With both the Bitcoin Unlimited and Segregated Witness efforts far from reaching majority support and exploding transaction fees, the debate around how to scale Bitcoin continues on. One of the key arguments against bigger blocks and Bitcoin Unlimited is that a blocksize restriction is needed to create a healthy fee market. Dr Peter Rizun has been researching the economics of transaction fees in Bitcoin extensively and joined us to discuss what dynamics affect fees and why he thinks the blocksize limit will eventually fall.
Topics covered in this episode:
Bitcoin seen through the eyes of a physicist
The dynamics that determine transaction fees in Bitcoin
How orphaning risks drive the fee market economics
The relationship between the block reward and the fee market
Why the blocksize limit will eventually fall
Why Peter supports Bitcoin Unlimited
The state of discussion between Bitcoin Core and Bitcoin Unlimited
Episode links:
Dr. Peter Rizun's talk at Scaling Bitcoin Montreal 2015
Dr. Peter Rizun: "A Transaction Fee Market Exists Without a Block Size Limit"
XT Nodes - Bitcoin Hashrate Distribution
Bitco.in Forum
Ledger - Peer-Reviewed Journal on Cryptocurrency and Blockchain
This episode is hosted by Brian Fabian Crain and Meher Roy. Show notes and listening options: epicenter.tv/172