Lightning Network - How Banks are Trying to Steal Blockchain. How Decentralized is Blockchain ? Pt 3
We all absolutely love lower tx fees! Especially with bitcoins absurd fees and tx times, at times. So who would be opposed to getting faster and cheaper?
I would.
Because there is always more to the story. Building a network around a network is the same as putting a jacket on, and some jackets are like this-
You can't win if you can't move.
First, what the #lightning network claims to be.
A way for users to send funds cheaper, faster, and more effectively. By connecting users and leaving channels "open".
Say, you transacted with Bob before, and your friend Sara had already transacted with you. An off ledger contract could be sent to you by Sara, for you to give Bob that money and she'd pay you back.
The catch, you'd have to have those available #funds in your wallet, you'd get a small reward for the help, and Sara would save on the transaction time/ #fee from normal network.
However, lets think about this for a moment. Hmmm.. Centralized hubs that would need large amount of funds for "cheaper" "faster" transactions.. Where did we hear that one before?
That "cheaper transaction" idea would be the case until a few #locations got a #monopoly on the network. And by the time the effects kicked in, it'd already be too late.
But that's not the worst part.
On the #blockchain #network, big #miners can sensor #transaction by denying to mine them. But that's okay cause someone else will mine that #transaction. It's one of the key balancing elements of blockchain, HOWEVER... On lightning network, a #central #hub for transactions could singlehandedly #suppress a single person from transacting.
Nodes were a security #flaw enough. If you want to freely hand the blockchain to the banks and central networks, use the #lightning network!
It will be great for a year or two.. Until it is only affordable to transact with a few major hubs, then they could suppress anyone that didn't agree with them by merely not transacting.
How will you feel when your #funds can be #frozen in your wallet because what you believe in?
For those that are better audio visual learners.. Here's a decent video on the topic as well.
Solution: What we need to do, is AS a community keep putting our voting power with developers that are seeking the decentralization of blockchain. Where we put our investments is where blockchain will end up going! We vote with our money.
What's the most decentralized crypto you know? Comment in the comments below and it might get featured in an upcoming series! Stay tuned.. Coming up, the dark waters of Blockstream the truth of our beloved BTC.
I'm Jeff, and I'm @followbtcnews.
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I'm of the opinion that the lighting network doesn't bring much decentralization in the sense that people don't have to use it if they don't feel like it.
Thanks for bringing this info to the light, I'm down with your solution!! Keep informing people and keep promoting decentralized blockchain!
Interesting... "Most decentralised?" is a tough question. Except for a few coins, it is all decentralised, you can't qualify further except on "how can it be disrupted" as in 51% of mining power in a proof of work chain.
In that view, I like the delegated proof of stake a lot which is what Dan Larringer brought us with bitshares and Steem and is now copied by Cardano and the likes.
In your thinking, i am investing also in what i call sexy coins like substratum rebuilding the internet and Neblio shooting sattelites in the air to build our own decentralised uncensored internet.
Ripple is a blockchain bank money sucking tools.
Wow, is this an actual project? I've heard about it.
Yes. It's what made LTC so successful.. And btc surged to 20k when it was proven BTC could work with it.
Blockchain is really the next generation of technology.
Has Andreas Antonopoulos made a statement about The Lightning Network in recent times? He commented briefly on it several months ago before he really knew what it was. I am very curious to see what he has to say on the subject as there is clearly a lot of controversy on the subject and he is arguably the most influential person in the community.
Wow an awesome and informative post . Especially that video , I feel mixed emotions of dissapointment and hope. Dissapointment cause the vampire squid is back again but hope cause there must be another way.
This is an interesting contrast to at least one comment I read, where the Bitcoin proponent was telling us that in 6 months, we'll really see what BTC can do. I guess he was referring to the lightning network.
Blockchain is the future and you're right, the only thing we as a community can do is to promote blockchain and decentralization. It's the thing that can save us from banks (thieves). SPOT ON!