Why Global Deflation May Not Be Bad News For Bitcoin ...

Let's discuss some of the issues with Nano

Let's talk about some of Nano's biggest issues. I also made a video about this topic, available here: https://youtu.be/d9yb9ifurbg.
00:12 Spam
Issues
Potential Mitigations & Outstanding Issues
01:58 Privacy
Issues
  • Nano has no privacy. It is pseudonymous (like Bitcoin), not anonymous.
Potential Mitigations & Outstanding Issues & Outstanding Issues*
  • Second layer solutions like mixers can help, but some argue that isn't enough privacy.
  • The current protocol design + the computational overhead of privacy does not allow Nano to implement first layer privacy without compromising it's other features (fast, feeless, and scalable transactions).
02:56 Decentralization
Issues
  • Nano is currently not as decentralized as it could be. ~25% of the voting weight is held by Binance.
  • Users must choose representatives, and users don't always choose the best ones (or never choose).
Potential Mitigations & Outstanding Issues
  • Currently 4 unrelated parties (who all have a verifiable interest in keeping the network running) would have to work together to attack the network
  • Unlike Bitcoin, there is no mining or fees in Nano. This means that there is not a strong incentive for emergent centralization from profit maximization and economies of scale. We've seen this firsthand, as Nano's decentralization has increased over time.
  • Nano representative percentages are not that far off from Bitcoin mining pool percentages.
  • In Nano, voting weight can be remotely re-delegated to anyone at any time. This differs from Bitcoin, where consensus is controlled by miners and requires significant hardware investment.
  • The cost of a 51% attack scales with the market cap of Nano.
06:49 Marketing & adoption
Issues
  • The best technology doesn't always win. If no one knows about or uses Nano, it will die.
Potential Mitigations & Outstanding Issues
  • I would argue that the best technology typically does win, but it needs to be best in every way (price, speed, accessbility, etc). Nano is currently in a good place if you agree with that argument.
  • Bitcoin started small, and didn't spend money on marketing. It takes time to build a community.
  • The developers have said they will market more once the protocol is where they want it to be (v20 or v21?).
  • Community marketing initiatives have started to form organically (e.g. Twitter campaigns, YouTube ads, etc).
  • Marketing and adoption is a very difficult problem to solve, especially when you don't have first mover advantage or consistent cashflow.
08:07 Small developer fund
Issues
  • The developer fund only has 3 million NANO left (~$4MM), what happens after that?
Potential Mitigations & Outstanding Issues
  • The goal for Nano is to be an Internet RFC like TCP/IP or SMTP - development naturally slows down when the protocol is in a good place.
  • Nano development is completely open source, so anyone can participate. Multiple developers are now familiar with the Nano protocol.
  • Businesses and whales that benefit from Nano (exchanges, remittances, merchant services, etc) are incentivized to keep the protocol developed and running.
  • The developer fund was only ~5% of the supply - compare that to some of the other major cryptocurrencies.
10:08 Node incentives
Issues
  • There are no transaction fees, why would people run nodes to keep the network running?
Potential Mitigations & Outstanding Issues
  • The cost of consensus is so low in Nano that the benefits of the network itself are the incentive: decentralized money with 0 transaction fees that can be sent anywhere in the world nearly instantly. Similar to TCP/IP, email servers, and http servers. Just like Bitcoin full nodes.
  • Paying $50-$100 a month for a high-end node is a lot cheaper for merchants than paying 1-3% in total sales.
  • Businesses and whales that benefit from Nano (exchanges, remittances, merchant services, etc) are incentivized to keep the protocol developed and running.
11:58 No smart contracts
Issues
  • Nano doesn't support smart contracts.
Potential Mitigations & Outstanding Issues
  • Nano's sole goal is to be the most efficient peer-to-peer value transfer protocol possible. Adding smart contracts makes keeping Nano feeless, fast, and decentralized much more difficult.
  • Other solutions (e.g. Ethereum) exist for creating and enforcing smart contracts.
  • Code can still interact with Nano, but not on the first layer in a decentralized matter.
  • Real world smart contract adoption and usage is pretty limited at the moment, but that might not always be the case.
13:20 Price stability
Issues
  • Why would anyone accept or spend Nano if the price fluctuates so much?
  • Why wouldn't people just use a stablecoin version of Nano for sending and receiving money?
Potential Mitigations & Outstanding Issues
  • With good fiat gateways (stable, low fees, etc), you can always buy back the fiat equivalent of what you've spent.
  • The hope is that with enough adoption, people and businesses will eventually skip the fiat conversion and use Nano directly.
  • Because Nano is so fast, volatility is less of an issue. Transactions are confirmed in <10 seconds, and prices change less in that timeframe (vs 10 minutes to hours for Bitcoin).
  • Stablecoins reintroduce trust. Stable against what? Who controls the supply, and how do you get people to adopt them? What happens if the assets they're stable against fail? Nano is pure supply and demand.
  • With worldwide adoption, the market capitalization of Nano would be in the trillions. If that happens, even millions of dollars won't move the price significantly.
15:06 Deflation
Issues
  • Nano's current supply == max supply. Why would people spend Nano today if it could be worth more tomorrow?
  • What happens to principal representatives and voting weight as private keys are lost? How do you know keys are lost?
Potential Mitigations & Outstanding Issues
  • Nano is extremely divisible. 1 NANO is 1030 raw. Since there are no transaction fees, smaller and smaller amounts of Nano could be used to transact, even if the market cap reaches trillions.
  • People will always buy things they need (food, housing, etc).
  • I'm not sure what the plan is to adjust for lost keys. Probably requires more discussion.
Long-term Scalability
Issue
  • Current node software and hardware cannot handle thousands of TPS (low-end nodes fall behind at even 50 TPS).
  • The more representatives that exist, the more vote traffic is required (network bandwidth).
  • Low-end nodes currently slow down the network significantly. Principal representatives waste their resources constantly bootstrapping these weak nodes during network saturation.
Potential Mitigations & Outstanding Issues
  • Even as is, Nano can comfortably handle 50 TPS average - which is roughly the amount of transactions per day PayPal was doing in 2011 with nearly 100 million users.
  • Network bandwidth increases 50% a year.
  • There are some discussions of prioritizing bootstrapping by vote weight to limit the impact of weak nodes.
  • Since Nano uses an account balance system, pruning could drastically reduce storage requirements. You only need current state to keep the network running, not the full transaction history.
  • In the future, vote stapling could drastically reduce bandwidth usage by collecting all representative signatures up front and then only sharing that single aggregate signature.
  • Nano has no artificial protocol-based limits (e.g. block sizes or block times). It scales with hardware.
Obviously there is still a lot of work to be done in some areas, but overall I think Nano is a good place. For people that aren't Nano fans, what are your biggest concerns?
submitted by Qwahzi to CryptoCurrency [link] [comments]

What are Nano's biggest issues? Let's talk about it!

Let's talk about some of Nano's biggest issues. I also made a video about this topic, available here: https://youtu.be/d9yb9ifurbg.
00:12 Spam
Issues
Potential Mitigations & Outstanding Issues
01:58 Privacy
Issues
  • Nano has no privacy. It is pseudonymous (like Bitcoin), not anonymous.
Potential Mitigations & Outstanding Issues & Outstanding Issues*
  • Second layer solutions like mixers can help, but some argue that isn't enough privacy.
  • The current protocol design + the computational overhead of privacy does not allow Nano to implement first layer privacy without compromising it's other features (fast, feeless, and scalable transactions).
02:56 Decentralization
Issues
  • Nano is currently not as decentralized as it could be. ~25% of the voting weight is held by Binance.
  • Users must choose representatives, and users don't always choose the best ones (or never choose).
Potential Mitigations & Outstanding Issues
  • Currently 4 unrelated parties (who all have a verifiable interest in keeping the network running) would have to work together to attack the network
  • Unlike Bitcoin, there is no mining or fees in Nano. This means that there is not a strong incentive for emergent centralization from profit maximization and economies of scale. We've seen this firsthand, as Nano's decentralization has increased over time.
  • Nano representative percentages are not that far off from Bitcoin mining pool percentages.
  • In Nano, voting weight can be remotely re-delegated to anyone at any time. This differs from Bitcoin, where consensus is controlled by miners and requires significant hardware investment.
  • The cost of a 51% attack scales with the market cap of Nano.
06:49 Marketing & adoption
Issues
  • The best technology doesn't always win. If no one knows about or uses Nano, it will die.
Potential Mitigations & Outstanding Issues
  • I would argue that the best technology typically does win, but it needs to be best in every way (price, speed, accessbility, etc). Nano is currently in a good place if you agree with that argument.
  • Bitcoin started small, and didn't spend money on marketing. It takes time to build a community.
  • The developers have said they will market more once the protocol is where they want it to be (v20 or v21?).
  • Community marketing initiatives have started to form organically (e.g. Twitter campaigns, YouTube ads, etc).
  • Marketing and adoption is a very difficult problem to solve, especially when you don't have first mover advantage or consistent cashflow.
08:07 Small developer fund
Issues
  • The developer fund only has 3 million NANO left (~$4MM), what happens after that?
Potential Mitigations & Outstanding Issues
  • The goal for Nano is to be an Internet RFC like TCP/IP or SMTP - development naturally slows down when the protocol is in a good place.
  • Nano development is completely open source, so anyone can participate. Multiple developers are now familiar with the Nano protocol.
  • Businesses and whales that benefit from Nano (exchanges, remittances, merchant services, etc) are incentivized to keep the protocol developed and running.
  • The developer fund was only ~5% of the supply - compare that to some of the other major cryptocurrencies.
10:08 Node incentives
Issues
  • There are no transaction fees, why would people run nodes to keep the network running?
Potential Mitigations & Outstanding Issues
  • The cost of consensus is so low in Nano that the benefits of the network itself are the incentive: decentralized money with 0 transaction fees that can be sent anywhere in the world nearly instantly.
  • Paying $50-$100 a month for a high-end node is a lot cheaper for merchants than paying 1-3% in total sales.
  • Businesses and whales that benefit from Nano (exchanges, remittances, merchant services, etc) are incentivized to keep the protocol developed and running.
11:58 No smart contracts
Issues
  • Nano doesn't support smart contracts.
Potential Mitigations & Outstanding Issues
  • Nano's sole goal is to be the most efficient peer-to-peer value transfer protocol possible. Adding smart contracts makes keeping Nano feeless, fast, and decentralized much more difficult.
  • Other solutions (e.g. Ethereum) exist for creating and enforcing smart contracts.
  • Code can still interact with Nano, but not on the first layer in a decentralized matter.
  • Real world smart contract adoption and usage is pretty limited at the moment, but that might not always be the case.
13:20 Price stability
Issues
  • Why would anyone accept or spend Nano if the price fluctuates so much?
  • Why wouldn't people just use a stablecoin version of Nano for sending and receiving money?
Potential Mitigations & Outstanding Issues
  • With good fiat gateways (stable, low fees, etc), you can always buy back the fiat equivalent of what you've spent.
  • The hope is that with enough adoption, people and businesses will eventually skip the fiat conversion and use Nano directly.
  • Because Nano is so fast, volatility is less of an issue. Transactions are confirmed in <10 seconds, and prices change less in that timeframe (vs 10 minutes to hours for Bitcoin).
  • Stablecoins reintroduce trust. Stable against what? Who controls the supply, and how do you get people to adopt them? What happens if the assets they're stable against fail? Nano is pure supply and demand.
  • With worldwide adoption, the market capitalization of Nano would be in the trillions. If that happens, even millions of dollars won't move the price significantly.
15:06 Deflation
Issues
  • Nano's current supply == max supply. Why would people spend Nano today if it could be worth more tomorrow?
  • What happens to principal representatives and voting weight as private keys are lost? How do you know keys are lost?
Potential Mitigations & Outstanding Issues
  • Nano is extremely divisible. 1 NANO is 1030 raw. Since there are no transaction fees, smaller and smaller amounts of Nano could be used to transact, even if the market cap reaches trillions.
  • People will always buy things they need (food, housing, etc).
  • I'm not sure what the plan is to adjust for lost keys. Probably requires more discussion.
Long-term Scalability
Issue
  • Current node software and hardware cannot handle thousands of TPS (low-end nodes fall behind at even 50 TPS).
  • The more representatives that exist, the more vote traffic is required (network bandwidth).
  • Low-end nodes currently slow down the network significantly. Principal representatives waste their resources constantly bootstrapping these weak nodes during network saturation.
Potential Mitigations & Outstanding Issues
  • Even as is, Nano can comfortably handle 50 TPS average - which is roughly the amount of transactions per day PayPal was doing in 2011 with nearly 100 million users.
  • Network bandwidth increases 50% a year.
  • There are some discussions of prioritizing bootstrapping by vote weight to limit the impact of weak nodes.
  • Since Nano uses an account balance system, pruning could drastically reduce storage requirements. You only need current state to keep the network running, not the full transaction history.
  • In the future, vote stapling could drastically reduce bandwidth usage by collecting all representative signatures up front and then only sharing that single aggregate signature.
  • Nano has no artificial protocol-based limits (e.g. block sizes or block times). It scales with hardware.
submitted by Qwahzi to nanocurrency [link] [comments]

CRYPTONITY TOKEN (XNY)

TOKEN SPECIFICATIONS
We will issue our own token, called Cryptonity Token, with the ticker XNY. Our Cryptonity Token will run natively off the Ethereum Blockchain. We are planning to develop our own Blockchain in the near future and we will start working on it right after our Token Sale is finalised. We will issue a fixed amount of 100M (one hundred million) Cryptonity Tokens. We will never increase that amount or repurchase our Tokens. Manipulating our token such as decreasing the total supply to create deflation is against our ethical policy and the worst way to gain respect from the community, the traditional market and the regulators. We do not want to use practices that contribute to give a bad image to a crypto market that surely doesn’t need that. Cryptonity Token will be a utility token and its price shall thus be related to its utility. Our token will grant its owners a lifetime discount of 50% on Cryptonity Exchange fees. It will also enable its owners to take part to specific features such as the vote for the “Coin of the Month”. Find out more details about our fees in the “Economic Scheme” section
TOKEN ALLOCATION TOKEN SALE RULES & DETAILS
Public Token 60% Team 20% Airdrop & Bounty 10% Insurance 7% Advisors 3% Cryptonity Token Allocation will be done as follows: 60M for our Public Token Sale (ICO) 20M for the Cryptonity Core Team 10M for our Airdrop & Bounty Programs 7M for insurance purposes 3M for our Advisors We will issue our own token, called Cryptonity Token, with the ticker XNY. Our Cryptonity Token will run natively off the Ethereum Blockchain. We are planning to develop our own Blockchain in the near future and we will start working on it right after our Token Sale is finalised. We will issue a fixed amount of 100M (one hundred million) Cryptonity Tokens. We will never increase that amount or repurchase our Tokens. Manipulating our token such as decreasing the total supply to create deflation is against our ethical policy and the worst way to gain respect from the community, the traditional market and the regulators.
We do not want to use practices that contribute to give a bad image to a crypto market that surely doesn’t need that. Cryptonity Token will be a utility token and its price shall thus be related to its utility. Our token will grant its owners a lifetime discount of 50% on Cryptonity Exchange fees. It will also enable its owners to take part to specific features such as the vote for the “Coin of the Month”.
Find out more details about our fees in the “Economic Scheme” section. Our Token Sale will be done in multiple cryptocurrencies that are: Bitcoin, Bitcoin Cash, Ethereum, Litecoin and Binance Coin. Our Token Sale will be opened for 2 months (61 days to be more precise). All investors need to complete their “Know Your Customer” (KYC) registration to be able to withdraw their tokens.
https://tokensale.cryptonity.io
submitted by bacaran to CryptoICO [link] [comments]

CRYPTONITY TOKEN (XNY)

TOKEN SPECIFICATIONS
We will issue our own token, called Cryptonity Token, with the ticker XNY. Our Cryptonity Token will run natively off the Ethereum Blockchain. We are planning to develop our own Blockchain in the near future and we will start working on it right after our Token Sale is finalised. We will issue a fixed amount of 100M (one hundred million) Cryptonity Tokens. We will never increase that amount or repurchase our Tokens. Manipulating our token such as decreasing the total supply to create deflation is against our ethical policy and the worst way to gain respect from the community, the traditional market and the regulators. We do not want to use practices that contribute to give a bad image to a crypto market that surely doesn’t need that. Cryptonity Token will be a utility token and its price shall thus be related to its utility. Our token will grant its owners a lifetime discount of 50% on Cryptonity Exchange fees. It will also enable its owners to take part to specific features such as the vote for the “Coin of the Month”. Find out more details about our fees in the “Economic Scheme” section

TOKEN ALLOCATION TOKEN SALE RULES & DETAILS
Public Token 60% Team 20% Airdrop & Bounty 10% Insurance 7% Advisors 3% Cryptonity Token Allocation will be done as follows: 60M for our Public Token Sale (ICO) 20M for the Cryptonity Core Team 10M for our Airdrop & Bounty Programs 7M for insurance purposes 3M for our Advisors We will issue our own token, called Cryptonity Token, with the ticker XNY. Our Cryptonity Token will run natively off the Ethereum Blockchain. We are planning to develop our own Blockchain in the near future and we will start working on it right after our Token Sale is finalised. We will issue a fixed amount of 100M (one hundred million) Cryptonity Tokens. We will never increase that amount or repurchase our Tokens. Manipulating our token such as decreasing the total supply to create deflation is against our ethical policy and the worst way to gain respect from the community, the traditional market and the regulators.
We do not want to use practices that contribute to give a bad image to a crypto market that surely doesn’t need that. Cryptonity Token will be a utility token and its price shall thus be related to its utility. Our token will grant its owners a lifetime discount of 50% on Cryptonity Exchange fees. It will also enable its owners to take part to specific features such as the vote for the “Coin of the Month”.
Find out more details about our fees in the “Economic Scheme” section. Our Token Sale will be done in multiple cryptocurrencies that are: Bitcoin, Bitcoin Cash, Ethereum, Litecoin and Binance Coin. Our Token Sale will be opened for 2 months (61 days to be more precise). All investors need to complete their “Know Your Customer” (KYC) registration to be able to withdraw their tokens.
https://tokensale.cryptonity.io

submitted by bacaran to CryptocurrencyICOs [link] [comments]

7576$ Bitcoin, Komodo, Chainlink, NEO und Binance Coin in der Analyse Binance US Ban EXPLAINED! Bitcoin Halving Bull Run? Binance Launches Bitcoin Mining Pool - BitPay BUSD - Kim Jong Un BTC Stash BITCOIN BULL RUN IN 30 DAYS SAYS CRYPTO TRADER - Binance Biggest Upgrade Ever Bitcoin 2020 Price, Stellar Inflation Rate, Binance + TRON, Ripple Acquisition & Cardano Sneakers BITCOIN UNSTOPPABLE! RIGGED CENTRAL BANK END GAME AND THE ... Will Bitcoin mining in 2020 be a BAD IDEA? Is Bitcoin halving simply HYPE? BITCOIN BOTTOM SOON? Binance Blockchain Implications... Bitcoin’s Next Play: Recovery Signal Activated?

While bitcoin could perform well during deflation, bitcoin and cryptocurrencies have seldom tracked macro developments on a consistent basis in the past. “Blockchain-based currencies are really their own beasts,” said Bitcoin Depot CEO Brandon Mitz. Why Global Deflation May Not Be Bad News For Bitcoin. Patricia Bakely April 25, 2020. 0 2,903 5 minutes read. Share. Facebook Twitter LinkedIn Reddit WhatsApp. Contrary to expectations, bitcoin power see a optimistic efficiency throughout a accomplishable bout of worldwide deflation if it acts not simply as an funding plus, all the same as a medium of trade and a perceived protected haven like ... Related: Oil’s Been Further Unstable Than Bitcoin for Virtually 2 Months, Info Displays. The frenzy for cash, however, couldn’t have a significantly unfavorable impression on bitcoin’s price on account of deflation would moreover improve the shopping for power of the cryptocurrency. Associated: Oil’s Been Extra Unstable Than Bitcoin for Practically 2 Months, Information Exhibits. The frenzy for cash, nevertheless, could not have a considerably unfavorable impression on bitcoin’s price as a result of deflation would additionally increase the buying energy of the cryptocurrency. #bitcoin #crypto #binance #huobi #cryptocurrency #btc #altcoin #altcoins #bnb #ethereum #eth #bestcrypto #hodl #chico #blockchain . The information contained herein is for informational purposes only. Nothing herein shall be construed to be financial legal or tax advice. The content of this video is solely the opinions of the speaker who is not a licensed financial advisor or registered ... Contrary to expectations, bitcoin could see a positive performance during a possible bout of global deflation if it acts not just as an investment asset, but as a medium of exchange and a perceived safe haven like gold. The top cryptocurrency by market value is widely considered to be a hedge against inflation because its […] We concluded that, yes, Bitcoin has indeed been deflationary throughout its five-year lifespan. Now we can raise the question: is the deflationary nature of Bitcoin value good or bad for the Bitcoin economy? This question returns to the debate of whether deflation is desirable over inflation or vice-versa. In order to answer this question, we ...

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7576$ Bitcoin, Komodo, Chainlink, NEO und Binance Coin in der Analyse

#binance #crypto #bitcoin Explaining the Bittrex and Binance ban from the US Where do you think the money will flow? Updates on technical and fundamental analysis to keep you on track with your ... Binance СЕО: Bitcoin price prediction & Givе Awaу BTC Binance Exchange 3,925 watching Live now Simplifying The Bitcoin Halving Here's What You Need To Know - Duration: 17:36. Binance Launches Bitcoin Mining Pool - BitPay BUSD - Kim Jong Un BTC Stash ... Stellar + Ledger, Ethereum Inflation, XRP Sales Down & Binance DDoS - Duration: 35:03. The Modern Investor 20,374 ... This bitcoin market trading analysis applies to various exchanges, including Bitmex/Bybit and Binance. Tackling questions like if Bitcoin can reach 20k again and if we will be seeing a crypto ... One fundamental metric just reached levels not seen since just before the intense 2017 Bitcoin rally up to $20,000. Binance has completed its biggest platform upgrade in two years, it’s getting ... 27.09.2019 - #Bitcoin #Altcoins #Trading Wir analysieren heute Bitcoin, Komodo, Chainlink, NEO und Binance Coin. Bitcoin & Altcoin Bollinger Band Indikator f... Ivan on Tech - Bear Market of 2018, YouTube Career, Scaling Debate, legitimacy of alt coins - Duration: 35:32. Ivan on Tech 8,684 views Bitcoin 2020 Price, Stellar Inflation Rate, Binance + TRON, Ripple Acquisition & Cardano Sneakers The Modern Investor. Loading... Unsubscribe from The Modern Investor? Cancel Unsubscribe. Working ... Bitcoin is unstoppable as the rigged central bank end game comes into sight and the great deflation is upon us! Are you ready? Jeff Booth joins me to discuss...

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