[ChemicalWarfare]

56k TPS is a supposed peak at burst volumes, in reality the number is closer to 3K TPS but that's beside the point.

Until there's a real need for bitcoin to support this sort of volume (if ever) I don't think comparing bitcoin to visa tps wise proves anything.

If there's enough customer adoption where there's a need to handle that kind of volume you can rest assured there will be infrastructure to support it and instead of a loose group of "core devs" there will be an official salaried department (at visa? :) ) working on this full time.

[Anonobread]

> If there's enough customer adoption where there's a need to handle that kind of volume you can rest assured there will be infrastructure to support it and instead of a loose group of "core devs" there will be an official salaried department (at visa? :) ) working on this full time.

But since we're talking about "decentralized systems", the question is who owns the blockchain infrastructure. Is the blockchain going to be serviceable on home desktop PCs, or are you going to need a datacenter?

To really drive this example home, could you please quote me a price on building out a Tier 1 datacenter with gigabit fiber? Because last I checked most people don't have that kind of money in their sofa cushion. And it isn't even remotely feasible to acquire that sort of infrastructure anonymously.

Yet that's what it's going to take to hit 56,000 tps on a blockchain any time this decade or perhaps even after [1]:

> Next month, the worldwide semiconductor industry will formally acknowledge what has become increasingly obvious to everyone involved: Moore's law, the principle that has powered the information-technology revolution since the 1960s, is nearing its end.

A common mistake is confusing "popularity" with decentralization. BitTorrent is both popular and decentralized. It doesn't take a datacenter and a 10-machine cluster to participate in a BT swarm as a full-on peer. As an aside, it's no surprise the creator of BitTorrent is staunchly against scaling Bitcoin in datacenters [2].

[1]: http://www.nature.com/news/the-chips-are-down-for-moore-s-la...

[1]: http://www.agner.org/optimize/blog/read.php?i=417

[2]: https://medium.com/@bramcohen/bitcoin-s-ironic-crisis-32226a...

[ChemicalWarfare]

"To really drive this example home, could you please quote me a price on building out a Tier 1 datacenter with gigabit fiber? Because last I checked most people don't have that kind of money in their sofa cushion."

"Big boys" do though. And that is my point exactly - if there's enough tx volume (driven by consumer adoption first and foremost) to warrant this expense - someone will do it. Also, in reality bitcoin isn't all that decentralized. Sure, individual nodes on the p2p network are all over the place however the vast majority of them are members of mining pools, with 3 biggest Chinese pools accounting for 30+ % of the total hashrate.

So if one of the major card networks steps in and takes over that chunk, as a consumer I'd be looking at a more reliable system to deal with.

[Anonobread]

You'll have to excuse me for this, but what you've just written has been said so many times in the past 18 months it's basically a cliche.

If you're willing to put the entire system into the cloud and hand over the backbone of Bitcoin to big banks and megacorps, you end up with a system no different from fiat currency over time. It ends up being a State controlled fiat money, because all of the infrastructure providers are Corporations - creatures of the State.

Inflation? No problem, we'll just have the usual suspects update the code. Freezing accounts? Narcoturrerism? No problem, we'll update the code. Etc. Having a P2P electronic cash system means accepting that the system is going to be different than government scrip.

The blockchain was never meant to be PayPal. It was meant to bootstrap a cryptoeconomic system outside the bounds of politics and the law. It's completely irresponsible to give that vision up for the ability globally broadcast low value, meaningless consumer payments - especially since you can achieve that by building higher layers of abstraction.

[ChemicalWarfare]

Well sure, there's a "libertarian" angle and there's a "pragmatic" angle here. I don't want to be beating a dead horse but with the way things are shaping up for bitcoin things are getting pretty centralized and as a result easy to control.

As for being "outside the bounds of politics and the law" when it really comes down to it you can only go so far especially if there's something as sensitive and highly visible as "money" is involved. Even in the reasonably "soft" western countries there are subpoenas, cease and desist orders etc. All of that can be set in motion by the government who has the final say. In China - they just disconnect the whole country from the internet :)