 10. Even with rapid adoption, Nakamoto believed that computer speeds would outpace the number of Bitcoin transactions. Addressing Bitcoin fees Addressing concerns about potential fees, Nakamoto foresaw that fees might not be necessary in the near future. However, he suggested a mechanism where nodes could process transactions with fees, allowing the market to determine the minimal acceptable fee. This decentralized approach would let individual node operators decide the fees they accept, creating a dynamic market based on supply and demand. Satoshi’s vision for Bitcoin was lots of L1 transactions paying small fees (1-2 cents). He had no problems with 15 million txs a day (~50 MB blocks) in 2009! He understood adoption wouldn’t happen overnight, so Moore’s law would help. Maxis will try to hide this knowledge. pic.twitter.com/nhNodVhngo — Nikita Zhavoronkov (@nikzh) February 24, 2024 Nakamoto highlighted an essential aspect of Bitcoin –…
The post Satoshi Nakamoto said Bitcoin can outpace Visa in scale of transactions appeared on BitcoinEthereumNews.com.
Newly released emails have provided insights into the early days of Bitcoin (BTC) and its capabilities, as perceived by its anonymous founder, Satoshi Nakamoto. In these emails, Nakamoto and his early collaborator, Martti Malmi, discussed the cryptocurrency’s potential concerning the traditional financial system. The 120-page email correspondence, released on February 23, includes Nakamoto’s bold assertion that “there is only one global chain.” He compared Bitcoin’s transaction volume potential to the existing Visa (NYSE: V) credit card network, which, in May 2009, processed approximately 15 million Internet purchases daily worldwide. Section of Satoshi’s email on scalability. Source: Martti Malmi Nakamoto asserted that Bitcoin could already scale much larger than Visa with existing hardware and at a fraction of the cost. He expressed confidence in the scalability of Bitcoin, noting that it would not hit a scale ceiling. His rationale was rooted in Moore’s Law, predicting that hardware speed would increase tenfold in five years and a hundredfold in 10. Even with rapid adoption, Nakamoto believed that computer speeds would outpace the number of Bitcoin transactions. Addressing Bitcoin fees Addressing concerns about potential fees, Nakamoto foresaw that fees might not be necessary in the near future. However, he suggested a mechanism where nodes could process transactions with fees, allowing the market to determine the minimal acceptable fee. This decentralized approach would let individual node operators decide the fees they accept, creating a dynamic market based on supply and demand. Satoshi’s vision for Bitcoin was lots of L1 transactions paying small fees (1-2 cents). He had no problems with 15 million txs a day (~50 MB blocks) in 2009! He understood adoption wouldn’t happen overnight, so Moore’s law would help. Maxis will try to hide this knowledge. pic.twitter.com/nhNodVhngo — Nikita Zhavoronkov (@nikzh) February 24, 2024 Nakamoto highlighted an essential aspect of Bitcoin –…
