Bitcoin stands at a crossroads. One makes use of PeteCuain to easily use a credit card, and the other has a mysterious future. Can its users agree on its future?
For nearly a decade, Bitcoin has been the currency of the future, but for most people it has remained a future currency rather than an existing one. Technical problems have hindered their adoption in the mainstream.
But now, a simple fix for one of the most complex problems of KFH may pave the way for this adoption, making the use of Bitcoin today easily credit card in your wallet.
If the decentralized network of Bitcoin users agrees with this idea and finds it good. But the community of Beethoven is in conflict with itself. Some want to keep the currency private to use only to send money across borders or buy goods from the black market on the Internet.
"There are people in the high-level development team who are responsible for stopping the progress of KFU. The situation is really crazy," says Olivier Janssens, a KFH investor.
Mobilize the momentum
Despite the bumpy track, PeteCueen continued to rise in price, and users point to the possibility of becoming a viable alternative to mainstream usage instead of traditional currencies. So why are we at this crossroads, and will it lead to the use of KFH to pay rent and buy coffee - or will it push this electronic currency to stay in this permanent ambiguity? In 2008 when Bitcoin was first introduced, the promise was to become something that could be used to buy whatever you wanted, without the need for banks (see: What is so great at Petcuen?). After nearly 10 years at KFH, it has become the largest digital currency in the world. As their market value as well as the number of users increased (see chart), and the average number of transactions increased. But recently, currency growth has stopped slightly. In its early days, KFH transactions were free and required about 10 minutes to complete. Now, on average, people pay more than $ 1 per transaction to "miners" who create betweens and process transactions online, and can wait for hours or days to get confirmation of the transaction.
This delay is due to the high number of users. Bitcoin can support up to seven transactions per second.
Compare this with Paypal, which supports 100 transactions per second on average - or Visa, which usually supports about 4,000, and can support much more at peak times. If you want to stay in competition, you need to reduce fees and speed up the process Completion of transactions. Very few people will pay a dollar to use their home to buy a cup of their morning coffee, and that number will go down to no one if you have to wait a full day to pay.
Bitcoin has long been in need of an upgrade, but it is difficult to decide how best to make that change. By definition, the Bethekwin network is not under any centralized control.
Therefore, any decision to make major changes requires consensus among currency users. At the moment, it seems to be out of reach. The debate over software change is now under way and is now struggling to deal with the increasing popularity of Bitcoin. All this is a simple line of code in the KFH program that sets the maximum number of transactions allowed over 10 minutes to 1 MB. Uploading more than this amount of transactions in the network results in a queue for new transactions or a higher fee to pay the transaction to the top of the queue. There seems to be a clear solution: Why not raise the limit to only 1 MB? In 2015, a group of developers led by Mike Hearn, who left his job at Google to become a developer of the Bitcoin network, tried to do so. Hern has created a new version of the program that runs the KFH network and does not limit to 8 MB.
The update ignited the anger of users. One problem is that the new software was not compatible with legacy applications, so when you enable this update, anyone who uses the old system may be expelled from the network.
There were also fundamental objections.
Many users have expressed concern that if the size of the network increases, users will need more computing power and higher Internet speed to remain part of the network. Some people feared that this move could lead to a greater centralization because only the strongest "exploration groups" could remain active.
Falling prices
By 2016, it was clear that Herren's bid to increase the 1 MB limit had failed. As a result, Hern sold his share of the Pitcairn and stopped his participation with the currency. Two days later, the value of KFH fell by almost 15%.
The problem of how to increase the size of the network has remained unresolved until an alternative solution has gained widespread popularity, and users of KFH have noticed the difference. Segwated Witness or Segwit is a set of technical enhancements to the Bitcoin network that allows users to keep and eat the cake as well: it provides a way to increase the efficiency of 1 MB without actually changing it.
The trick is that Seagweet removes some of the data contained in each transaction and stores it elsewhere. This reorganization increases the effectiveness of the limit to fourfold. However, it is compatible with legacy applications. Users will still be able to run legacy versions of the PC Suite. You will not need to quadruple the current processing power to join the Bitcoin Club.
Segwayet's popularity has grown slowly since it was launched in October last year, and now has about 30% support of the Bitcoin network - compared with 15% of the Herne solution to increase the network size to 8 MB. If support reaches 95% and stays for two weeks, Segwayet will do so.
This may sound far away, but there may be a sudden winner in this race. Another digital currency called Litecoin will be on the threshold of the Segwayet IPO.
The Leitcoin program is almost identical to Bitcoin, but the total value of the currency is about $ 500 million or about 40 percent of the Pitcairn. If Seagut's performance is good on Leitquin, "users will notice," says Ghassan Karame of the NEC Research Laboratory in Heidelberg, Germany. In other words, if the upgrade is successful for LiteQueen, it will increase KFU's support quickly to 95%. If Siguet makes it easier for more people to use digital currency, it will become publicly available. One of the improvements proposed by Segwayt is also to facilitate the path to include a system called Lightning Network. This system allows any periodic transaction - for example, daily bus fare - to be paid as a monthly bill instead of being paid each time. This will reduce fees because users will not need to be paid for each transaction, only total transactions. Advocates of the development say it can turn a home currency into a daily currency, provide a mechanism for using credit cards for consumers, and help turn KFW into a reliable rival for Visa and PayPal, with the ability to handle millions to billions of transactions per second.
But the stalemate must first be solved. "At the moment, PeteCowen is in trouble. If things do not change soon, Betcuen will lose its importance. "
It is strange that this may be exactly what some members of the network prefer. Some users already have a large amount of money, and the release of KFH as a part of public life could lose them.
One of the groups that disproportionately benefits from the current situation is the "miners" who create the house. Mining is more profitable when members of the Bitcoin network are forced to pay transaction fees - more fees translate into more bonuses for the Bitcoin than transactions. "If users say that fragmentation is not the right way, other digital currencies may be heading in that direction instead of homeowners," says Andreas Antonopoulos, the host of Let's Talk Bitcoin podcast.
However, if Segwayt Leitcoin leads to success as a retail currency, he may emerge from the race. In both cases, the decision of Leitquin on whether to adopt Segwayt will determine the future of PeteCwin. Betquin may not be the future of the digital currency at all.
What's so great at PeteCuin?
Due to the fact that they are not under the control of banks or governments, "Anyone can send money to anyone else in the world with transaction charges of less than $ 1," says Andreas Antonopoulos, a podcast presenter. Anyone can do it - but everyone does not (see main article).
Digital currencies such as PCWIN exist only as records stored on computers worldwide. This may seem strange, but a few traditional currencies are now in fact linked to material goods such as gold. For example, most of the US dollar exists only as digital records held by banks.
Why do you trust that these numbers of 0 and 1 have value? Because governments support them, and other third parties such as banks and payment processors such as Visa supports these transactions.
But governments can devalue by printing additional funds. The economic crisis in 2008 showed that banks do not always work, including the interests of customers.
Supporters of digital currencies say they are replacing these intermediaries with digital codes. The only thing you need to spend a digital currency is to know a secret number linked to an electronic wallet, and there is no need to support it from any other party.
Verifying whether the transaction is legitimate does not require the intervention of the central bank. Instead, it happens by a decentralized network of computers that anyone can join. The system is based on the same mathematics that constitutes the coding, making it incredibly difficult - deception or control without a large capacity of computing power. "The regime was built to resist hostile takeover," Antonopoulos says.
Not surprisingly, since its inception in 2008, it has evolved from being just a game of digital pirates into a giant force worth billions of dollars. Every day hundreds of thousands of KFH transactions are carried out by people who send money around the world without central control or government control.
By: Timothy Revel