won't bitcoins stop Working?

[1funnygame]

so if bitcoins get harder and harder to process being sent to another user (it says that on the wiki) and if everyone starts using bitcoins and trade them often (like money) won't it take ALOT of processing power to do these huge number of transfers at ever increasing difficulty, and what's in it for the person who transfers will he have to get ever more bitcoins to transfer and won't the system eventually not be able to handle it and burn out or am i overestimating something or not understanding something someone please explain?

and if it will burn out how long do you think that will take?

(also to some comments i never said mine i mean the transfer method of bitcoins from one person to another getting harder if it is transferred often because it requires someone to process it)

[Morfy]

It's expected by 2015 bitcoins will run out, getting harder and harder to mine, reaching a stop.

[1funnygame]

It's expected by 2015 bitcoins will run out, getting harder and harder to mine, reaching a stop.

i know that i mean the chain of every transfer ever made won't that get harder to process transfers with?

[ProGearUk]

I do think that bitcoin will burn out one day in the next few years but not before regulation tears the shit out of it with tax laws and money laundering laws that will just ruin the anonymity of the currency as well.

[1funnygame]

I do think that bitcoin will burn out one day in the next few years but not before regulation tears the shit out of it with tax laws and money laundering laws that will just ruin the anonymity of the currency as well.

so how on earth is bitcoin a viable currency is it just a get rich scam method now or Something?

[ProGearUk]

so how on earth is bitcoin a viable currency is it just a get rich scam method now or Something?

I don't think it was ever meant to be a permanent thing. It is just a get in get rich get out scheme for a lot of people I think.

[SteepGnomeKing]

I'm confused as to what your saying.

Mining bitcoins takes processing power.

Transferring bitcoins does not.

[ProGearUk]

I'm confused as to what your saying.

Mining bitcoins takes processing power.

Transferring bitcoins does not.

He is saying because the difficulty to mine bitcoins increases won't there become a point where it is just too hard to mine the bitcoins and the currency just dissolves.

[RuecanOnRails]

First bitcoins will not "run out" their market cap is 21 million "coins" That date will happen in the year 2140. Even after that day, every transaction has a small fee which goes directly to the miners that will allow mining to still occurl.

 

You can read through the wiki's to understand it better but here's a quick break down.

 

Bitcoins half in output every 4 years (started at 50 per block now it's 25) It also follows a very strict target amount of coins to be released in a time period. Every block has a target time of 10 minutes to solve. Every 2016 solved blocks the difficulty is adjusted to ensure that the target is being met.

 

As hash power is increased the network is able to solve blocks faster than the target of 10 minutes. Bitcoin then corrects itself by increasing the difficulty to bring the total time back to 10 minutes. In addition it also adds a little more to over correct for the extra coins that were solved to bring the 2140 target back as well.

The same goes the other way, if all of the sudden a lot of mining power disappears and the blocks take longer than 10 minutes to solve, the difficulty will be adjusted downward.

 

 

There is no issue of coins running out, or it becoming to hard to mine. The network adapts to changes to keep everything on track to continue meeting target times. The main issue to date are the ASICS which are currently causing slightly more centralization due to their scarcity and only a handful of people having access to them. This is only an issue until ASICS are more widespread and easy to get. Currently the only way to get an ASIC is to be put on a several month waiting list.

 

 

Now the issue of transactions getting too big, that issue is likely related directly to the size of the blockchain itself. More transactions per block will increase the size of the blockchain which is currently 10GB for 4 years of data. By the time we run into storage issues, storage should be cheap and abundant enough where even a 1TB blockchain won't be much of a problem.

 

 

If I missed what you're saying entirely please rephrase and I will clarify or answer further.

 

You can give this a read if you like, might explain a few things you previously didn't know or understand.

http://bitcoin.org/bitcoin.pdf

[pGuerrerox]

First bitcoins will not "run out" their market cap is 21 million "coins" That date will happen in the year 2140. Even after that day, every transaction has a small fee which goes directly to the miners that will allow mining to still occurl.

 

You can read through the wiki's to understand it better but here's a quick break down.

 

Bitcoins half in output every 4 years (started at 50 per block now it's 25) It also follows a very strict target amount of coins to be released in a time period. Every block has a target time of 10 minutes to solve. Every 2016 solved blocks the difficulty is adjusted to ensure that the target is being met.

 

As hash power is increased the network is able to solve blocks faster than the target of 10 minutes. Bitcoin then corrects itself by increasing the difficulty to bring the total time back to 10 minutes. In addition it also adds a little more to over correct for the extra coins that were solved to bring the 2140 target back as well.

The same goes the other way, if all of the sudden a lot of mining power disappears and the blocks take longer than 10 minutes to solve, the difficulty will be adjusted downward.

 

 

There is no issue of coins running out, or it becoming to hard to mine. The network adapts to changes to keep everything on track to continue meeting target times. The main issue to date are the ASICS which are currently causing slightly more centralization due to their scarcity and only a handful of people having access to them. This is only an issue until ASICS are more widespread and easy to get. Currently the only way to get an ASIC is to be put on a several month waiting list.

 

 

Now the issue of transactions getting too big, that issue is likely related directly to the size of the blockchain itself. More transactions per block will increase the size of the blockchain which is currently 10GB for 4 years of data. By the time we run into storage issues, storage should be cheap and abundant enough where even a 1TB blockchain won't be much of a problem.

 

 

If I missed what you're saying entirely please rephrase and I will clarify or answer further.

 

You can give this a read if you like, might explain a few things you previously didn't know or understand.

http://bitcoin.org/bitcoin.pdf

good answered, well explained.

thanks!