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jimmysong
Member since: 2023-02-03
jimmysong
jimmysong 21h

Generating true entropy is really, really painful. Rolling dice 100 times, or flipping coins 256 times is not easy. It also doesn't help that most people have the attention span of i. I've argued in the past that the easiest entropy is very thoroughly shuffling a deck of cards and using the first 40 or so cards. I actually coded this feature into Armory back in the day. The problem with that one is it's not so easy to convert those cards to a seed phrase, at least without some hardware device. Still, it's better than the hardware generating the seed phrase on your behalf.

jimmysong
jimmysong 1d

If you're going to do dicerolling and creating your own seedphrase, go the whole way and do it in a room with no windows and no recording devices (including phones) and back up straight to metal plates.

jimmysong
jimmysong 2d

If you want to be taken seriously, make serious predictions and own up to the predictions you got wrong. It's amazing how few people do this.

jimmysong
jimmysong 3d

Talk is so incredibly cheap now and debased to the point of near-irrelevance. Make talk great again.

jimmysong
jimmysong 5d

Zap this post for 2000 sats and get the full newsletter straight to your Nostr DM! For free subscribers: Everything is Private Equity, Post-Scarcity as the Beast of Revelation, Leverage Research Cult Story, China's Housing Collapse, Putin's Ukraine Strategy and more! For paid subscribers: Signature Aggregation BIP for CISA, OP_PLENTY Data Encoding vs BIP110, Bitcoin Inquisition Tests 7 Soft Forks on Signet, Wavelength AI-Agent Lightning Payments, BOLT12 Self-Verifying Zaps, Mochi Lightning Creator Platform, XXI/Tether Merger Collapses, Clams v1 Bitcoin Accounting, Wasabi Finally Defaults to Taproot, Brewery Mining Bitcoin, Blockvase, BIP 54 on RegTest, Saylor's Broken Promise and more! #Bitcoin Tech Talk #511 https://jimmysong.substack.com/p/bitcoin-tech-talk-511

#Bitcoin #511
jimmysong
jimmysong 6d

The problem with extremes is that the middle, which is most likely to happen, rarely gets explored.

jimmysong
jimmysong 8d

The weirdest game theory incentive for BIP110 is that the more people want to dump BIP110 coins, the more transactions they'll add to the BIP110-chain which presumably will have much lower hash rate. Eventually, the large backlog of transactions will cause higher fees and with it, more incentive for miners to mine that chain. Depending on the price ratio, this still requires a huge amount of fees to motivate miners to switch. For example, if the price ratio is 10:1, then fees will have to take up 28.125 BTC (28.125 + 3.125~31.25) on the BIP110 chain for similar profits. Which is 28125 sats/vbyte average for the block, which is really, really high, but that's what it'll cost to dump coins at that ratio. Higher ratios require even more fees and lower ratios require less. tl;dr The more people dump BIP110 coins the more miners are incentivized to mine the BIP110 chain.

jimmysong
jimmysong 8d

I honestly wonder how exchanges will handle things come BIP110. I suspect most of them will do nothing, but there's a non-zero chance of some serious headaches in that case.

jimmysong
jimmysong 10d

Waiting is hard, especially when there are lots of people shouting at how important it is to act now. That's basically what holding is like and it's not so easy.

jimmysong
jimmysong 11d

Here's a pathological scenario: Let's call the BIP110 enforcing chain Coin A and the non-enforcing chain, which very well may be longer, Coin B The two chains split. Coin A trades at 100:1 Coin B. Miner buys 1000 Coin A for 10 Coin B and then starts mining on the BIP110-enforcing chain afterwards. Coin B chain get wiped out when enough miners do this and the BIP110-enforcing chain gets longer than the non-enforcing chain. Not only did the miner gain 1000 BTC on the now single chain, the 10 BTC that was spent is returned because it's no longer a valid tx on the now-single chain! Game-theory wise, this is extremely profitable, depending on the price ratio. For me, this will be a test of how optimized for game theory miners are.

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