By Erik Voorhees @ moneyandstate.com
- “The true cost of a Bitcoin transaction can be better considered as:Cost = F + T + Ru
Cost = Fee + Time taken to determine fee + Risk of uncertainty”
- And let’s end this silly false dichotomy of Bitcoin as a “payment system” vs a “settlement system.” Such distinction is a relic of fiat banking networks and has no place with blockchain-based assets. The reality is this: every payment on a blockchain network is a settlement, and the cheaper these transactions, the more widespread uses the platform will find, meaning greater utility, a broader and more decentralized user-base, higher market capitalization, more liquidity, and therefore more hashpower dedicated to it, and more security derived therefrom.