Folding Ideas – The Problem with NFTs
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Folding Ideas – The Problem with NFTs
epeakin
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I like how he compares transactions to visa but “forgot” to mention lightning network…
Straight up FUD. I’m sure all the FUD around everything else is justified, but for Bitcoin, he’s wrong.
Bitcoin DOES affect incentive structures. It is adversarial in that it incentivises people to compete with one another and relies nothing on any good faith. It leaves no room for people to abuse or misappropriate power over others because everyone is too busy competing with each other.
It might be easy to think of any failed attempts to mine a block as wasted energy, but consider that if you spend a bunch of time searching your home for those car keys and it takes about 20 minutes to find them, is the 19 minutes of searching between the sofa cushions that the keys were not in, and searching beneath the table it was not under… is that wasted time, or just part of the process? If you hadn’t eliminated those places, would you have found the keys by magic?
Comparing Bitcoin to VISA is stupid. In fact, I understand why people keep comparing power usage to transactions (not sure why they ignore the lightning network though), because it is common to lose sight of what the energy usage is for. It has NOTHING to do with creating, broadcasting or validating transactions, it is only about confirming them. The fact that TPS can be scaled in layer 2 without requiring more power is exact proof that there is no correlation between transactions and power usage. It is about the security, and by that measure it should be compared to the energy used to hire, shelter and pay engineers to monitor the system, it should be compared to all of the work done behind the scenes to ensure that settlements are completed to banking standards by using old technology, it should include the energy used to protect the system through war and international threats because all money is competing, but the dollar keeps its position by war and threats of war.
Finally to justify the bankings energy use by declaring that the banking system is used by millions (forgetting that it disenfranchises the majority of them), and by contrasting that to the users of Bitcoin as druggies and gamblers, is bad faith. I couldn’t watch the rest of the video.