{"type":"rich","version":"1.0","author_name":"npub16wtdr5grjycaw37553u5vvlfq09rwxhzz4kler6pz952a7ny6mtqslgem7","author_url":"https://nostr.ae/npub16wtdr5grjycaw37553u5vvlfq09rwxhzz4kler6pz952a7ny6mtqslgem7","provider_name":"njump","provider_url":"https://nostr.ae","html":"📅 Original date posted:2015-08-12\n📝 Original message:On Wed, Aug 12, 2015 at 2:59 AM, Jorge Timón \u003c\nbitcoin-dev at lists.linuxfoundation.org\u003e wrote:\n\n\u003e I believe all concerns I've read can be classified in the following groups:\n\u003e\n\u003e \u003e 1) Potential indirect consequence of rising fees.\n\u003e\n\nI'd rephrase this as \"Consequences of high fees.\" It's the level of fees\nthat is the main issue, not their movement. Moving from 0 satoshi to 1\nsatoshi fees makes no real difference. Moving from $0 to $1 fees makes a\nhuge difference. Some consequences are indirect, but others are not (the\nfirst three below are not indirect). Some of the consequences are\nuncertain, but others we can have very high confidence in (again: the first\nthree) and it's only their effect size that can be reasonably disputed.\n\nHere are lots of reasons that you're missing. High fees do the following:\n\n-Reduce the utility of people using the network, even if the higher fees\ndon't reduce their amount of transactions.\n-Make some use cases nonviable, depriving people of Bitcoin's decentralized\nbenefits.\n-Makes level 2 infrastructure like Lightning less valuable by increasing\nthe minimum value of anchor txns that make sense, and increasing the amount\nof pain suffered when your counterparty misbehaves.\n-Discourage experimentation with new Bitcoin use cases, making it more\nunlikely that such cases are discovered/improved/popular before Bitcoin's\nsecurity relies on having many users.\n-Makes Bitcoin more vulnerable to regulation by keeping its user base from\ngrowing, meaning regulators face less pressure to keep it unregulated (see:\nUber)\n-Reduce the amount of time we have between now and when tx fees need to pay\nfor a significant portion of Bitcoin's security, by keeping the exchange\nrate and thus the value of block rewards low (\nhttps://en.wikipedia.org/wiki/Equation_of_exchange)\n-By slowing usage growth, make it less likely that we have a large enough\nbase of transactions by the time we need to fund network security via tx\nfees.\n-------------- next part --------------\nAn HTML attachment was scrubbed...\nURL: \u003chttp://lists.linuxfoundation.org/pipermail/bitcoin-dev/attachments/20150812/486116ac/attachment-0001.html\u003e"}