Bitcoin Marketcap
$1.85T
Gold Marketcap
$15.95T
BTC Settlement Volume (24hr)
$12.90B
BTC Inflation Rate (next 1yr)
1.17%
CASEBITCOIN making the case for bitcoin every day
Bitcoin Marketcap
$1.85T
Gold Marketcap
$15.95T
BTC Settlement Volume (24hr)
$12.90B
BTC Inflation Rate (next 1yr)
1.17%
CASEBITCOIN making the case for bitcoin every day
16 Jun 2019 | | Price when published: $8,910 (ROI since: +999%)
Filed under: fundamentals blogs
TL;DR — This article comprehensively addresses concerns around Bitcoin’s security model which is funded by the block subsidy and transaction fees. Key points:
- The larger the Bitcoin network grows, the more secure it becomes.
- Over the long term, an organic security tradeoff will occur between the block subsidy and transaction fees. As network effect becomes larger, demand for block space increases, thus decreasing the need for a block subsidy. We have empirical evidence that this is occurring, and future projections look optimistic.
- Bitcoin’s block space is a scarce and unique commodity. It will continue to accrue demand.
- The bull market of 2017 wasn’t millions of consumers suddenly using blockchains to transfer money around the world and seeking to minimize transaction, exchange, volatility, and coordination fees.
- The price elasticity of a Bitcoin transactor is high. Even in significantly higher fee environments Bitcoin block space demand will grow.
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