Right now we are in a big debate about increasing the capacity of bitcoins per second. In 2010 Satoshi Nakamoto limited the size of the 1mb block, in order to avoid or prevent spam transactions (dust transactions). Over time Nakamoto himself felt that this should be removed.
Now in 2017 we still have the same limit. It was not yet possible to remove or increase the 1mb limit per block. This limits an average of 5 to 7 transactions per second on the network, raising transaction fees.
The problem is partly found in small volume payments. For example, if you are buying a coffee and want to pay with bitcoin, it is not worth it due to the fees.
How to solve this?
Developers, experts and enthusiasts have debated this subject intensely in recent years. A solution raised to solve this problem of Bitcoin Core (the bitcoin protocol we currently use) would be Bitcoin Unlimited, a bitcoin protocol with no block limit. And that idea has gained momentum. This is what they are calling a fork.
We have reached the point that this can lead to a bifurcation in bitcoin. We can even have two different currencies running, Bitcoin Core and Bitcoin Unlimited. It may seem a little absurd, but remember that something similar happens with the Ethereum.
That was one of the reasons for the big drop in values lately.
This event is scheduled for August 1, 2017.
Personally, I believe this is a good sign and with such low prices, it's time to buy.
Wondering how to protect your bitcoin for the Fork?
Dropnews: The Upcoming Fork: securing your Bitcoin
What do you think?
Tim Balabuch
Designer & Cryptocurrency enthusiast
