Adam Back, an early Bitcoin developer and co-founder and CEO of Blockstream, has weighed on the debate about what he calls “JPEG Spam” on Bitcoin Blockchain.
Back arguing that it undermines the core purpose of cryptocurrency Thread on x (formerly twitter) On Friday.
Bitcoin should be considered “owned by humanity” with developers who act as “stewards” who require user consensus to change the network materially, Back said. This principle, he added, was reinforced during the block size in 2015–2017, when user -led financial pressure prevented miners from pushing through protocol changes.
Back to the aim of the wave of JPEG inscriptions -overview that is stored directly on Bitcoin through the taproot upgrade and the ordinals as it helped spawn.
The number of JPEGs embedded in Bitcoin’s headbok has risen from 88 million in May to 105 million in September, an increase of 20%. Fees tied to these inscriptions a total of approx. 7,000 BTC (777 million dollars).
Bitcoin’s Core Mission
Supporters of the development enabled by the Taproot upgrade, such as ordinals, argue in the meantime that as long as users are willing to pay for block space, they are a valid use of the network.
As a permission -free system, there should be no dictation of what Bitcoin can and cannot be used for, as this goes against the ethosen of decentralization on which it was built.
Furthermore, the “JPEG spam” also strengthens the financial incentive for miners to maintain the Bitcoin network, which can become increasingly important when the block reward they receive is reduced by 50% every four years.
While miners benefit from higher fees, the back argues that the effect is minimal when the hash rate has risen and the costs are incorporated. He estimated that JPEG inscriptions can contribute only 0.1% to mining, far offset by potential reputation damage, higher transaction costs for ordinary users and reduced accessibility peer-to-peer money system.
Divided society
The problem is therefore a divisive question in the Bitcoin community.
Supporters consider inscriptions as legitimate economic activity and the use of blockchain. Critics, including back, say they are wasting blocked space and displacing activity that strengthens Bitcoin’s value proposition.
Back, possible remedies, including outreach to miners and pools, flowed to deter the treatment of such transactions and changes at wallet -level that could control fees against those who reject them. While warning of centralization risks suggested that even small economic nudges could make mining JPEG Inscriptions unpaid.
Read more: The Bitcoin debate on looser data boundaries brings the divisive ordinals to mind
