Bitcoin at risk? The Alarm on security and property rights
The post Bitcoin at risk? The Alarm on security and property rights appeared on BitcoinEthereumNews.com. James O’Beirne, developer of Bitcoin Core, recently issued a serious warning regarding the future of the world’s leading cryptocurrency. During an appearance on the podcast *Supply Shock*, O’Beirne expressed deep concerns about the erosion of the Bitcoin security budget, emphasizing how this phenomenon could compromise the fundamental property rights that the network has always guaranteed. According to O’Beirne, the problem is urgent and requires immediate attention. The progressive decline in revenue allocated to network security, in fact, could push those managing Bitcoin to make drastic decisions, modifying some of its founding principles. The Security Budget: a Pillar in Danger During the interview, O’Beirne explained that Bitcoin’s security budget is primarily based on rewards for miners and on-chain transaction fees. However, as time goes by and the next halving events approach — events that halve the reward for mined blocks — the risk of insufficient funds to maintain network security becomes increasingly real. O’Beirne emphasized that the decrease in rewards, combined with low fees and stagnant prices, could create an extremely difficult situation for miners. In this context, pressures might emerge to introduce radical changes to the Bitcoin protocol, thus compromising its original nature. “`html Controversial Changes: Tail Emissions and Changes to the Supply “` Among the possible solutions discussed, O’Beirne mentioned the introduction of the so-called tail emissions — continuous issuance of new coins even after reaching the maximum limit of 21 million bitcoins — and the modification of the cryptocurrency’s issuance program. According to the developer, both of these options would represent a direct threat to the property rights of Bitcoin users. The idea of an infinite supply or an arbitrary change in the emission rules, in fact, would undermine the trust that millions of people place in the programmed scarcity of Bitcoin, one of its distinctive traits. O’Beirne…
The post Bitcoin at risk? The Alarm on security and property rights appeared on BitcoinEthereumNews.com.
James O’Beirne, developer of Bitcoin Core, recently issued a serious warning regarding the future of the world’s leading cryptocurrency. During an appearance on the podcast *Supply Shock*, O’Beirne expressed deep concerns about the erosion of the Bitcoin security budget, emphasizing how this phenomenon could compromise the fundamental property rights that the network has always guaranteed. According to O’Beirne, the problem is urgent and requires immediate attention. The progressive decline in revenue allocated to network security, in fact, could push those managing Bitcoin to make drastic decisions, modifying some of its founding principles. The Security Budget: a Pillar in Danger During the interview, O’Beirne explained that Bitcoin’s security budget is primarily based on rewards for miners and on-chain transaction fees. However, as time goes by and the next halving events approach — events that halve the reward for mined blocks — the risk of insufficient funds to maintain network security becomes increasingly real. O’Beirne emphasized that the decrease in rewards, combined with low fees and stagnant prices, could create an extremely difficult situation for miners. In this context, pressures might emerge to introduce radical changes to the Bitcoin protocol, thus compromising its original nature. “`html Controversial Changes: Tail Emissions and Changes to the Supply “` Among the possible solutions discussed, O’Beirne mentioned the introduction of the so-called tail emissions — continuous issuance of new coins even after reaching the maximum limit of 21 million bitcoins — and the modification of the cryptocurrency’s issuance program. According to the developer, both of these options would represent a direct threat to the property rights of Bitcoin users. The idea of an infinite supply or an arbitrary change in the emission rules, in fact, would undermine the trust that millions of people place in the programmed scarcity of Bitcoin, one of its distinctive traits. O’Beirne…
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