US vs. China: The 20 MB Miner War That Could Destroy Bitcoin (Op-Ed)

The world’s two largest economies; two of the three most populated countries on earth; much more importantly: the world’s two largest Bitcoin mining communities locking horns in a struggle for power and control over the Bitcoin blockchain.

The Far East versus the West; the United States versus China: a classic battle of global superpowers that may not have a winner, but may take the world’s first global currency down in the digital crossfire.

Possible implosion

The issue of Bitcoin block size is coming to a head within a matter of days. Could a battle over block size between Western businesses and Eastern miners leave Bitcoin in danger of self-destruction?

Mike Hearn, a Bitcoin core developer, says it is highly unlikely, but yes, it is possible. Speaking to Epicenter Bitcoin in episode #82 recently, Hearn laid out the potential scenario for an implosion of Bitcoin, however unlikely.

The issue lies in the need for block size maintenance to prevent a logjam of transactions within the next year. Bitcoin blockchains can currently only handle seven transactions per second, and at current transaction rates, this will exceed the current 1 MB block size sometime next year. A raise to 20 MB has been proposed by

Read more ... source: Cointelegraph