Re:A from-scratch tour of Bitcoin in Python
by rebelos on Tuesday June 22, 2021 @08:28PM
(#27599218)
There was never any need to scale it at the protocol level. The overwhelming majority of Bitcoin transfers presently happen off-chain, within exchanges. Very few people seem to understand this.
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Re:A from-scratch tour of Bitcoin in Python
by oblio on Wednesday June 23, 2021 @03:26AM
(#27601779)
I don't understand. How do Bitcoin transfers happen off-chain? Are those Bitcoin transactions that don't actually use the blockchain?
Re:A from-scratch tour of Bitcoin in Python
by rebelos on Wednesday June 23, 2021 @03:17PM
(#27608791)
The exchange itself holds a fluctuating amount of Bitcoin and then updates entries in its own database when transfers occur between exchange participants to reflect a change in ownership. These constitute the vast majority of transactions that occur and none of them are recorded to the blockchain.