Bitcoin has confused the industry financial talking heads.

kensiko

Weaksauce
Joined
Oct 5, 2011
Messages
123
Musk is something else.

Still happy with my first American car, my Model S 2014, bought 5 years ago.
 

Zepher

[H]ipster Replacement
Joined
Sep 29, 2001
Messages
18,149
I was just thinking about that the other day. When you want to buy something, like a soda with btc, you value it in USD and then pay with the equivalent btc.
Since btc fluctuates you can't really price the item in btc as the price will keep changing, like 1 minute that soda costs .000043 and then it costs .000051
And when you initiate a transaction, how long does it take till it's finalized?
 

Archaea

[H]F Junkie
Joined
Oct 19, 2004
Messages
10,879
I was just thinking about that the other day. When you want to buy something, like a soda with btc, you value it in USD and then pay with the equivalent btc.
Since btc fluctuates you can't really price the item in btc as the price will keep changing, like 1 minute that soda costs .000043 and then it costs .000051
And when you initiate a transaction, how long does it take till it's finalized?
BTCs value will stabilize with broader adoption.

BTC at current won’t be used to buy a can of soda. It won’t scale that way. It’s incapable of scaling that way in original form.

Blocks only process every 10 minutes, and can only hold a finite amount of transactions. This small set capacity of transactions is dismal compared the amount of transactions say Visa can do. DISMAL. So it cannot handle all immediate transactions and hasn’t been able to do that for years. That’s why it’s becoming a store of value more than a currency.

There will be layers built on top of the core of BTC that will accommodate the small immediate transactions. This I don’t like too much because it moves away (IMO) of the independent aspects that made BTC unique. You go back to requiring trusted parties for small transactions — which isn’t what BTC aspired.
Anyway these new layers that provide instant transactions off the BTC ledger between trusted 3rd parties and are later summarily summarized up and settled on the BTC ledger. That’s the proposed solution. For more information look up Lightning and Strike. It’s functional and it’s fast and it’s scalable, but IMO not the perfect solution to a difficult problem.
 
Top