Topic: Will the Sidechain innovation kill all Altcoins? (Read 21202 times)

The only people who want altcoins gone are big holders of bitcoin
There's a crypto currency landscape now, and there will be several psychological limits to the value of bitcoin. I think that when such a limit is reached some major altcoins will suddenly rise in value and stay there, like litecoin went from $2 to $10, and peercoin went from $0.40 to $2.50

Nice someone read the thread
Glad it helped you out

But on the other hand, the sidechain technology can be adopted by any alt much like the metachains.

I agree that is exactly what they are, although ALT values are currently determined by BTC holders there is still that off chance that they could break free. With sidechains they will forever be a BTC slave.

Just my 2 FRK

I took the time to read more about sidechains.
Will the Sidechain innovation kill all Altcoins?
No
Sidechains will not literally kill off all alt coins.
Hopefully, they will help accelerate the end days of some really bad alts.

nice thanks

Whats a sidechain where can i get info on it.

I think we are saying the same thing YarkoL.  This is what I meant when I said:



I have a soft-spot for the DOGE community.  r/dogecoin is filled with generous happy and mostly honest people that are trying to do a very good thing.  I think they would bring tremendous value to bitcoin. 

What is yet to be seen is how much of the DOGE community is actually committed to building a DOGE economy even if bitcoin appreciates in price at a faster rate on average.  To me it just doesn't make sense and shibes will start to come to the same conclusion.  Why not build a sub-community within bitcoin that has a shiba-inu element? 

 

Sidechains are FANTASTIC for the development of Bitcoin, but I think it's a lot of hype that they will swiftly and suddenly kill all alts. Would they kill a lot of alts? Maybe. But that's already happening anyway IMO. Consolidation of the strong this summer. And sidechains do nothing to alts not based on the Bitcoin protocol, which is one thing I can see the alt market evolving towards fairly soon.

If BTC can do sidechains, than so can altcoins. So there is no inherent advantage to BTC for this, besides BTC already being the market leader and perhaps the first to try sidechaining. But that is also a risk - if they implement a sidechain badly or it screws anything up, it could hurt BTC big time. If I were them I'd let some minor altcoins try some things with sidechaining first. (I suspect some altcoins will be more nimble than BTC in implementing good sidechain ideas anyway.)

For those that understand the joke, Shiba Inu becomes a symbol of community. It's not just the meme, but the feeling of participating in community and sharing its values, which in the case of Doge have more to do with copious tipping and helping each other out than "debasing the currency".

Many hard-core bitcoiners suffer from the optical illusion of seeing every other cryptocoin as a competitor for world domination. The remedy for this is to view cryptocurrency as primitive decentralized, autonomous communities. Once we get out of the currency fixation, it becomes apparent that many DACs can flourish side by side, just as many different share-issuing companies.

side chains are nothing more than alts that are only given out to BTC owners, will never take off once people understand clearly what they are.

Alt supporters will never adopt them. They serve to preserve wealth only for BTC whales.

It's a really interesting question and I am enjoying watching it play out.  

When everyone thought it was a funny joke and was mining it for the lulz, it was a good investment (at least based on the greater-fool theory) because people were underpricing the value of the community network effect that was unfolding.  The doge subreddit quickly had a vastly larger number of subscribers than r/litecoin!  

The day doge died for me was when I saw the add for Obamacare using the Shiba Inu meme.  The Shibe went from something funny that brought like-minded and care-free people together (that just wanted to have fun with cryptocurrency), to an exploited meme:



http://www.zerohedge.com/news/2014-02-28/obamacare-plunges-new-lows-presenting-dogecare

Altcoins will exist because of they are attractive for traders

Doge will outlast Pets.com
Doge will be bigger than MySpace?
Doggie will pay for flights into outer space?



The CEO of Reddit called Doge "stupid yet brilliant"......can it last?

I believe that our community's increased awareness of side-chains and spin-offs (https://bitcointalksearch.org/topic/spin-offs-bootstrap-an-altcoin-with-a-btc-blockchain-based-initial-distribution-563972) will be sufficient to reduce the market cap currently held by alts.  Why would you want to invest bitcoins in an alt-coin, if a side-chain or spin-off can assimilate any technology that proves useful and automatically distribute it to a wider user base (and for no cost in the case of spin-offs)?

That being said, I think coins that don't offer any technical improvements over bitcoin, but instead strongly appeal to subsets of the community, may be unaffected by side-chains and spin-offs.  Take DOGE for instance.  DOGE is not technically innovative, but instead derives its market cap from its usefulness to its like-minded community.  It's community is the intersection of those who:

    - believe that a permanently-inflating money supply is superior;  
    - like the idea that their money is meme'd after the shiba inu bread of dog.

If this community forms an economy of like-minded people I can see it surviving, and growing but only to a limited extent since the pool of potential new users must also prefer permanent currency debasement and Shiba Inus.  On the other hand, members of the DOGE community may slowly come to view Shiba Inu's as silly and currency-debasement as wasteful.  

What is interesting is that right now the market cap of DOGE is about 64,000 BTC . However, as cryptocurrency grows, if bitcoin grows faster than dogecoin (due to DOGEs specific appeal to a smaller subset of all humans), then the DOGE market cap will fall when measured in terms of bitcoin.  

If the reality is that most of the DOGE community actually likes capital gains more than Shiba Inus memes and currency debasement, then they would be incentivized to sell DOGE in favour of BTC.  Now what is really interesting, is that although the DOGE market cap is 64,000 BTC, there is no way for everyone to get out of doge with anything close to this.  If there is a stampede out of doge, the community will lose wealth in aggregate (actually that wealth was never there if this is the case).

This means that members of the DOGE community (or other niche-based coin communities) really have to ask themselves: are we in this because of our like for the Shiba Inu meme and our belief in currency debasement?  Do we really believe that we can build a real and lasting economy around the shibe?

the side chains will become just another altcoin ...jack of all trades master of none!

Thanks did not see the D@T thread on this topic it makes a lot more sense to me now reading Dev Talk
That said agree with Bit_Happy need to read up a lot more on side chains although that thread looks like a great place to start


Glad it helped checked the D@T thread another article related to it fair bit longer and technical but interesting
What it adds from what I gleaned is interchangeability and the ability to move bitcoins around various areas kind of akin to shopping in one store then moving to another one
From Article
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I move it into a sidechain that has higher transactions per second and then move the change back into the main Bitcoin network and then put it into a different side chain to invest it a Bitcoin denominated derivative against US dollars or buy electronic shares or something like that.  Bitcoin is used as interoperability level moving across the pegs, allows open innovation in a neutral sense without creating a new scarcity race.
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It is a preferable approach to these other 2.0 projects because it is an interoperable approach so you can move money around and interoperate between different networks, different side chains.
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And addresses the mobile phone problem
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Sidechain that is pegged to bitcoin, so there is no counterparty risk, no escrow agent holding your bitcoin.  Your bitcoin can move between networks which are tied, in that sense they are merged mined.  People can do their innovation in interoperable way
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Anyways neat stuff
http://www.ofnumbers.com/2014/04/09/paraphrased-notes-from-back-and-hill-interview/

Thank you for clearing that up.
I need to read a lot more about sidechains.

Sidechains: Maaku explains how coins will move from sidechain back to Bitcoins requiring a 3 day transaction loop.


https://bitcointalk.org/index.php?topic=566704.0;all