Author Topic: The limitations of BitsharesX vs Bitcoin  (Read 6112 times)

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Offline bytemaster

The limits of our "testing" are 10 Transactions per second....
The limits of our protocol which forks weekly at this point in time are "unknown" rather than non existent. 
The size of our block-chain will grow at a rate similar to Bitcoin for equal transaction volumes.
Light weight clients are possible.

The question is perhaps poorly phrased:  Bitcoin could easily be hard-forked to support 1000 transactions per second, but then it would become fully centralized and everyone would have to use light weight clients.

Bitshares could also support 1000 transactions per second, but the centralization would be tempered by delegate approval. 

Our blockchain has a larger "on-disk" and "in memory" footprint that Bitcoin-Core because we have more indexes generated from the blockchain data itself. 

For the latest updates checkout my blog: http://bytemaster.bitshares.org
Anything said on these forums does not constitute an intent to create a legal obligation or contract between myself and anyone else.   These are merely my opinions and I reserve the right to change them at any time.

Offline questionsquestions

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In BTSX exchange you always "get what you ask for" in the exchange... ie: if you are willing to pay X per Y then you will pay X for all Y even if some Y are available for less than X.   This prevents front running and encourages traders to trade on value rather than technicals.   If you want a "market order" that will have to be done slowly via multi-step process.

Ok, that makes sense. What about the other questions? I find it slightly hard to believe:

Basically BitShares has no limits lol

however well thought-out and implemented Bitshares may be.

It generally makes it easier to convince people of the merits of a system if you can also indicate its short-comings. Bitcoin has plenty of shortcomings, but it does have the benefit of the network effect.

I'd appreciate if anyone can provide any more detailed answers to the questions I've asked.

Thanks once again.

Offline bytemaster

In BTSX exchange you always "get what you ask for" in the exchange... ie: if you are willing to pay X per Y then you will pay X for all Y even if some Y are available for less than X.   This prevents front running and encourages traders to trade on value rather than technicals.   If you want a "market order" that will have to be done slowly via multi-step process.


For the latest updates checkout my blog: http://bytemaster.bitshares.org
Anything said on these forums does not constitute an intent to create a legal obligation or contract between myself and anyone else.   These are merely my opinions and I reserve the right to change them at any time.

clout

  • Guest
I've been doing more digging around the wiki and I've come up with some questions I cannot find satisfactory answers to. Could someone outline and honest and realistic appraisal of the limitations of Bitshares vs Bitcoin? Specifically;

  • Scalability: Bitcoin suffers from a maximum theoretical limit of 7.2 transactions-per-second (without a hard fork). While the current traffic hasn't reached anywhere near this number, if Bitshares were to take off it is entirely possible that the number of transactions would grow rapidly. So;

    • What's the maximum number of transactions Bitshares can accommodate in a block?

    We have already tested 10 tps. Theoretically DPOS can scale to the size of visa and cost the network a few million dollars as opposed to a few hundred million dollars with Bitcoin and a few billion dollars in the case of visa.
    • Does Bitshares have the ability to scale the size of blocks to accommodate growth
    Yes
    • How large is the blockchain in Bitshares likely to be vs Bitcoin? Bear in mind that Bitcoins full blockchain is running at ~30 GB currently
    It is currently ~500mb. The blockchain size is not really a problem. The average user will not have to download the whole blockchain in the future.
    • How will a large blockchain affect new clients entering the eco-system? Bitcoin offers work-arounds such as SPV and server based offering such as Electrum - how does Bitshares accomodate this?
    Expect an SPV over the course of the next 2-3 months.
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  • Fees: The fee structure appears to be a mandatory minimum 0.5 BTSX / operation. Fees do not appear to be refunded in the event of a cancellation

    The mandatory transaction relay free is 0.1 BTSX not 0.5 BTSX. 0.5 BTSX is the default setting in the wallet.

    • Can fees be varied if the value of BTSX grows? Bitcoin suffers from its own success in this regard. Transactions fees are generally 0.0001 BTC, which when Bitcoin was circa 1000 USD was the equivilent 10 cents just to send any value through the system. This made micro-payment scenarios uneconomical vs incumbent solutions like credit cards. NB: Floating fees aimed to address this, but Gavin Andressen indicated that in some cases the transaction fees would actually go up rather than down.

    Delegates can set fees. The fees in all of these systems can be changed.

    • Through the distributed exchange mechanism - is it possible to receive a rebate for a cancelled trade? For example; a limit order isn't filled

    I suppose this is possible but it is counterproductive. When you make a transactions you are assessed a fee to pay for the cost of broadcasting and storing that transaction. The exchange doesn't take a percentage from each trade like other exchanges, so you are saving a lot more money than you realize even if you place an order and have to cancel it.
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  • Distributed Exchange:
    • Do the market orders pay the exact price offered by a BUYer, or do they cross over the order-book ala Bitstamp? For example; I want to buy 10 BITUSD, there are 5 on offer at 1 BTSX each and 5 on offer at 2 BTSX each. If I make a limit order and offer 15 BTSX, do I end up with 10 BITUSD (5 BITUSD @1 BTSX each and 5 BITUSD @2 BTSX each) or 7.5 BITUSD - meaning I pay 2 BTSX each for each BITUSD, until all 15 of my BTSX are consumed?

    You get exactly what you ask for. So if you ask for 10 BitUSD @ 1BTSX/bitUSD (cost of 10 btsx), then the market buys 5 bitUSD @ 2btsx/bitusd (cost of 2.5 btsx) and 5 bitUSD @ 1btsx/bitusd (cost of 5 btsx), gives you 10 bitusd and pockets the remaining 2.5 btsx as a market fee.

    • Is it possible to create a market order to buy or sell assets? For your average consumer who just wants to move wealth in and out (akin to normal forex transfers), a limit order would mean waiting around for it to fill or paying above market price?

    A market order is just buying at lowest ask or selling at the highest bid. You can obviously do that now...
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Anything else that paint a true picture of the limitations of Bitshares.

Thanks for all the responses.

Basically BitShares has no limits lol

Offline questionsquestions

  • Jr. Member
  • **
  • Posts: 39
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I've been doing more digging around the wiki and I've come up with some questions I cannot find satisfactory answers to. Could someone outline and honest and realistic appraisal of the limitations of Bitshares vs Bitcoin? Specifically;

  • Scalability: Bitcoin suffers from a maximum theoretical limit of 7.2 transactions-per-second (without a hard fork). While the current traffic hasn't reached anywhere near this number, if Bitshares were to take off it is entirely possible that the number of transactions would grow rapidly. So;

    • What's the maximum number of transactions Bitshares can accommodate in a block?
    • Does Bitshares have the ability to scale the size of blocks to accommodate growth
    • How large is the blockchain in Bitshares likely to be vs Bitcoin? Bear in mind that Bitcoins full blockchain is running at ~30 GB currently
    • How will a large blockchain affect new clients entering the eco-system? Bitcoin offers work-arounds such as SPV and server based offering such as Electrum - how does Bitshares accomodate this?
-
  • Fees: The fee structure appears to be a mandatory minimum 0.5 BTSX / operation. Fees do not appear to be refunded in the event of a cancellation

    • Can fees be varied if the value of BTSX grows? Bitcoin suffers from its own success in this regard. Transactions fees are generally 0.0001 BTC, which when Bitcoin was circa 1000 USD was the equivilent 10 cents just to send any value through the system. This made micro-payment scenarios uneconomical vs incumbent solutions like credit cards. NB: Floating fees aimed to address this, but Gavin Andressen indicated that in some cases the transaction fees would actually go up rather than down.
    • Through the distributed exchange mechanism - is it possible to receive a rebate for a cancelled trade? For example; a limit order isn't filled
-
  • Distributed Exchange:
    • Do the market orders pay the exact price offered by a BUYer, or do they cross over the order-book ala Bitstamp? For example; I want to buy 10 BITUSD, there are 5 on offer at 1 BTSX each and 5 on offer at 2 BTSX each. If I make a limit order and offer 15 BTSX, do I end up with 10 BITUSD (5 BITUSD @1 BTSX each and 5 BITUSD @2 BTSX each) or 7.5 BITUSD - meaning I pay 2 BTSX each for each BITUSD, until all 15 of my BTSX are consumed?
    • Is it possible to create a market order to buy or sell assets? For your average consumer who just wants to move wealth in and out (akin to normal forex transfers), a limit order would mean waiting around for it to fill or paying above market price?

Anything else that paint a true picture of the limitations of Bitshares.

Thanks for all the responses.