The “blocksize debate” which is really the blocksize limit debate is an ongoing discussion. Currently the limit is 1MB, when Flavion was asked his opinion on the debate he said:
“I think it is going to have to happen (some kind of increase) otherwise we have this limit of 7 transactions per sec. There are some long term solutions such as the lighting network, 1MB is just random number, 2MB wont change much and for this we need a fork. People that do not want an increase often say that they do not want a fork”
The lighting network is a way to do offline transactions without trust. The transactions are then put on the blockchain when the payment channel is closed which helps Scalability.
“This requires a softfork and is complicated code and not just a number change like the blocksize”
Even the people behind the lightning network think that the blocksize limit should be increased, they also say that the lighting network is a long term solution, not a short term one.
Is it worth it to have a fork with a big change or have a fork with a small change to be more cautious?
The big argument against eh increase is that it would increase centralization. The miners in china and countries with slower internet connections or behind a firewall, it would be hard for them to mine they would have to retrieval bigger blocks and are kind of penalized for there mining, and would centralize mining around the miners with the most bandwidth.
What is the difference between a private blockchain and a public blockchain?
“I think the key difference is who controls the transactions, who verifies the transactions and who decides which transactions are valid or invalid” “what makes bitcoin so interesting is that bitcoin, the validation is done
but an open group anyone with mining power can particpate”
“In the case of a private chain the validation is done by a closed group This is a little bit how ripple works, a web of trust is established and they validate transactions independently.”
What is NASDAQ doing and what are some possible use cases?
On a market for trading private companies and not the big exchange for publicly traded companies. There are around 60 companies that are traded on this market. Currently there is settlement every 3 days. With a blockchain then they could settle every 10min. They are using the bitcoin blockchain,but they could use a private blockchain in theory.
The private market is a testbed and when that technology matures it could be used on the large market with publicly traded companies.I don’t think every transaction will be on the blockchain, just the settlement every 10min.
Updates on Open Assets being used by companies
Gyft wants to use open assets and the blockchain to modernize gift cards. There are lot of problems with gift cards, the number on the back of them is essentially the private and public key. Gyft is trying to solve the issue of fraud with bitcoin and the blockchain using the open asset protocol.
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