In the process of discussing the problem of scalability of the blockchain network, miners had an idea to revise the block size upwards; this is how the ” Bitcoin8M campaign ” was born . Blockchain scalability is a criterion showing how well the network is able to scale up (expand). For popular chains like Bitcoin and Ethereum, this has long been a major problem.
Transaction processing restrictions are indeed a major obstacle to the worldwide adoption of blockchain technology. Some traditional systems (like VISA) can process hundreds of thousands of payments per second, while Bitcoin can handle anywhere from 3 to 7.
One of the reasons for this low efficiency is that the creation of a BTC block takes ten minutes on average, and the block size is limited to 1 megabyte.
Based on this, there are two sources of poor scalability:
- Time spent on processing a payment, that is, placing a transaction in a block.
- Time spent on confirmation of payment, that is, reaching a consensus.
Block size is a criterion that affects not only the speed of transactions. In the future, it implies lower rewards for miners (after all, they halve over time) and more tangible transaction fees designed to compensate for this.
The good news is that the developers are working on an effective solution that will help improve performance.
The most promising path involves adjusting just one variable, which will have a significant impact on the volume of transactions per second. This parameter is the block size, which is currently fixed at the software level and equals 1 MB. It is required to increase this parameter.
The goal of the Bitcoin8M project is to attract blockchain enthusiasts to support the path to increasing block size using the #BlockSizeMatters hashtag .
This idea affects everyone involved, including stakeholders, but mainly concerns miners. The main emphasis is on expanding the block to 8 MB. This is expected to significantly reduce commission costs.
To facilitate this good blockchain endeavor, the Remitano marketplace was also included in the list of companies promoting Bitcoin8M.
“Expanding the BTC block size is much more important today than it has ever been. It should be understood that the limit of 1 megabyte is quite possible to expand. If Bitcoin8M gets the support of as many people as possible, then we can all together increase the number of transactions in a block, thus reducing the average time it takes to post a transaction on the blockchain. “
Remitano plans to add free educational and gaming resources to help participants better understand their role and the benefits of expanding the bitcoin block.
The advantages of the enlarged block
Reasons that clearly show that increasing the block size is urgently needed:
If Bitcoin gains these advantages, it will become a serious competitor to existing payment providers, which will help it become more in demand and functional.
How can you support the campaign?
Both stakeholders and miners can help in the implementation of the Bitcoin8M mission.
It is known that when a miner creates a Bitcoin block, he signs it. Thus, miners are able to support Bitcoin8M by downloading the signature provided by Remitano and using it for the block they generated.