Why do both sides of the debate seem “right” to me? submitted by
I know, I know, a healthy debate is healthy and all - and maybe I'm just not used to the tumult and jostling which would be inevitable in a real live open major debate about something as vital as Bitcoin.
And I really do agree with the starry-eyed idealists who say Bitcoin is vital
. Imperfect as it may be, it certainly does seem to represent the first real chance we've had in the past few hundred years to try to steer our civilization and our planet away from the dead-ends and disasters which our government-issued debt-based currencies keep dragging us into.
But this particular debate, about the blocksize, doesn't seem to be getting resolved at all.
Pretty much every time I read one of the long-form major arguments contributed by Bitcoin "thinkers" who I've come to respect over the past few years, this weird thing happens: I usually end up finding myself nodding my head and agreeing
with whatever particular piece I'm reading!
But that should be impossible - because a lot of these people vehemently disagree!
So how can both sides sound so convincing to me, simply depending on whichever piece I currently
happen to be reading?
Does anyone else feel this way? Or am I just a gullible idiot? Just Do It?
When you first look at it or hear about it, increasing the size seems almost like a no-brainer: The "big-block" supporters say just increase the blocksize to 20 MB or 8 MB, or do some kind of scheduled or calculated regular increment which tries to take into account the capabilities of the infrastructure and the needs of the users. We do have the bandwidth and the memory to at least increase the blocksize now, they say - and we're probably gonna continue to have more bandwidth and memory in order to be able to keep increasing the blocksize for another couple decades - pretty much like everything else computer-based we've seen over the years (some of this stuff is called by names such as "Moore's Law").
On the other hand, whenever the "small-block" supporters warn about the utter catastrophe that a failed hard-fork would mean, I get totally freaked by their possible doomsday scenarios, which seem totally plausible and terrifying - so I end up feeling that the only way I'd want to go with a hard-fork would be if there was some pre-agreed "triggering" mechanism where the fork itself would only actually "switch on" and take effect provided that some "supermajority" of the network (of who? the miners? the full nodes?) had signaled (presumably via some kind of totally reliable p2p trustless software-based voting system?) that they do indeed "pre-agree" to actually adopt the pre-scheduled fork (and thereby avoid any
possibility whatsoever of the precious blockchain somehow tragically splitting into two and pretty much killing this cryptocurrency off in its infancy).
So in this "conservative" scenario, I'm talking about wanting at least 95% pre-adoption agreement - not the mere 75% which I recall some proposals call for, which seems like it could easily lead to a 75/25 blockchain split.
But this time, with this long drawn-out blocksize debate, the core devs, and several other important voices who have become prominent opinion shapers over the past few years, can't seem to come to any real agreement on this. Weird split among the devs
As far as I can see, there's this weird split: Gavin and Mike seem to be the only people among the devs who really want a major blocksize increase - and all the other devs seem to be vehemently against them.
But then on the other hand, the users
seem to be overwhelmingly in favor of a major increase.
And there are meta-questions about governance, about about why this didn't come out as a BIP, and what the availability of Bitcoin XT means.
And today or yesterday there was this really cool big-blockian exponential graph based on doubling the blocksize every two years for twenty years, reminding us of the pure mathematical
fact that 210
is indeed about 1000 - but not really addressing any of the game-theoretic
points raised by the small-blockians. So a lot of the users seem to like it, but when so few devs say anything positive about it, I worry: is this just yet more exponential chart porn?
On the one hand, Gavin's and Mike's blocksize increase proposal initially seemed like a no-brainer to me.
And on the other hand, all the other devs seem to be against them. Which is weird - not what I'd initially expected at all (but maybe I'm just a fool who's seduced by exponential chart porn?).
Look, I don't mean to be rude to any of the core devs, and I don't want to come off like someone wearing a tinfoil hat - but it has to cross people's minds that the powers that be (the Fed and the other central banks and the governments that use their debt-issued money to run this world into a ditch) could very well be much more scared shitless than they're letting on. If we assume that the powers that be are using their usual playbook and tactics, then it could be worth looking at the book "Confessions of an Economic Hitman" by John Perkins, to get an idea of how they might try to attack Bitcoin. So, what I'm saying is, they do have a track record of sending in "experts" to try to derail projects and keep everyone enslaved to the Creature from Jekyll Island. I'm just saying. So, without getting ad hominem - let's just make sure that our ideas can really stand scrutiny on their own - as Nick Szabo says, we need to make sure there is "more computer science, less noise" in this debate.
When Gavin Andresen first came out with the 20 MB thing - I sat back and tried to imagine if I could download 20 MB in 10 minutes (which seems to be one of the basic mathematical and technological constraints here - right?)
I figured, "Yeah, I could download that" - even with my crappy internet connection.
And I guess the telecoms might
be nice enough to continue to double our bandwidth every two years for the next couple decades – if we ask them politely?
On the other hand - I think we should be careful about entrusting the financial freedom of the world into the greedy hands of the telecoms companies - given all their shady shenanigans over the past few years in many countries. After decades of the MPAA and the FBI trying to chip away at BitTorrent, lately PirateBay has been hard to access. I would say it's quite likely that certain persons at institutions like JPMorgan and Goldman Sachs and the Fed might be very, very motivated to see Bitcoin fail - so we shouldn't be too sure about scaling plans which depend on the willingness of companies Verizon and AT&T to double our bandwith every two years. Maybe the real important hardware buildout challenge for a company like 21 (and its allies such as Qualcomm) to take on now would not be "a miner in every toaster" but rather "Google Fiber Download and Upload Speeds in every Country, including China".
I think I've read all the major stuff on the blocksize debate from Gavin Andresen, Mike Hearn, Greg Maxwell, Peter Todd, Adam Back, and Jeff Garzick and several other major contributors - and, oddly enough, all
their arguments seem reasonable - heck even Luke-Jr seems reasonable to me on the blocksize debate, and I always thought he was a whackjob overly influenced by superstition and numerology - and now today I'm reading the article by Bram Cohen - the inventor of BitTorrent - and I find myself agreeing with him too!
I say to myself: What's going on with me? How can I possibly agree with all
of these guys, if they all have such vehemently opposing viewpoints?
I mean, think back to the glory days of a couple of years ago, when all we were hearing was how this amazing unprecedented grassroots innovation called Bitcoin was going to benefit everyone from all walks of life, all around the world:
- wealthy individuals trying to preserve and transport their wealth across space and across time
- iPhone and Android users who want to buy a latte on their smartphone at Starbucks
- Venezuelans and Argentinians and Cypriots and Russian oligarchs and Greeks and anyone else whose state-backed currency sucks
- unbanked Africans who will someday be texting around money via SMS messages on their cellphones
- online content providers who will finally be able to get paid via micropayments
- smart contracts and stock brokering and lawyering and land deeding and the refrigerator calling out to order more milk and distributed anonymous corporations (DACs) automatically negotiating and adjusting driverless taxicab fares in the Uber-future of the Internet of Things
...basically the entire human race transacting everything into the blockchain.
(Although let me say that I think that people's focus on ideas like driverless cabs creating realtime fare markets based on supply and demand seems to be setting our sights a bit low as far as Bitcoin's abilities to correct the financial world's capital-misallocation problems which seem to have been made possible by infinite debt-based fiat. I would have hoped that a Bitcoin-based economy would solve much more noble, much more urgent capital-allocation problems than driverless taxicabs creating fare markets or refrigerators ordering milk on the internet of things. I was thinking more along the lines that Bitcoin would finally strangle dead-end debt-based deadly-toxic energy industries like fossil fuels and let profitable clean energy industries like Thorium LFTRs take over - but that's another topic. :=) Paradoxes in the blocksize debate
Let me summarize the major paradoxes I see here:
(1) Regarding the people (the majority of the core devs) who are against
a blocksize increase: Well, the small-blocks arguments do seem kinda weird, and certainly not very "populist", in the sense that: When on earth have end-users ever heard of a computer technology whose capacity didn't grow pretty much exponentially year-on-year? All the cool new technology we've had - from hard drives to RAM to bandwidth - started out pathetically tiny and grew to unimaginably huge over the past few decades - and all our software has in turn gotten massively powerful and big and complex (sometimes bloated) to take advantage of the enormous new capacity available.
But now suddenly, for the first time in the history of technology, we seem to have a majority of the devs, on a major p2p
project - saying: "Let's not scale the system up. It could be dangerous. It might break the whole system (if the hard-fork fails)."
I don't know, maybe I'm missing something here, maybe someone else could enlighten me, but I don't think I've ever seen this sort of thing happen in the last few decades of the history of technology - devs arguing against
scaling up p2p technology to take advantage of expected growth in infrastructure capacity.
(2) But... on the other hand... the dire warnings of the small-blockians about what could happen if a hard-fork were to fail
- wow, they do seem really dire! And these guys are pretty much all heavyweight, experienced programmers and/or game theorists and/or p2p open-source project managers.
I must say, that nearly all of the long-form arguments I've read - as well as many, many of the shorter comments I've read from many users in the threads, whose names I at least have come to more-or-less recognize over the past few months and years on reddit and bitcointalk - have been amazingly impressive in their ability to analyze all aspects of the lifecycle and management of open-source software projects, bringing up lots of serious points which I could never have come up with, and which seem to come from long experience with programming and project management - as well as dealing with economics and human nature (eg, greed - the game-theory stuff).
So a lot of really smart and experienced people with major expertise in various areas ranging from programming to management to game theory to politics to economics have been making some serious, mature, compelling arguments.
But, as I've been saying, the only problem to me is: in many of these cases, these arguments are vehemently in opposition to each other! So I find myself agreeing with pretty much all of them, one by one - which means the end result is just a giant contradiction.
I mean, today we have Bram Cohen, the inventor of BitTorrent, arguing (quite cogently and convincingly to me), that it would be dangerous to increase the blocksize. And this seems to be a guy who would know a few things about scaling out a massive global p2p network - since the protocol which he invented, BitTorrent, is now apparently responsible for like a third of the traffic on the internet (and this despite the long-term concerted efforts of major evil players such as the MPAA and the FBI to shut the whole thing down). Was the BitTorrent analogy too "glib"?
By the way - I would like to go on a slight tangent here and say that one of the main reasons why I felt so "comfortable" jumping on the Bitcoin train back a few years ago, when I first heard about it and got into it, was the whole rough analogy I saw with BitTorrent.
I remembered the perhaps paradoxical fact that when a torrent is more
popular (eg, a major movie release that just came out last week), then it actually becomes faster
to download. More people want it, so more people have a few pieces of it, so more people are able to get it from each other. A kind of self-correcting economic feedback loop, where more demand directly leads to more supply.
(BitTorrent manages to pull this off by essentially adding a certain structure to the file being shared, so that it's not simply like an append-only list
of 1 MB blocks, but rather more like an random-access or indexed array
of 1 MB chunks. Say you're downloading a film which is 700 MB. As soon as your "client" program has downloaded a single 1-MB chunk - say chunk #99 - your "client" program instantly turns into a "server" program as well - offering that chunk #99 to other clients. From my simplistic understanding, I believe the Bitcoin protocol does something similar, to provide a p2p architecture. Hence my - perhaps naïve - assumption that Bitcoin already had the right algorithms / architecture / data structure to scale.)
The efficiency of the BitTorrent network seemed to jive with that "network law" (Metcalfe's Law?) about fax machines. This law states that the more fax machines there are, the more valuable the network of fax machines becomes. Or the value of the network grows on the order of the square of the number of nodes.
This is in contrast with other technology like cars, where the more
you have, the worse
things get. The more cars there are, the more traffic jams you have, so things start going downhill. I guess this is because highway space is limited - after all, we can't pave over the entire countryside, and we never did get those flying cars we were promised, as David Graeber laments in a recent essay in The Baffler magazine :-)
And regarding the "stress test" supposedly happening right now in the middle of this ongoing blocksize debate, I don't know what worries me more: the fact that it apparently is taking only $5,000 to do a simple kind of DoS on the blockchain - or the fact that there are a few rumors swirling around saying that the unknown company doing the stress test shares the same physical mailing address with a "scam" company?
Or maybe we should just be worried that so much of this debate is happening on a handful of forums which are controlled by some guy named theymos who's already engaged in some pretty "contentious" or "controversial" behavior like blowing a million dollars on writing forum software (I guess he never heard that reddit.com software is open-source)?
So I worry that the great promise of "decentralization" might be more fragile than we originally thought. Scaling
Anyways, back to Metcalfe's Law: with virtual stuff, like torrents and fax machines, the more the merrier. The more people downloading a given movie, the faster it arrives - and the more people own fax machines, the more valuable the overall fax network.
So I kindof (naïvely?) assumed that Bitcoin, being "virtual" and p2p, would somehow scale up the same magical way BitTorrrent did. I just figured that more people using it would somehow automatically make it stronger and faster.
But now a lot of devs have started talking in terms of the old "scarcity" paradigm, talking about blockspace being a "scarce resource" and talking about "fee markets" - which seems kinda scary, and antithetical to much of the earlier rhetoric we heard about Bitcoin (the stuff about supporting our favorite creators with micropayments, and the stuff about Africans using SMS to send around payments).
Look, when some asshole is in line in front of you at the cash register and he's holding up the line so they can run his credit card
to buy a bag of Cheeto's, we tend to get pissed off at the guy - clogging up our expensive global electronic payment infrastructure to make a two-dollar purchase. And that's on a fairly efficient centralized system - and presumably after a year or so, VISA and the guy's bank can delete or compress the transaction in their SQL databases.
Now, correct me if I'm wrong, but if some guy buys a coffee on the blockchain, or if somebody pays an online artist $1.99 for their work - then that transaction, a few bytes or so, has to live on the blockchain forever?
Or is there some "pruning" thing that gets rid of it after a while?
And this could lead to another question: Viewed from the perspective of double-entry bookkeeping, is the blockchain "world-wide ledger" more like the "balance sheet" part of accounting, i.e. a snapshot
assets and liabilities? Or is it more like the "cash flow" part of accounting, i.e. a journal
revenues and expenses?
When I think of thousands of machines around the globe having to lug around multiple identical copies of a multi-gigabyte file containing some asshole's coffee purchase forever and ever... I feel like I'm ideologically drifting in one direction (where I'd end up also being against really cool stuff like online micropayments and Africans banking via SMS)... so I don't want to go there.
But on the other hand, when really experienced and battle-tested veterans with major experience in the world of open-souce programming and project management (the "small-blockians") warn of the catastrophic consequences of a possible failed hard-fork, I get freaked out and I wonder if Bitcoin really was destined to be a settlement layer for big transactions. Could the original programmer(s) possibly weigh in?
And I don't mean to appeal to authority - but heck, where the hell is Satoshi Nakamoto in all this? I do understand that he/she/they would want to maintain absolute anonymity - but on the other hand, I assume SN wants Bitcoin to succeed (both for the future of humanity - or at least for all the bitcoins SN allegedly holds :-) - and I understand there is a way that SN can cryptographically sign a message - and I understand that as the original developer of Bitcoin, SN had some very specific opinions about the blocksize... So I'm kinda wondering of Satoshi could weigh in from time to time. Just to help out a bit. I'm not saying "Show us a sign" like a deity or something - but damn it sure would be fascinating and possibly very helpful if Satoshi gave us his/hetheir 2 satoshis worth at this really confusing juncture. Are we using our capacity wisely?
I'm not a programming or game-theory whiz, I'm just a casual user who has tried to keep up with technology over the years.
It just seems weird to me that here we have this massive supercomputer (500 times more powerful than the all the supercomputers in the world combined) doing fairly straightforward "embarassingly parallel" number-crunching operations to secure a p2p world-wide ledger called the blockchain to keep track of a measly 2.1 quadrillion tokens spread out among a few billion addresses - and a couple of years ago you had people like Rick Falkvinge saying the blockchain would someday be supporting multi-million-dollar letters of credit for international trade and you had people like Andreas Antonopoulos saying the blockchain would someday allow billions of "unbanked" people to send remittances around the village or around the world dirt-cheap - and now suddenly in June 2015 we're talking about blockspace as a "scarce resource" and talking about "fee markets" and partially centralized, corporate-sponsored "Level 2" vaporware like Lightning Network and some mysterious company is "stess testing" or "DoS-ing" the system by throwing away a measly $5,000 and suddenly it sounds like the whole system could eventually head right back into PayPal and Western Union territory again, in terms of expensive fees.
When I got into Bitcoin, I really was heavily influenced by vague analogies with BitTorrent: I figured everyone would just have tiny little like utorrent-type program running on their machine (ie, Bitcoin-QT or Armory or Mycelium etc.).
I figured that just like anyone can host a their own blog or webserver, anyone would be able to host their own bank.
Yeah, Google and and Mozilla and Twitter and Facebook and WhatsApp did come along and build stuff on top of TCP/IP, so I did expect a bunch of companies to build layers on top of the Bitcoin protocol as well. But I still figured the basic unit of bitcoin client software powering the overall system would be small and personal and affordable and p2p - like a bittorrent client - or at the most, like a cheap server hosting a blog or email server.
And I figured there would be a way at the software level, at the architecture level, at the algorithmic level, at the data structure level - to let the thing scale - if not infinitely, at least fairly massively and gracefully - the same way the BitTorrent network has.
Of course, I do also understand that with BitTorrent, you're sharing a read-only object (eg, a movie) - whereas with Bitcoin, you're achieving distributed trustless consensus and appending it to a write-only (or append-only) database.
So I do understand that the problem which BitTorrent solves is much simpler than the problem which Bitcoin sets out to solve.
But still, it seems that there's got
to be a way to make this thing scale. It's p2p and it's got 500 times more computing power than all the supercomputers in the world combined - and so many brilliant and motivated and inspired people want this thing to succeed! And Bitcoin could be our civilization's last chance to steer away from the oncoming debt-based ditch of disaster we seem to be driving into!
It just seems that Bitcoin has got
to be able to scale somehow - and all these smart people working together should be able to come up with a solution which pretty much everyone can agree - in advance - will
Right? Right? A (probably irrelevant) tangent on algorithms and architecture and data structures
I'll finally weigh with my personal perspective - although I might be biased due to my background (which is more on the theoretical side of computer science).
My own modest - or perhaps radical - suggestion would be to ask whether we're really looking at all the best possible algorithms and architectures and data structures out there.
From this perspective, I sometimes worry that the overwhelming majority of the great minds working on the programming and game-theory stuff might come from a rather specific, shall we say "von Neumann" or "procedural" or "imperative" school of programming (ie, C and Python and Java programmers).
It seems strange to me that such a cutting-edge and important computer project would have so little participation from the great minds at the other
end of the spectrum of programming paradigms - namely, the "functional" and "declarative" and "algebraic" (and co-algebraic!) worlds.
For example, I was struck in particular by statements I've seen here and there (which seemed rather hubristic or lackadaisical to me - for something as important as Bitcoin
), that the specification
of Bitcoin and the blockchain doesn't really exist in any form other than the reference implementation(s)
languages such as C or Python?). Curry-Howard anyone?
I mean, many computer scientists are aware of the Curry-Howard isomorophism, which basically says that the relationship between a theorem and its proof is equivalent to the relationship between a specification and its implementation. In other words, there is a long tradition in mathematics (and in computer programming) of:
- separating the compact (and easy-to-check) statement of a theorem from the messy (and hard-to-check) details of its proof(s);
- separating the specification of a system from its implementation(s); and
- being able to prove that an implementation does indeed satisfy its specification.
And it's not exactly "turtles all the way down" either: a specification is generally simple and compact enough that a good programmer can usually simply visually inspect it to determine if it is indeed "correct" - something which is very difficult, if not impossible, to do with a program written in a procedural, implementation-oriented language such as C or Python or Java.
So I worry that we've got this tradition, from the open-source github C/Java programming tradition, of never actually writing our "specification", and only writing the "implementation". In mission-critical military-grade programming projects (which often use languages like Ada or Maude) this is simply not allowed. It would seem that a project as mission-critical as Bitcoin - which could literally be crucial for humanity's continued survival - should also use this kind of military-grade software development approach.
And I'm not saying rewrite the implementations in these kind of theoretical languages. But it might be helpful if the C/Python/Java programmers in the Bitcoin imperative programming world could build some bridges to the Maude/Haskell/ML programmers of the functional and algebraic programming worlds to see if any kind of useful cross-pollination might take place - between specifications and implementations.
For example, the JavaFAN formal analyzer for multi-threaded Java programs (developed using tools based on the Maude language) was applied to the Remote Agent AI program aboard NASA's Deep Space 1 shuttle, written in Java - and it took only a few minutes using formal mathematical reasoning to detect a potential deadlock which would have occurred years later during the space mission when the damn spacecraft was already way out around Pluto.
And "the Maude-NRL (Naval Research Laboratory) Protocol Analyzer (Maude-NPA) is a tool used to provide security proofs of cryptographic protocols and to search for protocol flaws and cryptosystem attacks."
These are open-source formal reasoning tools developed by DARPA and used by NASA and the US Navy to ensure that program implementations satisfy their specifications. It would be great if some of the people involved in these kinds of projects could contribute to help ensure the security and scalability of Bitcoin.
But there is a wide abyss between the kinds of programmers who use languages like Maude and the kinds of programmers who use languages like C/Python/Java - and it can be really hard to get the two worlds to meet. There is a bit of rapprochement between these language communities in languages which might be considered as being somewhere in the middle, such as Haskell and ML. I just worry that Bitcoin might be turning into being an exclusively C/Python/Java project (with the algorithms and practitioners traditionally of that community), when it could be more advantageous if it also had some people from the functional and algebraic-specification and program-verification community involved as well. The thing is, though: the theoretical practitioners are big on "semantics" - I've heard them say stuff like "Yes but a C / C++ program has no easily identifiable semantics". So to get them involved, you really have to first be able to talk about what
your program does (specification) - before proceeding to describe how
it does it (implementation). And writing high-level specifications is typically very hard using the syntax and semantics of languages like C and Java and Python - whereas specs are fairly easy to write in Maude - and not only that, they're executable, and you state and verify properties about them - which provides for the kind of debate Nick Szabo was advocating ("more computer science, less noise"). Imagine if we had an executable algebraic specification of Bitcoin in Maude, where we could formally reason about and verify certain crucial game-theoretical properties - rather than merely hand-waving and arguing and deploying and praying.
And so in the theoretical programming community you've got major research on various logics such as Girard's Linear Logic (which is resource-conscious) and Bruni and Montanari's Tile Logic (which enables "pasting" bigger systems together from smaller ones in space and time), and executable algebraic specification languages such as Meseguer's Maude (which would be perfect for game theory modeling, with its functional modules for specifying the deterministic parts of systems and its system modules for specifiying non-deterministic parts of systems, and its parameterized skeletons for sketching out the typical architectures of mobile systems, and its formal reasoning and verification tools and libraries which have been specifically applied to testing and breaking - and fixing - cryptographic protocols).
And somewhat closer to the practical hands-on world, you've got stuff like Google's MapReduce and lots of Big Data database languages developed by Google as well. And yet here we are with a mempool growing dangerously big for RAM on a single machine, and a 20-GB append-only list as our database - and not much debate on practical results from Google's Big Data databases.
(And by the way: maybe I'm totally ignorant for asking this, but I'll ask anyways: why the hell does the mempool have to stay in RAM? Couldn't it work just as well if it were stored temporarily on the hard drive?)
And you've got CalvinDB out of Yale which apparently provides an ACID layer on top of a massively distributed database.
Look, I'm just an armchair follower cheering on these projects. I can barely manage to write a query in SQL, or read through a C or Python or Java program. But I would argue two points here: (1) these languages may be too low-level and "non-formal" for writing and modeling and formally reasoning about and proving properties of mission-critical specifications
- and (2) there seem to be some Big Data tools already deployed by institutions such as Google and Yale which support global petabyte-size databases on commodity boxes with nice properties such as near-real-time and ACID - and I sometimes worry that the "core devs" might be failing to review the literature (and reach out to fellow programmers) out there to see if there might be some formal program-verification and practical Big Data tools out there which could be applied to coming up with rock-solid, 100% consensus proposals to handle an issue such as blocksize scaling, which seems to have become much more intractable than many people might have expected.
I mean, the protocol solved the hard stuff: the elliptical-curve stuff and the Byzantine General stuff. How the heck can we be falling down on the comparatively "easier" stuff - like scaling the blocksize?
It just seems like defeatism to say "Well, the blockchain is already 20-30 GB and it's gonna be 20-30 TB ten years from now - and we need 10 Mbs bandwidth now and 10,000 Mbs bandwidth 20 years from - assuming the evil Verizon and AT&T actually give us that - so let's just become a settlement platform and give up on buying coffee or banking the unbanked or doing micropayments, and let's push all that stuff into some corporate-controlled vaporware without even a whitepaper yet."
So you've got Peter Todd doing some possibly brilliant theorizing and extrapolating on the idea of "treechains" - there is a Let's Talk Bitcoin podcast from about a year ago where he sketches the rough outlines of this idea out in a very inspiring, high-level way - although the specifics have yet to be hammered out. And we've got Blockstream also doing some hopeful hand-waving about the Lightning Network.
Things like Peter Todd's treechains - which may be similar to the spark in some devs' eyes called Lightning Network - are examples of the kind of algorithm or architecture which might
manage to harness the massive computing power of miners and nodes in such a way that certain kinds of massive and graceful scaling become possible.
It just seems like a kindof tiny dev community working on this stuff. Being a C or Python or Java programmer should not be a pre-req to being able to help contribute to the specification (and formal reasoning and program verification) for Bitcoin and the blockchain.
XML and UML are crap modeling and specification languages, and C and Java and Python are even worse (as specification
languages - although as implementation
languages, they are of course fine).
But there are
serious modeling and specification languages out there, and they could be very helpful at times like this - where what we're dealing with is questions of modeling and specification (ie, "needs and requirements").
One just doesn't often see the practical, hands-on world of open-source github implementation-level programmers and the academic, theoretical world of specification-level programmers meeting very often. I wish there were some way to get these two worlds to collaborate on Bitcoin.
Maybe a good first step to reach out to the theoretical people would be to provide a modular executable algebraic specification of the Bitcoin protocol in a recognized, military/NASA-grade specification language such as Maude - because that's something the theoretical community can actually wrap their heads around, whereas it's very hard to get them to pay attention to something written only
as a C / Python / Java implementation (without an accompanying specification in a formal language).
They can't check whether the program does what it's supposed to do - if you don't provide a formal mathematical definition of what the program is supposed to do. Specification : Implementation :: Theorem : Proof
You have to remember: the theoretical community is very
aware of the Curry-Howard isomorphism. Just like it would be hard to get a mathematician's attention by merely showing them a proof
without telling also telling them what theorem
the proof is proving - by the same token, it's hard to get the attention of a theoretical computer scientist by merely showing them an implementation
without showing them the specification
that it implements.
Bitcoin is currently confronted with a mathematical or "computer science" problem: how to secure the network while getting high enough transactional throughput, while staying within the limited RAM, bandwidth and hard drive space limitations of current and future infrastructure. The problem only becomes a political and economic problem if we give up on trying to solve it as a mathematical and "theoretical computer science" problem.
There should be a plethora of whitepapers out now proposing algorithmic solutions to these scaling issues. Remember, all we have to do is apply the Byzantine General consensus-reaching procedure to a worldwide database which shuffles 2.1 quadrillion tokens among a few billion addresses. The 21 company has emphatically pointed out that racing to compute a hash to add a block is an "embarrassingly parallel" problem - very easy to decompose among cheap, fault-prone, commodity boxes, and recompose into an overall solution - along the lines of Google's highly successful MapReduce.
I guess what I'm really saying is (and I don't mean to be rude here), is that C and Python and Java programmers might not be the best qualified people to develop and formally prove the correctness of (note I do not say: "test", I say "formally prove the correctness of") these kinds of algorithms.
I really believe in the importance of getting the algorithms and architectures right - look at Google Search itself, it uses some pretty brilliant algorithms and architectures (eg, MapReduce, Paxos) which enable it to achieve amazing performance - on pretty crappy commodity hardware. And look at BitTorrent, which is truly p2p, where more demand leads to more supply.
So, in this vein, I will close this lengthy rant with an oddly specific link - which may or may not be able to make some interesting contributions to finding suitable algorithms, architectures and data structures which might help Bitcoin scale massively. I have no idea if this link could be helpful - but given the near-total lack of people from the Haskell and ML and functional worlds in these Bitcoin specification debates, I thought I'd be remiss if I didn't throw this out - just in case there might be something here which could help us channel the massive computing power of the Bitcoin network in such a way as to enable us simply sidestep this kind of desperate debate where both sides seem right because the other side seems wrong. https://personal.cis.strath.ac.uk/neil.ghani/papers/ghani-calco07
The above paper is about "higher dimensional trees". It uses a bit of category theory (not a whole lot) and a bit of Haskell (again not a lot - just a simple data structure called a Rose tree, which has a wikipedia page) to develop a very expressive and efficient data structure which generalizes from lists to trees to higher dimensions.
I have no idea if this kind of data structure could be applicable to the current scaling mess we apparently are getting bogged down in - I don't have the game-theory skills to figure it out.
I just thought that since the blockchain is like a list, and since there are some tree-like structures which have been grafted on for efficiency (eg Merkle trees) and since many of the futuristic scaling proposals seem to also involve generalizing from list-like structures (eg, the blockchain) to tree-like structures (eg, side-chains and tree-chains)... well, who knows, there might be some nugget of algorithmic or architectural or data-structure inspiration there. So... TL;DR:
(1) I'm freaked out that this blocksize debate has splintered the community so badly and dragged on so long, with no resolution in sight, and both sides seeming so right (because the other side seems so wrong).
(2) I think Bitcoin could gain immensely by using high-level formal, algebraic and co-algebraic program specification and verification languages (such as Maude including Maude-NPA, Mobile Maude parameterized skeletons, etc.) to specify (and possibly also, to some degree, verify) what
Bitcoin does - before translating to low-level implementation
languages such as C and Python and Java saying how
Bitcoin does it. This would help to communicate and reason about programs with much more mathematical certitude - and possibly obviate the need for many political and economic tradeoffs which currently seem dismally inevitable - and possibly widen the collaboration on this project.
(3) I wonder if there are some Big Data approaches out there (eg, along the lines of Google's MapReduce and BigTable, or Yale's CalvinDB), which could be implemented to allow Bitcoin to scale massively and painlessly - and to satisfy all stakeholders, ranging from millionaires to micropayments, coffee drinkers to the great "unbanked".
It’s time for more bitcoin conference porn! The fall schedule (glut) kicks off today in London with an Inside Bitcoins conference. Unfortunately, I’ll miss it. Instead, I’ll be at MIT giving a presentation on how students there can scale from “Zero to One” in Bitcoin.
My favorite slide of the short overview, which is also relevant to #bitcoinconf attendees is without a doubt how to simply “sound smart” as a newcomer to Bitcoin. That’s really half of the battle; I’ve learned from personal experience. Leaders in this industry who are exponentially smarter than me were willing to talk to me as a peer mere weeks after I first learned about bitcoin last November, mostly because I faked it ‘til I made it.*
So I feel a moral responsibility to share ten things that can make any newb sound like a seasoned vet. Much like a pick-up artist**, you’ll have to craft your own style and will look silly occasionally, but at least you can sleep easy knowing that you will fool 99% of onlookers with this framework.
Here are my top ten tips for sounding smarter than you really are when it comes to Bitcoin…
1) Know simple BTC grammar. Discredit anyone who misspells bitcoin as BitCoin or bit coin, and gently correct those who conflate Bitcoin the protocol (capitalized) with bitcoin the currency (lower-case). This is a slam dunk, I’ve-been-here-a-while, pro tip. Don’t be a jerk about it, but politely help this other newcomer scale to your level of intelligence.
Congrats, you’re already ahead of the curve.
2) Acknowledge that bitcoin is a crappy currency, but a high-potential commodity. Bitcoin is volatile and will be for a very long time. It’s designed to appreciate in value or to fail — without much middle ground. As a unit of account or store of value, it’s terrible, but it is also a very high-potential commodity. Holding the “currency” means (among other things) that you are betting bitcoin displaces gold as a long-term reserve — that one inherently worthless commodity (gold) will be replaced by another (bitcoin), because bitcoin will at least be tied to a very valuable network. You also believe that as the critical exchange, investment, and derivative infrastructure is built out, mainstream people will use what are essentially fiat-denominated bitcoins anyway (thanks to hedging wizardry). Oh, and on that last point, you’ll stop referring “dollars” and instead reference “fiat.”
3) Point out that all currencies fluctuate in relative value, but at least BTC appreciates. This is in some ways a close corollary to #2. People like to criticize bitcoin’s “extreme” volatility, but the truth is that the currency’s volatility is falling and will continue to fall steadily as it grows larger. Moreover, it will look less volatile relative to the currencies of many smaller, developing economies, especially those with high inflation like Argentina or Nigeria. (BTC is the 90th most popular global currency by M1.) At least with bitcoin, you have a ~50% chance on any given day that you’ll enjoy upside volatility, instead of slow and steady devaluation. Many people outside of the US and Europe are going to play those odds.
4) Understand that Bitcoin is not decentralized, it is distributed. There are basically 10 people in the world who ultimately control Bitcoin right now, so it’s not decentralized. You’ve got 5-10 Bitcoin core developers who contribute updates to the code base only if they are accepted by the 5-10 mining behemoths that call the shots. In theory, anyone can “fork” the Bitcoin core if they don’t like the miners’ rules, but most people will agree that this is infeasible at best. It doesn’t help that no one knows who controls most of the global mining power or even who invented Bitcoin. Sounds shady, and in truth, it is more of a black box than most will admit. The good news is that the block chain is universally distributed, so at least people can see the global ledger of transactions, even if they don’t appreciate that a group smaller than the Fed actually controls Bitcoin.
Brownie points if you know who Gavin Andresen is, because many newbs don’t! I’ll put it to you this way: Gavin is bitcoin’s Mark Zuckerberg to Satoshi’s Winklevii — if only the Winkevoss twins had come up with a clever seigniorage model for social networking and faded to the background gracefully once they had Zuck on board. Gavin and the other core developers aren’t household names by pure chance — the media is simply too obsessed with the mysterious Satoshi.
5) Admit that Bitcoin is not cheaper than credit cards. A common pitch is that bitcoin is much cheaper than credit cards, but this simply is not true in most real-world use cases. Bitcoin merely appears less expensive for most retail transactions because those charging the transaction fees - the miners - care more about the large 25 BTC / block mining reward subsidies than they do the variable transaction fees. For now. As mining gets more expensive and the mining reward shrinks over the next decade, bitcoin’s transaction fees will start looking a heck of a lot more like interchange rates. In addition, if you go up one level to the payment processors like BitPay and Coinbase, either the merchant or the consumer (or a combination) is paying 100-150 basis points to cover bitcoin transaction costs - not a tremendous price difference from card networks.
Bitcoin has many advantages over credit cards — security, interoperability, universality, etc. — but cost generally isn’t one of them.
6) Remittances aren’t a near-term killer app; cross-border transactions are. As much as bitcoiners like to bash Western Union and Money Gram, and as despicable as some of these remittance platforms can be, they still exist for a reason. Doing safe, secure and legal remittance is more expensive than it seems at first glance. And while it’s nice to think that crypto could flow freely to those already familiar with mobile money, this theory has one big flaw: the infrastructure and awareness for bitcoin isn’t even close to there yet in developing economies. Sure, a migrant worker could send bitcoin to a relative’s mobile phone in Zimbabwe, but good luck safely exchanging that for usable day-to-day currency - especially at a cheaper rate than the evil remittance empires.
Business to business cross-border transactions, on the other hand, are infinitely more likely to succeed on a faster timeline. More sophisticated parties, with better access to bitcoin exchanges and financial services, solving a more straightforward and nominally larger problem.
7) Pick at least one bitcoin company to hate, and know why you hate them so much. I honestly don’t think I’ve met a single person in this industry who hasn’t completely crapped all over at least one leading bitcoin company behind closed doors. In fairness, even when I’m not playing devil’s advocate, I have still been legitimately guilty of giving the business to all of these companies myself. But for most non-bully-pulpiteers, it’s simply easier and less abrasive to whisper criticisms. It doesn’t matter whether you pick Circle (“Wall Street sell-outs”), Coinbase (“young, naive and overextended”), Xapo (“shady insurance dealings”), Blockchain (“short-sighted ideologues”), or BitPay (“first, but not best”). All that matters is that you hate at least one of them.
8) Tell everyone how much you love Andreas, but that he’s too political for your liking. First you have to watch an Andreas Antonopoulos presentation and learn how to spell Antonopoulos. He speaks beautifully and sincerely and intelligently, and if Aaron Sorkin ever wrote a show about bitcoin, Andreas would be the protagonist, a la President Bartlet (West Wing) or Will McAvoy (Newsroom). He’s a perfect embodiment of what bitcoin should be — indeed, it’s fun to believe in his type of future — but the realist in you knows to just eat popcorn while watching this artist at work. You don’t actually need to believe what he says for bitcoin to go mainstream. In fact, if you are easily influenced, you probably shouldn’t because many of his most strongly held beliefs simply aren’t practical.
9) Learn the defensive pitch for the Bitcoin Foundation. It goes something like this: “You know, it’s not that easy to herd cats in this industry and these guys have been very valuable in serving as a voice for such a diverse community. At the end of the day, none of the leading entrepreneurs have time to do much advocacy work outside of their own companies, and the Bitcoin Foundation is crucial in promoting investment in the Bitcoin core technology. It’s easy to criticize them — and look, they’ve definitely made some mistakes — but like most non-profits, these guys are underpaid, overworked and only get criticism, never praise.” The more you say this, the truer it sounds. (See TBI, March 2014, for why this is ironic.)
10) Rehearse this phrase or some close iteration of it.
"Ethereum is really interesting, but it just seems like they will have an uphill battle to beat out Bitcoin innovations like side chains and tree chains given Bitcoin’s network effects."***
If you want to immediately be deified like a core developer, state this with confidence and maintain eye contact with your listener during cocktail hour, then just shake hands and walk away. This is a newb trump card, and it sounds smart on so many levels that you will leave your audience with no choice but to admire your crypto fluency. Uttering this phrase without stammering usually comes with an admission ticket to any conference VIP after-party you’d like. (I usually just use one of my several aliases, until one of them is on the list.)
*Still trying to make it.
**There are actually a surprising number of former and current pick-up artists in bitcoin. No joke. (I’m not one of them.)
***Full disclosure: I have said this verbatim and still don’t know what it means. But it sounds smart. http://two-bit-idiot.tumblr.com/post/97561749484/sound-smart-at-bitcoinconf
One of my favorite people in Bitcoin is Andreas Antonopoulos. He has a rare combination of CS brilliance, eloquence and authenticity that makes him IMO Bitcoin's greatest evangelist and champion. submitted by
I took the time to write-up a partial transcript of Andreas' recent presentation on Bitcoin at the LA Bitcoin Meetup, because the full presentation with Q&A is 90 minutes long. I've included what I thought were his most eloquent and concise points because it's important to get some of his spoken words on paper, and because I'm going to use a lot of his points when educating others about Bitcoin. I would vote for Andreas in a heartbeat if he ran for any type of public office, and have an enormous amount of professional respect for the dude, although I've only met him in passing. I have edited for clarity and length. Mistakes/omissions are my own, brilliance is attributable to Andreas.
On the Irrelevance of Bitcoin's Flaws: "Bitcoin is not perfect, but it's good enough. And when you have a tech that achieves network scale and can be distributed over a large network, good enough suddenly becomes perfect, not because it is perfect, but because it enables the kind of innovation that makes it sticky, that starts accelerating the network effect. And Bitcoin has some of the strongest network effects ever seen. Why? Because it's money. The literal value of the network can increase exponentially."
On the Superiority of Decentralized Systems: "Nature doesn't do hierarchical systems, humans do. And normally we create hierarchical systems to solve the problems of scale. Bitcoin solves one of the main problems of hierarchical systems, which is that the people who rise to the top become corrupted and gradually subvert the hierarchical system to serve their own needs. Hierarchical systems don't scale and they don't deliver equality for very long. Decentralized systems scale and as long as the rules they are based on operate, they can level the playing field for all participants. If you can put a decentralized system next to a hierarchical system and people have a choice to choose between the two, the decentralized system will always deliver more value to every node within the network, and it will do so with better accountability, better predictability, less uncertainty, less risk, and it is much harder to corrupt and coopt, and now we're doing it to money for the first time in history. That's a very big deal."
On Bitcoin as a Global Reserve Currency: "In North America, we have the world's reserve currency. It's a good, stable currency. A lot of libertarians and Austrian economists will say: "The dollar sucks." Yes, the dollar sucks, but it sucks 193 times less than the other 193 other currencies. So when we ask why does Bitcoin matter in North America, the answer is: it doesn't. It matters far more in every other place in the world. You go to Argentina; their currency is devaluing at 30% per year. People's savings are disappearing before their eyes. Their futures are being stolen by a central bank. For these people, Bitcoin is a choice that allows them to achieve economic independence. We would love to have economic independence here, because our financial system is f***ed up and corrupt, but compared to the rest of the world, it's easy. It's great."
Bitcoin as a Force for Social Good: "Bitcoin is really all about the other 6 billion people. About 3 billion people have no bank accounts. About 1 billion people have ample access to credit and large pools of liquidity, so they can start businesses, buy homes, etc. They have access to international finance, transferring money and conducting international trade without many restrictions. The middle 3 billion may have bank accounts, but those bank accounts have currency controls, and those people don't have the ability to do international trade. They are stuck in a currency controlled by a central bank that uses inflation as a means to steal from the people. Essentially inflation becomes a form of taxation.
This stolen money usually goes to buy guns and tanks and bombs, which is why I'm in Bitcoin. In the state of human affairs, if you ask a nation to divest its wealth in order to fund war, the only way you can do that is by stealing, by lying, by cheating. If you ask for the consent of the governed to fund war, they will say no. They would rather fund healthcare, education or development. So when you have a currency that is not subject to central bank control, you achieve separation of money and state. You take away the power of state to use money as a means of control and enrichment. Until now, each government was able to apply control through money, by issuing it, taxing in that money and controlling the flow of money into and out of that country. Bitcoin is not the 194th currency, it is the first global currency. It is the first algorithmic currency. We can trust mathematics because we can predict exactly what will happen on the Bitcoin network.
We have the opportunity, not to bank the other 6 billion, but to unbank all 7 billion of us. We have the opportunity to allow the developing world to leapfrog directly from cash-based societies to digital cash societies and bypass the entire failed experiment of central currencies from the western world. They will take the opportunity just like they leapfrogged landlines and went directly to cellphones."
On Governments' Inability to Stop Bitcoin: "You cannot stop money that is information. Stopping bitcoin would involve shutting down the internet. I truly believe that Bitcoin is absolutely unstoppable from external perspectives today. That doesn't mean that it will survive. It means that if we f*** it up, it will fail from the inside. There are certain failure modes that bitcoin could exhibit today, probably the most serious would be a bug that allows someone to subvert the elliptic curve digital signature algorithm in a way that wouldn't be noticed for a long time, in which case you wouldn't know who owns what. That could crash bitcoin."
On Global Remittance Innovation: One of the most exciting financial solutions is the ability of the payment networks to do peer-to-peer payments, the most important of which is global remittances. Global remittances are a $510bn market, where migrant workers send that money back home to support families in the poorest nations in the world. Today, Western Union and similar companies extract $74 billion in fees for those services. Even as the developed world provides $150 billion in direct foreign aid to the top of the pyramid in the hopes that it trickles down, we steal $74 billion from the base of the pyramid. That money could go to sanitation, clean water, healthcare, food. This is not our money, it's theirs, and it just means we need to take it away from Western Union. And that couldn't happen to a nicer bunch of crooks."
On whether 51% attacks are something to worry about: "The 51% attack is an interesting theoretical experiment with limited practical uses. If you were to take over 51% of the network you would be able to successfully issue a double spend attack, but you could really only affect the next couple of blocks. [So the economics of a 51% don't really make sense.] Besides that, Gavin Andresen (the lead core Bitcoin developer) would make changes to the core protocol in the event that the integrity of the block chain was threatened."
On whether we should worry about SHA-256 Failing (the underlying security algorithm on which Bitcoin is based): "The hashing algorithm can be replaced, with a minimal impact on the blockchain, but very big impact on the miners. But practically speaking, if SHA-256 were to break, we would have much bigger problems. Because it underlies security of all financial systems, and all of our communications networks...and the tomahawk cruise missile codes."
Mastering Bitcoin Author Andreas Antonopoulos recently gave at talk at Harvard’s i-lab, spending much of his time in front of a small audience describing the various issues with Bitcoin as a brand.He noted many problems with the terminology used in Bitcoin, and he also focused on specific products or services in the Bitcoin space that seem to be doing a disservice to potential users. Consequently, Antonopoulos thinks Bitcoin will capture the international remittance market, which consists mainly of immigrants who send back money to their families in their home countries. Companies such as Western Union charge 9 percent or more for these transactions, but with Bitcoin, it costs “not 10 percent, not 5 percent, but . . . 5 cents” (loc. 769). The foregoing only scratches ... "Bitcoin." Just mentioning the digital currency brings about either a passionate discussion by enthusiasts or vehement criticism that near-anonymous payments are for criminals. In the following interview, serial tech entrepreneur Andreas Antonopoulos talks about the digital currency's rise to fame and the consequences of its popularity. Andreas M. Antonopoulos Born 1972 (age 41–42) Nationality half-Greek and half-British Alma mater University College London Occupation information security expert, author, entrepreneur, public speaker Known for criticizing Mt. Gox for mismanagement, renewing trust after its definite failure, speeches explaining bitcoin design and prospects Andreas M. Antonopoulos is a California-based ... Mastering Bitcoin Author Andreas Antonopoulos recently gave at talk at Harvard’s i-lab, spending much of his time in front of a small audience describing the various issues with Bitcoin as a brand. He noted many problems with the terminology[add link to bitcoin terminology is broken and wrong piece] used in Bitcoin, and he also focused ...
Andreas presents his opinions on a number of recent topics in the Bitcoin world: Bitcoin ETFs Remittances Ponzi schemes built around Alt-Coins Possible Bitcoin growth scenarios and future ... This channel brings you videos from some of the most trusted and respected names in the Bitcoin & crypto space. All content on this channel (with the excepti... Andreas M. Antonopoulos - "What Bitcoin Means For Unbanked Economies" - The Bitcoin Address - Duration: 1:35:52. ... Bitcoin, remittances and the developing world - Duration: 30:25. Bitcoin Events ... Andreas M. Antonopoulos (@aantonop) is a best-selling author, speaker, educator, and one of the world’s foremost bitcoin and open blockchain experts. He is k... How can we get more women involved with cryptocurrencies? What are the most inspiring projects that encourage people to think beyond the current system and e...