Categories: social, economy, governance
What? Bitcoin is about to break, because key actors did not agree on expanding a design parameter - the block size limit. Payment transactions now clear in hours instead of minutes at peak times and transaction fees can be higher than credit cards. Recently, programmers standing to benefit from Bitcoin’s decline have acted to avoid the straightforward fix. The Bitcoin ecosystem is dominated by two large miners in China, who effectively have an oligopoly on participatory decision making.
So what? Global financial institutions and others are betting on cryptocurrencies and the underlying technology, the blockchain, a significant component of 21st Century commerce. While Bitcoin is an experiment that may fail, other uses of blockchain technologies may succeed.
Source: Medium - The resolution of the Bitcoin experiment