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BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

blog.bitpay.com

21–30 of 226 posts

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#21
post #6

Earlier quoted context omitted.

The first version of new and revolutionary technology rarely (if ever?) becomes the dominant one. Obvious examples are search (Altavista -> Google) and social networks (MySpace -> Facebook).

Where is your second internet?

There's always the chance that you can evolve and improve upon the technology instead of something else coming to replace it.

For bitpay's usecase Bitcoin is being replaced by other coins because it fails to embrace on-chain scaling in favor of off-chain scaling which is far from ready. This is exactly as predicted.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#22
post #7

This was foreseeable when Bitcoin Core rejected Segwit2x. BitPay's business model simply fails unless the blockchain can scale much more than Segwit alone achieves, very soon.

While I agree that Segwit2x would have been good for BTC, it ultimately only kicks the can down the road a little bit. If BTC (or BCH) is going to be used at Visa/Mastercard scale then the transactions need to happen off-chain. The Lightning Network is the answer here, a lot of work still needs to be done though, particularly on the software side.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#23

It seems clear to me at this point that the cryptocurrency revolution is now bigger than Bitcoin itself. Years ago, I saw three long-term outcomes: Bitcoin being king and altcoins dying on the vine, Bitcoin being one of innumerable blockchains in use, and cryptocurrencies in general failing to gain adoption. I'm scratching the first outcome off the list, and my pen is hovering over the last outcome.

Bitcoin is the long term store of value for the cryptocurrency ecosystem. It's poor for small transactions, but works well for storing large amounts of value as it is significantly more secure in terms of PoW than anything else out there. The small transaction issue may be overcome by something like the Lightning Network, but in the short term, you can just use other cryptocurrencies with lower fees or other features…

The thing I don't understand, and am concerned about the most is that cryptocurrencies rely on public ledgers, and therefore not private. That is all monetary transactions are in essence public record, which is very odd to me, and really doesn't sit well.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#24

It seems clear to me at this point that the cryptocurrency revolution is now bigger than Bitcoin itself. Years ago, I saw three long-term outcomes: Bitcoin being king and altcoins dying on the vine, Bitcoin being one of innumerable blockchains in use, and cryptocurrencies in general failing to gain adoption. I'm scratching the first outcome off the list, and my pen is hovering over the last outcome.

Bitcoin is the long term store of value for the cryptocurrency ecosystem. It's poor for small transactions, but works well for storing large amounts of value as it is significantly more secure in terms of PoW than anything else out there. The small transaction issue may be overcome by something like the Lightning Network, but in the short term, you can just use other cryptocurrencies with lower fees or other features…

Bitcoin cash sounds good then

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#25
post #9

Just this May their CEO was singing a different tune: "We have carefully studied the most significant alternatives to the Bitcoin Blockchain and have concluded that none of them are compelling" [1] He's been a bitcoin maximalist for a while, so it's notable to see him finally cave due to the mining fees. [1] https://cointelegraph.com/news/bitpay-ceo-we-studied-bitcoin...

He 'caved in' because bitpay was bought by bitmain, the largest centralized chinese miner.

Bought or invested in? Bitpay was shooting themselves in the foot by not branching out into other digital assets while fees and transaction time skyrocketed. If it took Bitmain to force the issue congrats to them.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#26
post #21

Earlier quoted context omitted.

Where is your second internet?

There's always the chance that you can evolve and improve upon the technology instead of something else coming to replace it. For bitpay's usecase Bitcoin is being replaced by other coins because it fails to embrace on-chain scaling in favor of off-chain scaling which is far from ready. This is exactly as predicted.

Yep. If you want to get your transactions tracked by the chinese government, it is cheap. Like PayPal. If you want your transactions to be private, you use a decentralized blockchain like bitcoin.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#27
post #25

Earlier quoted context omitted.

He 'caved in' because bitpay was bought by bitmain, the largest centralized chinese miner.

Bought or invested in? Bitpay was shooting themselves in the foot by not branching out into other digital assets while fees and transaction time skyrocketed. If it took Bitmain to force the issue congrats to them.

The chinese government wanted a crypto they could track, because they want to own all of the mining infrastructure, all of the nodes, all of the code base and the payment gateway to it. So that's what they got. Bcash.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#28
post #22
post #7

This was foreseeable when Bitcoin Core rejected Segwit2x. BitPay's business model simply fails unless the blockchain can scale much more than Segwit alone achieves, very soon.

While I agree that Segwit2x would have been good for BTC, it ultimately only kicks the can down the road a little bit. If BTC (or BCH) is going to be used at Visa/Mastercard scale then the transactions need to happen off-chain. The Lightning Network is the answer here, a lot of work still needs to be done though, particularly on the software side.

This is the major (technical - plenty of political issues) problem I have with Bcash. It’s cheap and fast because transaction volumes, and price, are 10% of BTC, yet blocks are 1.5x the size (roughly, looking at a block explorer). As soon as they fill up, they’ll have the exact same problems down the line. Increasing the block size doesn’t scale long term and is a bandaid solution at best.

BTC was fast and cheap when adoption was low.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#29

It seems clear to me at this point that the cryptocurrency revolution is now bigger than Bitcoin itself. Years ago, I saw three long-term outcomes: Bitcoin being king and altcoins dying on the vine, Bitcoin being one of innumerable blockchains in use, and cryptocurrencies in general failing to gain adoption. I'm scratching the first outcome off the list, and my pen is hovering over the last outcome.

Bitcoin is the long term store of value for the cryptocurrency ecosystem. It's poor for small transactions, but works well for storing large amounts of value as it is significantly more secure in terms of PoW than anything else out there. The small transaction issue may be overcome by something like the Lightning Network, but in the short term, you can just use other cryptocurrencies with lower fees or other features…

> It's poor for small transactions, but works well for storing large amounts of value as it is significantly more secure in terms of PoW than anything else out there.

This is only true as long as Bitcoin is worth more. But with it becoming more unusable, while other coins are growing in popularity, this will change and Bitcoin won't have any use case left.

> The small transaction issue may be overcome by something like the Lightning Network, but in the short term, you can just use other cryptocurrencies with lower fees or other features that are important to you.

The Lightning Network has too many problems to solve Bitcoin's scaling issues by itself. Including:

1. No decentralized routing 2. Hubs need to bind up large amount of capital 3. Nodes need to constantly be online and monitor the state to prevent fraud 4. It is heavily dependent on the network effect: for it to be useful the ones you want to transact with needs to be there. Kind of a chicken and egg problem. And why use it as long as other cryptocurrencies fulfill the users need, with a better user experience than LN would provide as well. 5. Settlements do not work reliably with full blocks (or they need to pay huge premiums)

LN might have a usecase for providing microtransactions, such as paying for every X second of a video or similar, but it will not solve Bitcoin's scaling problems.

Re: BitPay Will Process Payments on Multiple Blockchains, Starting with Bitcoin Cash

#30
post #21

Earlier quoted context omitted.

There's always the chance that you can evolve and improve upon the technology instead of something else coming to replace it. For bitpay's usecase Bitcoin is being replaced by other coins because it fails to embrace on-chain scaling in favor of off-chain scaling which is far from ready. This is exactly as predicted.

Yep. If you want to get your transactions tracked by the chinese government, it is cheap. Like PayPal. If you want your transactions to be private, you use a decentralized blockchain like bitcoin.

I'm sorry but your continued comments in this thread are just play wrong.

> If you want to get your transactions tracked by the chinese government

That's such a stupid thing to say as with an open ledger everyone can track your transactions.

> If you want your transactions to be private, you use a decentralized blockchain like bitcoin.

You don't even know what a private transaction is. Bitcoin has an open ledger and all transactions are exactly as traceable.

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