Bitcoin has had a long and storied history and many people have tried to twist and change the narrative to suit their ends. However, that is all changing as Bitcoin becomes what it was always meant to be – a building block on top of which we can build many different things.
This is the view of Ty Everett (CEO of Project Babbage) who notes that Bitcoin was always designed as a system where people can make transactions. ‘Those transactions contain outputs which are declarations of the terms under which somebody is willing to transact, or somebody is willing to exchange value, he said, ‘These transactions, exchanged peer to peer between parties within a communications network are then registered on the blockchain with miners.’
No limit to scalability
Everett noted that there is no fundamental limit to the scalability of Bitcoin, and the reduced cost of transactions. ‘With an economy of scale created as transaction processors get better at their jobs. We can track the state of transactions on Bitcoin with things called overlay networks, and we can do this in a way that scales.
‘We can use these Bitcoin outputs, these UTXOs, these transactional building blocks within various applications,’ said Everett.
He added that it is possible to create identity systems using Bitcoin that put users in control over their personal information and allow them to transact and move across any number of applications with their same identity.
‘You could email any people now with Bitcoin with your same money, with your same digital identity, with your same assets, with the same rights that you have accrued over time as you have dealt with people, you can take those things and you can make them workable across any number of different applications.’ he said.
BSV blockchain and Teranode
The BSV Association R&D team recently announced groundbreaking features for Teranode that will significantly boost network efficiency and speed, pushing the BSV blockchain’s capabilities to 1 million transactions per second in the not-too-distant future.
Teranode solves vertical scaling challenges on the BSV blockchain by serving high-volume transaction nodes for enterprise and government use. Whether contracting with nodes or running their own, these clients drive the Teranode initiative.
The Teranode upgrade is critical for BSV blockchain’s unbounded scaling potential and will deliver faster, more secure and cheaper transactions for all.
The BSV blockchain will be able to scale to any size required, maintaining speed and the lowest possible network fees. This contrasts with the artificially limited networks in the market. Despite media and social hype claiming these alternative chains are the ‘money of the future,’ these networks cannot be used as money since they can only process limited transactions per second. This artificial limitation creates high fees and long waits.
The digital economy demands a network that can process big data at speed and securely. With Teranode, the BSV blockchain is simultaneously a global digital payments network that can handle any data requirements, from Internet of Things (IoT) applications and devices to enterprise or government contracts.
The end of Bitcoin history
As this unbounded scaling comes into play, and it becomes clear how Bitcoin was always meant to be used, discussions around Bitcoin and its premise will effectively cease, said Everett.
‘The history of Bitcoin is one full of people struggling to understand these things. It’s a history full of people going in the wrong direction and realising that they’re the entire premise, on top of which they’ve they’ve predicated their Bitcoin business or their idea was wrong and was unscalable and wouldn’t work,’ he said.
Everett specifically referenced other altcoins and other competing blockchains which had been led down the ‘wrong path’.
The entire ecosystem of other attempts at creating things using Bitcoin technology is evidence of this. But now, at long last, I think we’ve gotten to a point where people have shed enough blood trying to fail at doing different things, trying to create different approaches to this technology where we’ve finally arrived at some lessons and some understandings about what Bitcoin is and what Bitcoin is for and how it can be used, and that stuff I’m excited about.’