The research titled “How Many Sidechains Can Bitcoin Economics Support?” also has an in-depth study of the past issues that once threatened to put a stop to Bitcoin.
The study also explains the complex and intricate working of the blockchain and it also discerns the reason behind August 20, 2015, burnout which the research describes as the outcome of “external systems performing automated trading based on the value of the Bitcoin.”
It also offers advice to the business personnel who are interested in using the blockchain technology to seek answers for issues that are unrelated to the value of Bitcoin.
Tim Sloane, VP, Payments Innovation, and author of this report said that the “Bitcoin embodies social science associated with the behavior of the miners, developers, and others; political science within the voting process that determine future enhancements; economic theory which establishes the value of Bitcoin required to keep miners incented to mine for trust, and computer science that guides the software development, distribution, and management that keep this whole crazy Bitcoin ecosystem operational.”
He further stated that “this research note evaluates what might happen if significant volume of low-value transactions is added to Bitcoin and provides recommendations.”
The study also tries to bring a coherent perspective on the Bitcoin and also takes on claims such as “Bitcoin is the next Internet.” The report believes that such statements are not completely true and devoid of strong understanding of the Bitcoin, as such a statement could be considered factual only when the parameters were confined to the ‘growth’ factor alone.
The report also includes the group’s definition of the sidechain and how to implement them, besides an overview of the Bitcoin economy etc.
Nikhil Gupta is a Bitcoin writer/analyst at NewsBTC.com. He provides opinionated and informative articles, price analysis, and covers news stories related to the cryptocurrency. He is an avid Bitcoin follower and has been tracking the currency since late 2013. View all posts by Nikhil Gupta
The study also explains the complex and intricate working of the blockchain and it also discerns the reason behind August 20, 2015, burnout […]