Bitcoin Price AnalysisEditors ChoiceNote (opinion)

Can Bitcoin return to its previous position?


Top Bitcoin main article, This digital currency is referred to as “an electronic peer-to-peer monetary system”. However, a deeper look at what Bitcoin has become and where Bitcoin came from shows something else. Stay tuned to Digital Currency.

Can Bitcoin return to its previous position?

Users who find themselves in a huge flood of enthusiasts entering the digital currency market often recognize Bitcoin as its gateway; This is probably due to its high reserve value and added value.

But the potential of bitcoin as a transformer of payment and banking systems that could replace traditional currencies has faded.

There are many ways to turn bitcoin into a payment method that will even allow you to pay for your own cup of coffee, but in reality these days bitcoin has become more of a tool for rich people to exchange power.

Lightning Network and a lot of work has been done to bring Bitcoin back to its golden days and bring it closer to its original purpose. The purpose of the Lightning network is to reduce staggering commissions and long transaction times.

Not for a cup of coffee!

Can Bitcoin return to its previous position?

So far, Bitcoin has tried to fix its scalability problem with various updates, but all of this, like “Seguite to X” has failed. The growing influx of users into the Bitcoin network has brought network restrictions closer to their red line, resulting in slow transactions and very high fees; Two criteria that determine the achievement of the main idea of ​​digital currencies.

Because transactions must be competed with each other in order for miners to choose, miners are also looking for higher-fee transactions. So a person who wants to transfer a million dollars will easily get a $ 20 fee, but imagine if a person who wants to spend bitcoins on a pizza pays a $ 20 fee? Certainly not.

Thus, the growth of bitcoin in areas such as art, luxury cars, and real estate can be described as rational. Despite these large sums, the commission is higher and less important, so the speed of transactions will be higher. But this is a clear example of injustice that goes far beyond bitcoin policies.

Other options

Can Bitcoin return to its previous position?

So what if you are determined to leave all backed up currencies and want to break free of them with bitcoin?

There are many ways to do this, with large exchanges and famous wallets. For example, people who all use CoinBase can use Bitcoin as an instant payment method. These payments will be made at no charge and will be recorded in the Blockchaink immediately.

This, in turn, contradicts the goals of Bitcoin; Because people have trusted a decentralized blockchain, but on the other hand, by a centralized method, they have bypassed the blockchain. A Blockchain created to free people from such controls.

The next thunderbolt is on its way

Can Bitcoin return to its previous position?

Other options can be seen from afar and have attracted a lot of attention. Lightning Network (Lightning).

The idea behind the technology is to create a mechanism within the Blockchain that allows users to create bit-by-bit channels to perform their micro-transactions and register them in the Blockchain. Through these channels, transactions are done quickly and their registration on the Blockchaink will be done after the closure of the channel.

The Lightning Network can be considered a kind of trump card for Bitcoin, so that it may be able to return Bitcoin to its peak days and double its efficiency.

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