Bitcoin’s Big Flaw

Bitcoin’s Big Flaw

Everything in the universe has a design flaw, including Bitcoin.  Other digital currencies exist and are welcomed, but Bitcoin is the first and currently only digital currency with widespread growing adoption. With the flexibility of open source, Bitcoin can be readily changed as needed.  Bitcoin’s critics often mention Bitcoin’s flaw of future file size growth, but they neglect to mention that computing power increases continuously, and this routine increase in hardware and communications technology can by itself make up for Bitcoin’s most obvious future “flaw”.  The flaw is already destined to be solved by at least two different solutions, Bitcoin’s adaptability and the world’s technological advancement.

GameChakra and others correctly point out several reasons why Storm’s theory is not a crippling issue:

1. Pruning can be done (i.e. deleting unecessary data in the network).

2. Moore’s Law. Storage doubles every 2 years.

3. Market can self-regulate by imposing higher transaction if bitcoin adoption gets too fast therefore supress trading volume.

4. You don’t need to download the whole blockchain to transact with bitcoin (MultiBit wallet).

Critics are often correct that Bitcoin is not to be treated like a stable, long term investment, Indeed it offers higher risk and higher returns than a typical investment.

Corey Chambers, The Bitcoin Blogs

Advertisement

MIT student group announces a huge development research project with Bitcoin

Yelp’s New Bitcoin Designation

There’s ben several really major announcements this week showing further tremendous adoption of Bitcoin.  MIT student group announces a huge development research project with Bitcoin.  The largest Wall Street computer system, Bloomberg Terminal begins to track Bitcoin.    Seattle, Washington gets its first Bitcoin ATM machine. World’s largest review site Yelp added a designation showing which businesses accept Bitcoin.

Those who think that it is safer to own dollars than Bitcoin should keep their money in dollars and they can enjoy the safety of losing 5% per year. In the past 12 months, Bitcoin increased in value more than 400% while the dollar decreased in value 5%. The year before that, Bitcoin increased in value 600% while the dollar decreased in value by 5%. The year before that, Bitcoin went up in value 600% while the dollar decreased in value by 4%. How many years will it take for the average person to catch on? Most will wait to buy Bitcoin and wait and wait until the timing is all wrong. Most will think Bitcoin is safe after several more years. Most will buy Bitcoin at its peak, and then they will experience the greatest crash in history.

Corey Chambers – The Bitcoin Blogs

Bitcoin Supporters Clash Over Idealogical, Practical Issues

Bitcoin Supporters Clash Over Idealogical, Practical Issues

Kristen Brown and SFGate report on a widening schism between Bitcoin enthusiasts calling for more regulation and those who want to protect the independent, libertarian spirit of the cryptocurrency.

Like U.S. dollars, Bitcoin works both inside and outside of a regulatory environment. Bitcoin enthusiasts need not choose one of the other, but they do have that option if desired. Bitcoin purchased with localbitcoins.com is private and out of the reach of governments. Bitcoin purchased with coinbase.com is regulated and presumably tracked by the U.S. government.

Bitcoin is inherently under less regulation than the U.S. dollar, and Bitcoin will always have that advantage. The U.S. government creates and destroys dollars at will. The U.S. government cannot do that with Bitcoin because, like the Internet, Bitcoin is decentralized, created by internet-based individuals across the globe. Currently, nobody has the technology to crack the cryptography of Bitcoin.

Corey Chambers, The Bitcoin Blogs

Dorian Satoshi Nakamoto – private individuals deserve to have their privacy respected

Dorian Satoshi Nakamoto of Temple City, California has lived in the U.S. for more than 50 years. He speaks and write English better than you and I. His entire career is about secretive technologies, and even if Newsweek is only half-right about his personal life, Dorian Satoshi matches precisely the expected persona of the inventor of Bitcoin. Regardless, Nakamoto wants privacy, and the law is clear that private individuals deserve to have their privacy respected.

Corey Chambers, The Bitcoin Blogs

Satoshi Nakamoto Identity

Satoshi Nakamoto Idenity

The creator of Bitcoin has been identified, found and interviewed.

Satoshi Nakamoto Identity

Newsweek’s Leah McGrath Goodman has written the most important Bitcoin article to date.  It is unfortunate that Newsweek decided to show a photograph of Nakamoto’s house, an disrespectful slap in the face to Nakamoto.  Why was the residence photo necessary for this article?  The only reason someone should be outed in this manner is if it is an openly public figure who is accused of some kind of

Newsweek and Goodman do appear to be right on the money regarding Prentice S. Nakamoto’s identity as the Bitcoin creator.  Everything that Nakamoto says seems to be a match to what Bitcoin creator Satoshi Nakamoto has communicated in his previous communications.  Also Dorian S.  Nakamoto’s entire persona seems to match exactly that of the Libertarian computer scientist who would create Bitcoin.  If he really said “I’m no longer involved.” then that would also be an exact match, and an admission that he is Bitcoin’s creator.

Corey Chambers, The Bitcoin Blogs