How Bitcoin Fights Against Censorship

What would it cost to move one billion dollars worth of gold from America to a country like China? Besides considering the weight of the property, how easy would it be? How would censorship, both online and over the air, affect such transactions?

One way to answer the above question is that a billion dollars can be transferred from one nation-state to another without using the bitcoin network. As a guest at the Bitcoin and Lightning for Corporations event, Michael Saylor, executive chairman of MicroStrategy, said that one of the essences of bitcoin is its ability to be censorship resistant.

Moving a billion dollars worth of gold to a state like Kazakhstan “would be a chore” as one would need warships or a complicated air transport process.

The fear in doing so, he said, is that nation-states may resort to shooting down aircraft to interfere with such transactions. Bitcoin, on the other hand, can do so comfortably and anyone who dares to stop it can try; However, the probability of buying all bitcoin nodes to intercept a transaction is extremely small. “Bitcoin is now censorship-resistant; It’s a bulletproof way to move incredible amounts of value.

He added that there has never been a better and faster way to “move a billion dollars of value” in the history of mankind. However, he also believes that while “Bitcoin itself is emerging as a great technological achievement” technocrats will be won over through the use of the Lightning Network.

Importance of Lightning Network

Lightning Network is a second layer payment protocol that operates on top of the Bitcoin blockchain. This allows for fast, cheap and scalable payments between users without the need to broadcast transactions across the entire network.

The chairman said that the Lightning Network has an advantage over the traditional banking system because it uses the bitcoin network, resulting in faster and more cost-effective transactions.

While today’s banking infrastructure can take “30 to 45 days for final settlement”, using the “two and a half percent of funds” fee on the Lightning Network, transactions will take approximately 60 seconds with minimal fees. .