Why SHOULD Bitcoin Investors WORRY About Its ABSENT Potential

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2 years ago (Last updated: 1 year ago)

The Failure Of Bitcoin (BTC) And LN As A Payment Option.

Bitcoin’s revolutionary concept experienced an extraordinary adoption race from 2009 until 2012–2013. As the adoption of the Bitcoin revolution was growing, so was the price in cryptocurrency exchanges of the era.

However, the price increase attracted new elements, with one group achieving to prevent the potential for global adoption of peer-to-peer electronic cash.

Bitcoin (BTC) abandoned the initial disruptive vision of competing with enormous field powers, such as Visa and Mastercard, to promote the coin with a vague narrative as a digital store of value.

Bitcoin stretched beyond the original dream, as one party of developers assumed control and undermined it since then.

For these six reasons, Bitcoin (BTC) stands no chance in the current financial environment of competing with Visa/Mastercard and the established POS banking payment networks.

Why Bitcoin (BTC) And LN Failed For Payments

“A purely peer-to-peer version of electronic cash would allow online payments to be sent directly from one party to another without going through a financial institution.”

- The Whitepaper, Satoshi Nakamoto (Source)

Developers Stagnated Layer-1 To Promote Weak Sidechains

BTC stagnated and never scaled the developers’ inaction and fierce opposition to proceed with proposed solutions after the scaling debate in 2015.

The Blockchain can scale. A proven point by Bitcoin Cash since 2017.

Bitcoin Cash scaled Bitcoin without sacrificing its permissionless and trustless features.

The cost of running a node did not increase in the last five years. Transactions are permissionless, and instant transaction fees are lower than one cent.

Layer-2 Can’t Fix Layer-1

If all Bitcoin transactions were conducted inside a network of micropayment channels, to enable 7 billion people to make two channels per year with unlimited transactions inside the channel, it would require 133 MB blocks.

Lightning Network Whitepaper

The Lightning Network is incapable of resolving the technical disappointments of Bitcoin’s development.

LN Is Prone To Centralization

Centralization is a single point of failure for blockchain networks.

Bitcoin BeachChivoStrikeWallet Of Satoshi, and the majority of LN services miss the point.

LN’s concept pushes users towards custodial wallets and services.

The structure of LN does not present non-custodial alternatives, especially when the blockchain suffers from high fees ($50 or higher) and the mempool is congested.

Users might as well use a credit card to buy Bitcoin LN to transact and sell LN back to their credit card, which defeats the purpose.

Yet even Bitcoin devs suggest using credit cards insteadthe payments system Bitcoin was supposed to replace.

Centralized financial hubs already operate custodial LN wallets and dominate in volumes even in the current poor form and insignificant adoption level of LN.

An Endless List Of Critical LN Vulnerabilities

Eight years after inception, the Lightning Network contains critical vulnerabilitys, bugs and a risk of losing wealth.

David Shares updates regularly a GitHub page containing all vulnerabilities and scalability issues LN faces.

Core Devs Display Poor Vision And Narrow Mindedness

Any network demands constant developments, robust solutions, and secure implementation with scaling to achieve global adoption.

Well, not Bitcoin (since 2015). The quality of the community indicates the potential of a network.

Here, the Bitcoin developers display a complete lack of fundamental knowledge of how a network should scale and achieve meaningful adoption.

Bitcoin Core lacks vision and purpose.

The current devs maintain Bitcoin on autopilot since the Satoshi days.

The price of Bitcoin is not a reflection of developments and adoption for its potential or utility but a speculative party of social media spammers and fund managers, promoting Bitcoin as a high-risk / high-reward scheme to funds.

No other feature of Bitcoin gives promise of a bright future. Bitcoin’s (BTC) brilliance still emanates from its glorious past, a past its current community rejected.

The Price In USD Is The Sole Purpose

Bitcoin’s community favors speculation and price over long-term utility and adoption.

Boom and bust cycles are enabled by “halving”, a hard-coded procedure that reduces new supply and increases speculation. However, the vast potential the whitepaper described is not there anymore.

As a payments network, Bitcoin (BTC) has no future. Far better options are available, with reliable, trustless, and robust networks offering fast and cheap permissionless transactions.

The financially irrational promotional activities of Bitcoin developers and advocates only promote speculation of a payment solution lesser than what the banks, Visa, and Mastercard already produced since the 80s.

Bitcoin maximalists since 2015 solely promote the Store of Value concept.
The POS network, together with the tens of thousands of intermediaries (financial and transactional processors) globally has nothing to fear from Bitcoin today.

In Conclusion

(Moore’s Law Transistor Count 1970–2020 (Wikipedia, CCA 4.0))

By Moore’s Law, the Blockchain scales with simple upgrades as Satoshi Nakamoto intended:

Bitcoin maximalists never included the self-evident advancement of computer technology in their logic. The arguments of the Blockstream side of developers during the blocksize debate were hollow and naive.

It seems a lot is wrong today with Bitcoin and Lightning, with only the price narrative sustaining BTC alive all this time.

A deceiving price narrative, though, based on early revolutionary features that don’t exist anymore.

Bonus Content: TAPROOT!

Even upgrades that performed no significant changes as Taproot were heralded as the beginning of DeFi, privacy, and multiple other advancements on top of Bitcoin’s blockchain.

How was such a massively advertised Bitcoin upgrade so quickly forgotten? The percentage of taproot UTXOs is approximately 0.5–1% of the network’s total, and the total value is lower than 0.01%.

Yet, another fiasco, another deceptive narrative of development only there to “pump” the price and allow early whales to exit.

Lead Image (background) by 12019, on Pixabay

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Originally published at Medium

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Comments

Thanks for sharing these... These information are not easy to find. I think most people try to keep these hidden.

yet, some people in other social media insist" invest only in Bitcoin and forget other sh*tcoins"... I wonder where that so call bitcoin millionaire is now? Some people also claims that LN solves the scalability issue of Bitcoin. In effect negating the advantages of BCH... hmm... I wonder how much have they lost already in failed transactions...

Lastly, I think BCH is perfectly named ... since it is that Bitcoin that can be used as Cash.... If people insist on buying and Hodling BTC like they would treat their investments in Gold... then I think it should be renamed to bitcoing gold.... since they are treating it purely as a commodity .. not a currency.

$ 0.03
2 years ago

My friend was waiting for bitcoin to rise to 100k when bitcoin was worth 66k and now wiping his tears he tells me why I didn’t listen to you then when you said “withdraw your 20 btk and buy apartments” TRUE STORY :,(

$ 0.05
2 years ago

Gracias amigo por tu buen analísis, se le agradece.

$ 0.00
2 years ago

BTC seems to be a monster with no self integrity as it toss its investors to and fro with greatest impunity.

$ 0.01
2 years ago

In a year or so we will see the same people appearing again with the same deceitful narratives.

$ 0.00
2 years ago

Sometimes I hope to see the Bitcoin maximalist still brag about their so called BTC is changing the world.

Price crashes and no one is talking about it because it lacks the potential to make it relevant in the crypto-verse. BTC should be the role model for other projects but it failed in every ramification.

$ 0.03
2 years ago

Thank you @ChaosElephant for the tip!

$ 0.50
2 years ago

Just wanna ask idol if there is still a bright chance that the BTC goals will be meet in the future or what? Hehe

$ 0.03
2 years ago

What are these goals, though?

$ 0.00
2 years ago

The global adoption of crypto, BTC in general idol!

$ 0.00
2 years ago

I believe this goal was abandoned years ago by the BTC community.

https://twitter.com/100trillionUSD/status/1262360453214281730

Everyone just speculates that more will buy Bitcoin in the future because of the halving and the cycles. There's nothing else in Bitcoin but speculation. At least some maxis admit this.

$ 0.05
2 years ago

Thanks for the info idol, I really appreciate it. :)

$ 0.00
2 years ago

At this point I just refer to BTC as Bitcoin Classic 😄

$ 0.06
2 years ago

Something like that, yes!

$ 0.01
2 years ago