Why Bitcoin Shouldn’t Be Scaled: How Bitcoin Will Become A Commodity Money That Inspires Our…

I always enjoy your writing as is the case with this article but thought I would point out this bit;

> The genius insight behind bitcoin is that the difficulty of the computationally hard problems is adjusted every 10 minutes to compensate for the increase or decrease computing power of the network.

Difficulty is actually adjusted ever 2016 blocks or ~2 weeks.

An additional comment on this section;

> In other words if a commodity money begins to evolve to have more (or less) uses, or a society develops alternative uses for the commodity the changes would alter the value proposition.

> This suggests if bitcoin is to serve as a digital gold or value standard which would bring the global financial system into order then it would be optimal for it to have no other utilities and for as many of its current limitations and parameters to be set in stone for all time.

I see no conflict with this statement and the idea that we can implement improvements like Segwit which can allow layer 2 scaling/innovation and preserve layer 1 as digital gold. This in turn increases the value of layer 1 as additional layer 2 applications are discovered/constructed.

Eventually (on a long enough timeline) layer 1 is fully optimized and is set in stone because no further improvements can be found. It is at that point that the base layer will approach is asymptotic maximum utility/value/ceiling and achieve stability fluctuating only by the increase or decrease of the expansion/contraction of the economy (and utility of higher layers) which it is supporting.

Thanks for writing this, very much enjoyed it.

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