The Satoshi Revolution: A Revolution of Rising Expectations.
Section 1: The Trusted Third Party Problem
Chapter 2: Monetary Theory
by Wendy McElroy
Was Satoshi a Libertarian and Anarchist? (Chapter 2, Part 4)
I’ve been working on a new electronic cash system that’s fully peer-to-peer, with no trusted third party….We very, very much need such a system, but the way I understand your proposal, it does not seem to scale to the required size. For transferable proof of work tokens to have value, they must have monetary value. To have monetary value, they must be transferred within a very large network – for example a file trading network akin to bittorrent. To detect and reject a double spending event in a timely manner, one must have most past transactions of the coins in the transaction, which, naively implemented, requires each peer to have most past transactions, or most past transactions that occurred recently. If hundreds of millions of people are doing transactions, that is a lot of bandwidth…
Was Satoshi a Libertarian and Anarchist?
On October 31, 2008, Satoshi Nakamoto published a White Paper entitled “Bitcoin: A Peer-to-Peer Electronic Cash System” on the Cryptography Mailing List at metzdowd.com. It spelled out the reasoning behind bitcoin and the design of bitcoin’s instrument of implementation: the blockchain. The White Paper also solved a problem that had haunted cryptocurrency: double spending. Satoshi’s brief explanation is a defining document of our century.
It is all the more remarkable, therefore, that no one seems to know Satoshi’s identity or even whether he is an individual or a team of programmers. Clearly, he coded from a love of the technology rather from than a desire for fame. Since the code was open source, unpatented and offered widely to all, acquiring wealth does not appear to Read More Here