Block Size: Bitcoin Does Not Scale Effectively

This weekend’s official XT release was made under pretense that a bigger block size will supposedly increase Bitcoin’s capacity and allow more transactions per second, cheaper fees and wider adoption. So why had the decision caused so much controversy and why didn’t the Core developers just implement it already? We all want a large scale Bitcoin with maximum participation, don’t we? As it turns out, the XT developers are not telling the whole truth and are knowingly putting Bitcoin’s future on the line.

Decentralised and Trustless by Design

bitcoin buttonSatoshi Nakamoto based the Bitcoin protocol on a Peer-2-Peer network design. Instead of releasing a self-sufficient application that runs independently on a server to process and route transactions between wallets, the Bitcoin software runs in P2P client mode and is dependent on other peer clients to build the network and validate its peers’ activities. The reason for this design decision is two-fold:

1) it makes Bitcoin decentralized
2) allows network nodes to build consensus

The reason for the consensus mechanism is because Satoshi Nakamoto’s Bitcoin design solves the problem of digital double-spending. Each fullnode verifies every previous (and each new) transaction,

Read more ... source: CryptoCoinsNews