The blocksize war wasn't so much about the blocksize (or, even, scaling Bitcoin). It was really about who controls the consensus rules and how we upgrade the protocol.
For context, a bunch of startups raised tons of money between 2013 and 2016 based on ridiculous user sign-up projections and then we had a long and painful bear market and they were looking for scapegoats (the developpers that were "throttling the network") to justify the lack of growth. I am thinking here specifically of Coinbase, Bitpay and Blockchain.info.
The vibe I got is that they thought of Bitcoin itself as a corporation, that they were the equivalent of Bitcoin's board of directors because they represented the interest of VC investors, and thus they were entitled to decision making power over the network.
I don't doubt that a few people were genuine about scaling p2p e-cash (e.g. Roger Ver) but I suspect what really motivated them is that they believed control of the Bitcoin network would be an asset to their business interests, and lack of control was being used as an excuse to why their interests weren't being satisfied.
There was also a bunch of developers that I believe may have been afraid of losing their relevance (Gavin and Garzik specifically). Regardless of their intentions or psychology, it seemed clear to me that the consortium of vc-backed startups (particularly Bitpay, Coinbase, blockchain(.)info and Roger) had picked a team of developers they thought they could control and wanted to appoint them as a technical management team whicn would execute their strategy, and these guys were willing to step up for that role.
I was physically in the room when the CEO of Blockchain.info (with the very obvious support of Coinbase CEO Brian Armstrong) announced that Bitcoin Core devs were being fired and would be replaced. This was after a couple days of failed discussions with other industry people. This was the moment when I realized what was really going on.
And finally, you had a Bitcoin mining giant (Bitmain) controlling both asic production and mining pools with a vested interest in promoting the idea that Bitcoin was a democracy and the way to vote was to buy hashing power. The main ideology being pushed here was that a formal governance mechanism of the protocol needed to be established and that hashrate was the only objective measure of who makes decisions.
The underlying big blocker ideology was that the chaos of spontaneous consensus of nodes is unpredictable, flimsy, bad for business. The absence of a formal governance process was seen as the root cause of the issue.
These companies really believed they could control the protocol, and controlling development of the protocol was seen as a very valuable asset to your company. I imagine they thought of themselves as the founders of a new consortium that would solidify itself into a permanent institution. The business interests would pay developers and set the goals, and the mining interests would ratify their decisions with hash power voting. That was their plan.
This became blatantly obvious when Bitmain used its refusal to activate segwit as leverage to get what it wanted (a blocksize increase and recognition of its hashpower as a vote mecanism) even though Bitmain iself acknowledged it was not really opposed segwit.
It was classic traditional politics: I'll give you segwit if you give me something in return.
This is the language the VC suits, investors and tech startup people understand and they were very happy to "negotiate" and find "consensus".
This eventually materialized into the New York Agreement, negotiated literally as a backroom deal during theConsensuss shitcoin conference. I was there and I refused to attend.
This (private) meeting consecrated the alliance of startups/investors and bitcoin mining interests in their appointment of a technical management committee. If you think this sounds like Jekyll Island, you're not alone.
They packaged segwit with a blocksize increase (Segwit2x) and decided to force a hard fork as a condition to "allow" us to have Segwit.
We know the rest of the story: we ended up activating anyway via UASF (or more precisely, the miners activated Segwit after they New York Agreement signatories became scared UASF would lead to a chain split which they were going to lose). And the blocksize increase was also abandoned shortly after when they realized their hard fork would cause a chain split and that they would not be able to claim that their new shitcoin is the real bitcoin.
All these people were subsequently were very pissed off they couldn't control the network, which they thought they were entitled to. Some ragequit, others created a bunch of shitcoins out of spite, Roger went on to spearhead BCH as the real Bitcoin, all these fools realized they might as well make some money off of it, everyone went all-in on the shitcoin casinos after that. The "small blockers" eventually went on to evolve into the Bitcoin Maximalists and cypherpunks that today tell you to run your own node and own your own keys.
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Power tends to corrupt; absolute power corrupts absolutely
A single lead maintainer of Bitcoin core is decentralised
nice read π
for more about the blocksize war, check out the book by Jonathan Bier called The Blocksize War: The Battle Over Who Controls Bitcoin's Protocol Rules
#bookstr
The blocksize war wasn't so much about the blocksize (or, even, scaling Bitcoin). It was really about who controls the consensus rules and how we upgrade the protocol.
For context, a bunch of startups raised tons of money between 2013 and 2016 based on ridiculous user sign-up projections and then we had a long and painful bear market and they were looking for scapegoats (the developpers that were "throttling the network") to justify the lack of growth. I am thinking here specifically of Coinbase, Bitpay and Blockchain.info.
The vibe I got is that they thought of Bitcoin itself as a corporation, that they were the equivalent of Bitcoin's board of directors because they represented the interest of VC investors, and thus they were entitled to decision making power over the network.
I don't doubt that a few people were genuine about scaling p2p e-cash (e.g. Roger Ver) but I suspect what really motivated them is that they believed control of the Bitcoin network would be an asset to their business interests, and lack of control was being used as an excuse to why their interests weren't being satisfied.
There was also a bunch of developers that I believe may have been afraid of losing their relevance (Gavin and Garzik specifically). Regardless of their intentions or psychology, it seemed clear to me that the consortium of vc-backed startups (particularly Bitpay, Coinbase, blockchain(.)info and Roger) had picked a team of developers they thought they could control and wanted to appoint them as a technical management team whicn would execute their strategy, and these guys were willing to step up for that role.
I was physically in the room when the CEO of Blockchain.info (with the very obvious support of Coinbase CEO Brian Armstrong) announced that Bitcoin Core devs were being fired and would be replaced. This was after a couple days of failed discussions with other industry people. This was the moment when I realized what was really going on.
And finally, you had a Bitcoin mining giant (Bitmain) controlling both asic production and mining pools with a vested interest in promoting the idea that Bitcoin was a democracy and the way to vote was to buy hashing power. The main ideology being pushed here was that a formal governance mechanism of the protocol needed to be established and that hashrate was the only objective measure of who makes decisions.
The underlying big blocker ideology was that the chaos of spontaneous consensus of nodes is unpredictable, flimsy, bad for business. The absence of a formal governance process was seen as the root cause of the issue.
These companies really believed they could control the protocol, and controlling development of the protocol was seen as a very valuable asset to your company. I imagine they thought of themselves as the founders of a new consortium that would solidify itself into a permanent institution. The business interests would pay developers and set the goals, and the mining interests would ratify their decisions with hash power voting. That was their plan.
This became blatantly obvious when Bitmain used its refusal to activate segwit as leverage to get what it wanted (a blocksize increase and recognition of its hashpower as a vote mecanism) even though Bitmain iself acknowledged it was not really opposed segwit.
It was classic traditional politics: I'll give you segwit if you give me something in return.
This is the language the VC suits, investors and tech startup people understand and they were very happy to "negotiate" and find "consensus".
This eventually materialized into the New York Agreement, negotiated literally as a backroom deal during theConsensuss shitcoin conference. I was there and I refused to attend.
This (private) meeting consecrated the alliance of startups/investors and bitcoin mining interests in their appointment of a technical management committee. If you think this sounds like Jekyll Island, you're not alone.
They packaged segwit with a blocksize increase (Segwit2x) and decided to force a hard fork as a condition to "allow" us to have Segwit.
We know the rest of the story: we ended up activating anyway via UASF (or more precisely, the miners activated Segwit after they New York Agreement signatories became scared UASF would lead to a chain split which they were going to lose). And the blocksize increase was also abandoned shortly after when they realized their hard fork would cause a chain split and that they would not be able to claim that their new shitcoin is the real bitcoin.
All these people were subsequently were very pissed off they couldn't control the network, which they thought they were entitled to. Some ragequit, others created a bunch of shitcoins out of spite, Roger went on to spearhead BCH as the real Bitcoin, all these fools realized they might as well make some money off of it, everyone went all-in on the shitcoin casinos after that. The "small blockers" eventually went on to evolve into the Bitcoin Maximalists and cypherpunks that today tell you to run your own node and own your own keys.
View quoted note →
Great write up - unfortunately, as you allide to in the first paragraph, a number of people assume that the blocksize wars really were only about blocksize and as a result any discussion on the subject seems to reignite those defensive responses which lead to people assuming malintent.
Excellent overview thanks! I was there and understood we needed the blocks to remain small, but it was my early days and I didnβt understand what was happening behind the scenes.. always been meaning to read the Blocksize Wars but never was a priority with so much else to learn.
Wise words here for your Blocksize War journey @Hannah π§‘ enjoy π€
Great timing! Thanks for tagging me ππ§‘
Very informative, I was not around for any of this. My main concern about scaling really just boils down to one thing. When I hear people say that eventually the majority of people wonβt even be able to afford to hold their own keys, I find it highly concerning. The ability to self custody is one of the most important things that differentiates it from gold or the fiat system. If that is lost, it seems like a really big problem to me. I realize the base chain doesnβt need to scale for coffee payments, but if you canβt self custody it seems not much different than holding gold in a 3rd partyβs vault. What is the optimistic perspective on how this could play out?
A valid concern for me as well. Trusted third-party solutions seem like the only way bitcoin scales for everyday payments. If that's the case, the goal would be figuring out how to make the trust required to be as miniscule as possible and or distributed across many custodians.
I'm keeping an eye on the Liquid federated security model and also on eCash ideas where multiple mints back the tokens. I'm hopeful that this problem can be solved. It is also why I see a possible future where physical silver and gold can return as a daily, in-person Medium of Exchange (trustless bearer assets) and bitcoin captures the Store of Value role.
With that said, we may just end up with trusted, third-party custodians for small payments, and real, on-chain bitcoin for Store of Value meaning 99% of global population does not have enough savings to justify real, on-chain bitcoin and has to trust someone to custody their bitcoin. They didn't refer to silver as "poor man's gold" for no reason. Silver and gold could become "poor man's bitcoin."
Thank you for the history lesson.
Perfect summary, thanks a lot, Francis!
<Inside Voice>
Itβs always been about control.
Fortunately I am the #1 donor to Bitcoin Core.
Youβre welcome.
Reading this is so pleasant on the eye.
This may be the best explanation of the block wars Iβve ever seenβ¦clear and to the point. I know there are at least two side to every dispute but u have laid urs out beautifullyβ¦if the others wanna defend theirs Iβd love to hear itβ¦I say bring it!!
Thnx so much for this high signal explanation π
you'll love the bro-synchronicity


A harrowing tale. Amazing how they act just like fiat banksters.
Dude okay
Watching this play by play as it happened was wild. Nice to see an accurate historical summary. #uasf π
It was the best of times, it was the worst of times.
ShaolinFryβs node is the first one I ever ran.
Thankful the CEO of bitcoin went on sebbatical
Thanks for sharing .
What does prevent us from similar dramas in the future? Internal power play, purposefully intensified by states that want to weaken bitcoin, remains my main concern for the future of bitcoin.
Nothing. That's why we need enough individual like minded people who run their own nodes and make their own decisions, or Bitcoin fails.
Agreed.
I guess human power dynamics can't be fully eliminated from a value-exchange system.
Trust minimization is the best we can expect.
Nothing prevents these attacks. The attacks will get stronger and better funded, Bitcoin has to adapt. The more cyber hornets the better π
Would love to see Nayib (El Salvador) run a huge node.
Straight yuge
"Freedom is never more than one [block] away from extinction. We didn't pass it to our children in the bloodstream. It must be fought for, protected, and handed on for them to do the same, or one day we will spend our sunset years telling our children and our children's children what it was once like in [Bitcoin] where men were free."
- Ronald Reagan
Who else noticed the price of #Bitcoin is about to rip so hard that it creates a 90Β° right angle on the price ticker.
Get ready for the green candlesπ
This is the phase weβve been preparing for since the lows of late 2022
If youβre a fan of #bitcoin and you havenβt join the rebelcapitalist vip newsletter yet to 100x your sats, then I donβt even know what youβre doing here!
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thanks for sharing!
Love this - thanks for sharing.
Great background and insight into what was going on.
The Book of Satoshi is a fun start. There is an audio version of it too
To be shared with Vlad
tremendously well done recap of that time in history, especially as you were there in the center of it. i really enjoyed reading it and I thank you for taking the time to put it all out there.
Here's a toast π₯ to you and all the bitcoin maxis and cyberpunks that fought the big blocker corporate types and won!! Cheers
π§
The blocksize war wasn't so much about the blocksize (or, even, scaling Bitcoin). It was really about who controls the consensus rules and how we upgrade the protocol.
For context, a bunch of startups raised tons of money between 2013 and 2016 based on ridiculous user sign-up projections and then we had a long and painful bear market and they were looking for scapegoats (the developpers that were "throttling the network") to justify the lack of growth. I am thinking here specifically of Coinbase, Bitpay and Blockchain.info.
The vibe I got is that they thought of Bitcoin itself as a corporation, that they were the equivalent of Bitcoin's board of directors because they represented the interest of VC investors, and thus they were entitled to decision making power over the network.
I don't doubt that a few people were genuine about scaling p2p e-cash (e.g. Roger Ver) but I suspect what really motivated them is that they believed control of the Bitcoin network would be an asset to their business interests, and lack of control was being used as an excuse to why their interests weren't being satisfied.
There was also a bunch of developers that I believe may have been afraid of losing their relevance (Gavin and Garzik specifically). Regardless of their intentions or psychology, it seemed clear to me that the consortium of vc-backed startups (particularly Bitpay, Coinbase, blockchain(.)info and Roger) had picked a team of developers they thought they could control and wanted to appoint them as a technical management team whicn would execute their strategy, and these guys were willing to step up for that role.
I was physically in the room when the CEO of Blockchain.info (with the very obvious support of Coinbase CEO Brian Armstrong) announced that Bitcoin Core devs were being fired and would be replaced. This was after a couple days of failed discussions with other industry people. This was the moment when I realized what was really going on.
And finally, you had a Bitcoin mining giant (Bitmain) controlling both asic production and mining pools with a vested interest in promoting the idea that Bitcoin was a democracy and the way to vote was to buy hashing power. The main ideology being pushed here was that a formal governance mechanism of the protocol needed to be established and that hashrate was the only objective measure of who makes decisions.
The underlying big blocker ideology was that the chaos of spontaneous consensus of nodes is unpredictable, flimsy, bad for business. The absence of a formal governance process was seen as the root cause of the issue.
These companies really believed they could control the protocol, and controlling development of the protocol was seen as a very valuable asset to your company. I imagine they thought of themselves as the founders of a new consortium that would solidify itself into a permanent institution. The business interests would pay developers and set the goals, and the mining interests would ratify their decisions with hash power voting. That was their plan.
This became blatantly obvious when Bitmain used its refusal to activate segwit as leverage to get what it wanted (a blocksize increase and recognition of its hashpower as a vote mecanism) even though Bitmain iself acknowledged it was not really opposed segwit.
It was classic traditional politics: I'll give you segwit if you give me something in return.
This is the language the VC suits, investors and tech startup people understand and they were very happy to "negotiate" and find "consensus".
This eventually materialized into the New York Agreement, negotiated literally as a backroom deal during theConsensuss shitcoin conference. I was there and I refused to attend.
This (private) meeting consecrated the alliance of startups/investors and bitcoin mining interests in their appointment of a technical management committee. If you think this sounds like Jekyll Island, you're not alone.
They packaged segwit with a blocksize increase (Segwit2x) and decided to force a hard fork as a condition to "allow" us to have Segwit.
We know the rest of the story: we ended up activating anyway via UASF (or more precisely, the miners activated Segwit after they New York Agreement signatories became scared UASF would lead to a chain split which they were going to lose). And the blocksize increase was also abandoned shortly after when they realized their hard fork would cause a chain split and that they would not be able to claim that their new shitcoin is the real bitcoin.
All these people were subsequently were very pissed off they couldn't control the network, which they thought they were entitled to. Some ragequit, others created a bunch of shitcoins out of spite, Roger went on to spearhead BCH as the real Bitcoin, all these fools realized they might as well make some money off of it, everyone went all-in on the shitcoin casinos after that. The "small blockers" eventually went on to evolve into the Bitcoin Maximalists and cypherpunks that today tell you to run your own node and own your own keys.
View quoted note →
Study your history π«‘
The blocksize war wasn't so much about the blocksize (or, even, scaling Bitcoin). It was really about who controls the consensus rules and how we upgrade the protocol.
For context, a bunch of startups raised tons of money between 2013 and 2016 based on ridiculous user sign-up projections and then we had a long and painful bear market and they were looking for scapegoats (the developpers that were "throttling the network") to justify the lack of growth. I am thinking here specifically of Coinbase, Bitpay and Blockchain.info.
The vibe I got is that they thought of Bitcoin itself as a corporation, that they were the equivalent of Bitcoin's board of directors because they represented the interest of VC investors, and thus they were entitled to decision making power over the network.
I don't doubt that a few people were genuine about scaling p2p e-cash (e.g. Roger Ver) but I suspect what really motivated them is that they believed control of the Bitcoin network would be an asset to their business interests, and lack of control was being used as an excuse to why their interests weren't being satisfied.
There was also a bunch of developers that I believe may have been afraid of losing their relevance (Gavin and Garzik specifically). Regardless of their intentions or psychology, it seemed clear to me that the consortium of vc-backed startups (particularly Bitpay, Coinbase, blockchain(.)info and Roger) had picked a team of developers they thought they could control and wanted to appoint them as a technical management team whicn would execute their strategy, and these guys were willing to step up for that role.
I was physically in the room when the CEO of Blockchain.info (with the very obvious support of Coinbase CEO Brian Armstrong) announced that Bitcoin Core devs were being fired and would be replaced. This was after a couple days of failed discussions with other industry people. This was the moment when I realized what was really going on.
And finally, you had a Bitcoin mining giant (Bitmain) controlling both asic production and mining pools with a vested interest in promoting the idea that Bitcoin was a democracy and the way to vote was to buy hashing power. The main ideology being pushed here was that a formal governance mechanism of the protocol needed to be established and that hashrate was the only objective measure of who makes decisions.
The underlying big blocker ideology was that the chaos of spontaneous consensus of nodes is unpredictable, flimsy, bad for business. The absence of a formal governance process was seen as the root cause of the issue.
These companies really believed they could control the protocol, and controlling development of the protocol was seen as a very valuable asset to your company. I imagine they thought of themselves as the founders of a new consortium that would solidify itself into a permanent institution. The business interests would pay developers and set the goals, and the mining interests would ratify their decisions with hash power voting. That was their plan.
This became blatantly obvious when Bitmain used its refusal to activate segwit as leverage to get what it wanted (a blocksize increase and recognition of its hashpower as a vote mecanism) even though Bitmain iself acknowledged it was not really opposed segwit.
It was classic traditional politics: I'll give you segwit if you give me something in return.
This is the language the VC suits, investors and tech startup people understand and they were very happy to "negotiate" and find "consensus".
This eventually materialized into the New York Agreement, negotiated literally as a backroom deal during theConsensuss shitcoin conference. I was there and I refused to attend.
This (private) meeting consecrated the alliance of startups/investors and bitcoin mining interests in their appointment of a technical management committee. If you think this sounds like Jekyll Island, you're not alone.
They packaged segwit with a blocksize increase (Segwit2x) and decided to force a hard fork as a condition to "allow" us to have Segwit.
We know the rest of the story: we ended up activating anyway via UASF (or more precisely, the miners activated Segwit after they New York Agreement signatories became scared UASF would lead to a chain split which they were going to lose). And the blocksize increase was also abandoned shortly after when they realized their hard fork would cause a chain split and that they would not be able to claim that their new shitcoin is the real bitcoin.
All these people were subsequently were very pissed off they couldn't control the network, which they thought they were entitled to. Some ragequit, others created a bunch of shitcoins out of spite, Roger went on to spearhead BCH as the real Bitcoin, all these fools realized they might as well make some money off of it, everyone went all-in on the shitcoin casinos after that. The "small blockers" eventually went on to evolve into the Bitcoin Maximalists and cypherpunks that today tell you to run your own node and own your own keys.
View quoted note →
Wow! Thanks for taking the time to summarize this incredibly pivotal period.
What you describe is accurate on how things ended up. What most people seem to forget is that "Block War" did start off as a legitimate debate to address the very real problem of full blocks. Segwit / Layer 2 scaling wasn't as obvious to us pleb node runners as it was to people like Peter, Greg and Luke etc.
I don't think Roger was an "evil" person trying to destroy bitcoin, I think he actually believed he was doing what he thought best, but he turned out to be wrong. That being said, his devolving into a bitter shitcoiner scammer in the end is totally accurate and ugly. You gotta know when to admit you were wrong buddy.
Ironically, what convinced me to run a UASF node was the attempted power grab by the big blockers. Fighting against big powerful money controllers was THE main reason I got into this project, I sure as shit wasn't going to let anyone dictate how my money works anymore, whether it was with fiat or Sigwit2x.
Well, scaling isnβt solved yet with BTC.
But it also wouldn't be solved with big blocks
True
luckily the bitcoiners were saved
Can't stop now, the threat constantly exists
Very succinct and my take aggregating all the information Iβve heard as well. How hard is it going to be to keep human nature out of the decision-making at the core going to be?
You forgot those who went on to build Monero.
The blocksize war wasn't so much about the blocksize (or, even, scaling Bitcoin). It was really about who controls the consensus rules and how we upgrade the protocol.
For context, a bunch of startups raised tons of money between 2013 and 2016 based on ridiculous user sign-up projections and then we had a long and painful bear market and they were looking for scapegoats (the developpers that were "throttling the network") to justify the lack of growth. I am thinking here specifically of Coinbase, Bitpay and Blockchain.info.
The vibe I got is that they thought of Bitcoin itself as a corporation, that they were the equivalent of Bitcoin's board of directors because they represented the interest of VC investors, and thus they were entitled to decision making power over the network.
I don't doubt that a few people were genuine about scaling p2p e-cash (e.g. Roger Ver) but I suspect what really motivated them is that they believed control of the Bitcoin network would be an asset to their business interests, and lack of control was being used as an excuse to why their interests weren't being satisfied.
There was also a bunch of developers that I believe may have been afraid of losing their relevance (Gavin and Garzik specifically). Regardless of their intentions or psychology, it seemed clear to me that the consortium of vc-backed startups (particularly Bitpay, Coinbase, blockchain(.)info and Roger) had picked a team of developers they thought they could control and wanted to appoint them as a technical management team whicn would execute their strategy, and these guys were willing to step up for that role.
I was physically in the room when the CEO of Blockchain.info (with the very obvious support of Coinbase CEO Brian Armstrong) announced that Bitcoin Core devs were being fired and would be replaced. This was after a couple days of failed discussions with other industry people. This was the moment when I realized what was really going on.
And finally, you had a Bitcoin mining giant (Bitmain) controlling both asic production and mining pools with a vested interest in promoting the idea that Bitcoin was a democracy and the way to vote was to buy hashing power. The main ideology being pushed here was that a formal governance mechanism of the protocol needed to be established and that hashrate was the only objective measure of who makes decisions.
The underlying big blocker ideology was that the chaos of spontaneous consensus of nodes is unpredictable, flimsy, bad for business. The absence of a formal governance process was seen as the root cause of the issue.
These companies really believed they could control the protocol, and controlling development of the protocol was seen as a very valuable asset to your company. I imagine they thought of themselves as the founders of a new consortium that would solidify itself into a permanent institution. The business interests would pay developers and set the goals, and the mining interests would ratify their decisions with hash power voting. That was their plan.
This became blatantly obvious when Bitmain used its refusal to activate segwit as leverage to get what it wanted (a blocksize increase and recognition of its hashpower as a vote mecanism) even though Bitmain iself acknowledged it was not really opposed segwit.
It was classic traditional politics: I'll give you segwit if you give me something in return.
This is the language the VC suits, investors and tech startup people understand and they were very happy to "negotiate" and find "consensus".
This eventually materialized into the New York Agreement, negotiated literally as a backroom deal during theConsensuss shitcoin conference. I was there and I refused to attend.
This (private) meeting consecrated the alliance of startups/investors and bitcoin mining interests in their appointment of a technical management committee. If you think this sounds like Jekyll Island, you're not alone.
They packaged segwit with a blocksize increase (Segwit2x) and decided to force a hard fork as a condition to "allow" us to have Segwit.
We know the rest of the story: we ended up activating anyway via UASF (or more precisely, the miners activated Segwit after they New York Agreement signatories became scared UASF would lead to a chain split which they were going to lose). And the blocksize increase was also abandoned shortly after when they realized their hard fork would cause a chain split and that they would not be able to claim that their new shitcoin is the real bitcoin.
All these people were subsequently were very pissed off they couldn't control the network, which they thought they were entitled to. Some ragequit, others created a bunch of shitcoins out of spite, Roger went on to spearhead BCH as the real Bitcoin, all these fools realized they might as well make some money off of it, everyone went all-in on the shitcoin casinos after that. The "small blockers" eventually went on to evolve into the Bitcoin Maximalists and cypherpunks that today tell you to run your own node and own your own keys.
View quoted note →
π«‘ππ«π§‘
Bravo!
Those of you who were there during the blocksize wars. Please share your personal experiences and don't forget that the vast majority of us weren't
The blocksize war wasn't so much about the blocksize (or, even, scaling Bitcoin). It was really about who controls the consensus rules and how we upgrade the protocol.
For context, a bunch of startups raised tons of money between 2013 and 2016 based on ridiculous user sign-up projections and then we had a long and painful bear market and they were looking for scapegoats (the developpers that were "throttling the network") to justify the lack of growth. I am thinking here specifically of Coinbase, Bitpay and Blockchain.info.
The vibe I got is that they thought of Bitcoin itself as a corporation, that they were the equivalent of Bitcoin's board of directors because they represented the interest of VC investors, and thus they were entitled to decision making power over the network.
I don't doubt that a few people were genuine about scaling p2p e-cash (e.g. Roger Ver) but I suspect what really motivated them is that they believed control of the Bitcoin network would be an asset to their business interests, and lack of control was being used as an excuse to why their interests weren't being satisfied.
There was also a bunch of developers that I believe may have been afraid of losing their relevance (Gavin and Garzik specifically). Regardless of their intentions or psychology, it seemed clear to me that the consortium of vc-backed startups (particularly Bitpay, Coinbase, blockchain(.)info and Roger) had picked a team of developers they thought they could control and wanted to appoint them as a technical management team whicn would execute their strategy, and these guys were willing to step up for that role.
I was physically in the room when the CEO of Blockchain.info (with the very obvious support of Coinbase CEO Brian Armstrong) announced that Bitcoin Core devs were being fired and would be replaced. This was after a couple days of failed discussions with other industry people. This was the moment when I realized what was really going on.
And finally, you had a Bitcoin mining giant (Bitmain) controlling both asic production and mining pools with a vested interest in promoting the idea that Bitcoin was a democracy and the way to vote was to buy hashing power. The main ideology being pushed here was that a formal governance mechanism of the protocol needed to be established and that hashrate was the only objective measure of who makes decisions.
The underlying big blocker ideology was that the chaos of spontaneous consensus of nodes is unpredictable, flimsy, bad for business. The absence of a formal governance process was seen as the root cause of the issue.
These companies really believed they could control the protocol, and controlling development of the protocol was seen as a very valuable asset to your company. I imagine they thought of themselves as the founders of a new consortium that would solidify itself into a permanent institution. The business interests would pay developers and set the goals, and the mining interests would ratify their decisions with hash power voting. That was their plan.
This became blatantly obvious when Bitmain used its refusal to activate segwit as leverage to get what it wanted (a blocksize increase and recognition of its hashpower as a vote mecanism) even though Bitmain iself acknowledged it was not really opposed segwit.
It was classic traditional politics: I'll give you segwit if you give me something in return.
This is the language the VC suits, investors and tech startup people understand and they were very happy to "negotiate" and find "consensus".
This eventually materialized into the New York Agreement, negotiated literally as a backroom deal during theConsensuss shitcoin conference. I was there and I refused to attend.
This (private) meeting consecrated the alliance of startups/investors and bitcoin mining interests in their appointment of a technical management committee. If you think this sounds like Jekyll Island, you're not alone.
They packaged segwit with a blocksize increase (Segwit2x) and decided to force a hard fork as a condition to "allow" us to have Segwit.
We know the rest of the story: we ended up activating anyway via UASF (or more precisely, the miners activated Segwit after they New York Agreement signatories became scared UASF would lead to a chain split which they were going to lose). And the blocksize increase was also abandoned shortly after when they realized their hard fork would cause a chain split and that they would not be able to claim that their new shitcoin is the real bitcoin.
All these people were subsequently were very pissed off they couldn't control the network, which they thought they were entitled to. Some ragequit, others created a bunch of shitcoins out of spite, Roger went on to spearhead BCH as the real Bitcoin, all these fools realized they might as well make some money off of it, everyone went all-in on the shitcoin casinos after that. The "small blockers" eventually went on to evolve into the Bitcoin Maximalists and cypherpunks that today tell you to run your own node and own your own keys.
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Not taking any side here but it is funny to me that small blockers are ok with bitcoin trying to scale with lightning and pushing everyone into using custodial wallets, which is: not your keys, not your coins. And no privacy.
In my opinion, Lightning promised a lot and delivered little, running your own lightning node is still a pain in the ass, after 7 years and the real fees for lightning payments are nowhere near a few satoshis. Only if you use a custodial wallet you can benefit from low fees, but then again, you have to trust a third party.
Dont get me wrong, i love the Bitcoin Jungle app and use it frequently to buy stuff in CR and i congratulate you for creating it!
But i do ask myself, what advantage do i really have over using a Mastercard from Xapo Bank loaded with BTC?
The state is weak in CR, true. But still it is easy to stop all Bitcoin Jungle users from using the app and accessing their funds by just going against the Servers and Node run by Lee and the Bitcoin Jungle crew. Or do i get that wrong?
Legend