Here is what Satoshi Nakamoto had to say about Bitcoin scalability:
Long before the network gets anywhere near as large as that, it would be safe
for users to use Simplified Payment Verification (section '8') to check for
double spending, which only requires having the chain of block headers, or
about 12KB per day. Only people trying to create new coins would need to run
network nodes. At first, most users would run network nodes, but as the
network grows beyond a certain point, it would be left more and more to
specialists with server farms of specialized hardware. A server farm would
only need to have one node on the network and the rest of the LAN connects with
that one node.
http://www.mail-archive.com/[email protected]/msg09964.htmlMaaku, Electrum server has implemented your ultimate blockchain compression concept, and I know for a fact that it it is still quite resource intensive. It is in Python, so there's that
.
Do you forsee a future where average users can use your C++ blockchain compression implementation to easily access the blockchain via Bitcoin-QT directly? Do you forsee the user experience of Bitcoin-QT competing with Electrum's speed, simplicity and ease of use?
I am heavily biased here given that I've poured my own resources into Electrum (Kivy) for the better part of 2013 and 2014 so far, but I see no future in which average computer users are running Bitcoind or Bitcoin-QT. Maybe I'm mistaken and ultimate blockchain compression will turn things around. However, the user experience and branding of Bitcoin-QT make it seem like a reference client and I do not think it will grow to be much more than that.
You'll have to excuse me but the death of Bitcoin talk has got to be an exaggeration. I'm sorry, I don't mean to offend, but that has to be an exaggerated assertion. If you are in fact right about the scalability concerns, Bitcoin is surely doomed. Malicious third parties will seek to corrupt the network, and they certainly won't seek out amiable terms with Bitcoin developers.
One last thing. I feel you're really underestimating system adminstrators who are dedicated to Bitcoin. Realistically, unless I'm wrong and your C++ ultimate blockchain compression will flip the Bitcoin-QT user experience upside down, system adminstrators or perhaps philanthropic users who are sold done-for-you services are going to be the only class of users capable of running full nodes. This has implications on network topology, for better or worse.
Bitcoin isn't dying, at least I hope not. But Bitcoin-QT may in fact be systematically losing market share to competing wallets. And for good reason. Users aren't used to software that requires a blockchain to function. The existence of a blockchain is 100% weird to the vast majority of computer users, who have grown to expect Facebook and Twitter to work instantly with no questions asked. Most people have no interest in the blockchain. The people who require a local blockchain (and not one that is for example reachable over Tor), can be serviced with done-for-you automated server setup solutions and whatnot. I suspect Satoshi foresaw this very early on.
interesting
Here is what Satoshi Nakamoto had to say about Bitcoin scalability:
Quote
Long before the network gets anywhere near as large as that, it would be safe
for users to use Simplified Payment Verification (section '8') to check for
double spending, which only requires having the chain of block headers, or
about 12KB per day. Only people trying to create new coins would need to run
network nodes. At first, most users would run network nodes, but as the
network grows beyond a certain point, it would be left more and more to
specialists with server farms of specialized hardware. A server farm would
only need to have one node on the network and the rest of the LAN connects with
that one node.
