From: "Jorge Timón" <jtimon@jtimon•cc>
To: Gavin Andresen <gavinandresen@gmail•com>
Cc: Bitcoin Development <bitcoin-development@lists•sourceforge.net>
Subject: Re: [Bitcoin-development] Block Size Increase Requirements
Date: Sun, 31 May 2015 16:46:58 +0200 [thread overview]
Message-ID: <CABm2gDoE5kbE2cnFzZPAOZbHMdXBaZG7pB7c6dovj=1unPentw@mail.gmail.com> (raw)
In-Reply-To: <CABsx9T3qPiQ+PL3ZNT+QJzw4ALEzKjMjC4=uEKTG+4vVPdXr-g@mail.gmail.com>
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On May 30, 2015 10:38 PM, "Gavin Andresen" <gavinandresen@gmail•com> wrote:
>
> Mining is a competitive business, the marginal miner will ALWAYS be going
out of business.
>
> That is completely independent of the block size, block subsidy, or
transaction fees.
No, the later determines who can be profitable.
Here's a thought experiment:
Subsidy is gone, all the block reward comes from fees.
Miner A has great connectivity and mines 20 MB blocks, with an average of
20 btc per block.
Miner B has a connectivity such that 2 MB blocks puts it on a reasonable
orphan rate, so it gets an average of 2 btc per block mined.
But the difficulty is the same for all and it can rise up to miner A
breaking even after energy costs.
Will miner B be profitable with this setup? The answer is no and miner B
will just go out of business. In that sense too, bigger blocks mean more
mining centralization.
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next prev parent reply other threads:[~2015-05-31 14:47 UTC|newest]
Thread overview: 67+ messages / expand[flat|nested] mbox.gz Atom feed top
2015-05-07 22:02 Matt Corallo
2015-05-07 23:24 ` Joseph Poon
2015-05-08 0:05 ` Peter Todd
2015-05-08 6:33 ` Arkady
2015-05-08 10:03 ` Mike Hearn
2015-05-08 16:37 ` Peter Todd
2015-05-08 19:47 ` Tier Nolan
2015-05-09 3:08 ` Peter Todd
2015-05-16 4:39 ` Stephen
2015-05-16 11:29 ` Tier Nolan
2015-05-16 11:25 ` Tier Nolan
2015-05-29 22:36 ` Gavin Andresen
2015-05-29 23:25 ` Matt Corallo
[not found] ` <CABsx9T3__mHZ_kseRg-w-x2=8v78QJLhe+BWPezv+hpbFCufpw@mail.gmail.com>
2015-05-30 19:32 ` Matt Corallo
2015-05-30 20:37 ` Gavin Andresen
2015-05-31 14:46 ` Jorge Timón [this message]
2015-05-31 14:49 ` Gavin Andresen
2015-05-31 14:59 ` Jorge Timón
2015-05-31 15:08 ` Gavin Andresen
2015-05-31 15:45 ` Jorge Timón
2015-05-29 23:42 ` Chun Wang
2015-05-30 13:57 ` Gavin Andresen
2015-05-30 14:08 ` Pindar Wong
2015-05-30 22:05 ` Alex Mizrahi
2015-05-30 23:16 ` Brian Hoffman
2015-05-31 0:13 ` Alex Mizrahi
2015-05-31 5:05 ` gb
[not found] ` <CAFzgq-z5WCznGhbOexS0XESNGAVauw45ewEV-1eMij7yDT61=Q@mail.gmail.com>
2015-05-31 1:31 ` [Bitcoin-development] Fwd: " Chun Wang
2015-05-31 2:20 ` Pindar Wong
2015-05-31 12:40 ` Gavin Andresen
2015-05-31 13:45 ` Alex Mizrahi
2015-05-31 14:54 ` Gavin Andresen
2015-05-31 22:55 ` Alex Mizrahi
2015-05-31 23:23 ` Ricardo Filipe
2015-05-31 23:40 ` Pindar Wong
2015-05-31 23:58 ` Ricardo Filipe
2015-06-01 0:03 ` Pindar Wong
2015-06-01 7:57 ` Alex Mizrahi
2015-06-01 10:13 ` Mike Hearn
2015-06-01 10:42 ` Pindar Wong
2015-06-01 11:26 ` Peter Todd
2015-06-01 12:19 ` Pindar Wong
2015-06-01 11:02 ` Chun Wang
2015-06-01 11:09 ` Pindar Wong
2015-06-01 11:20 ` Chun Wang
2015-06-01 13:59 ` Gavin Andresen
2015-06-01 14:08 ` Chun Wang
2015-06-01 15:33 ` Mike Hearn
2015-06-01 16:06 ` Ángel José Riesgo
2015-06-01 14:46 ` Oliver Egginger
2015-06-01 14:48 ` Chun Wang
2015-06-01 16:43 ` Yifu Guo
2015-06-01 20:01 ` Roy Badami
2015-06-01 20:15 ` Roy Badami
2015-06-01 13:21 ` Mike Hearn
2015-06-01 12:29 ` Warren Togami Jr.
2015-06-01 13:15 ` Gavin Andresen
2015-05-31 12:52 ` Gavin Andresen
2015-05-31 13:31 ` [Bitcoin-development] [Bulk] " gb
2015-05-31 19:49 ` Gavin Andresen
2015-05-31 14:17 ` [Bitcoin-development] " Dave Hudson
2015-05-31 14:34 ` Yifu Guo
2015-05-31 14:47 ` Gavin Andresen
2015-05-31 7:05 ` [Bitcoin-development] " Peter Todd
2015-05-31 12:51 ` Gavin Andresen
2015-05-30 23:18 Raystonn
2015-05-31 0:32 ` Alex Mizrahi
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