Led 07

New BTCC Bitcoin Nodes Are Hosted on Amazon Web Services

Source: bitcoin

New BTCC Bitcoin Nodes Are Hosted on Amazon Web Services

People who have been following the Bitcoin news recently will remember how Chinese exchange BTCC recently deployed an additional 100 nodes on the network. By spreading out these nodes all over the world, the Bitcoin network became a bit more decentralized than before. However, all of these Bitcoin nodes are hosted on Amazon Web Services, which is kind of centralizing the effort a bit.

Also read: Will Egypt’s Banking Institutions Create Increased Bitcoin Popularity?

Amazon Web Services For Bitcoin Nodes

Regardless of how all of these Bitcoin nodes were deployed by BTCC, it is important to keep in mind the Bitcoin network is only as strong as the number of nodes actively broadcasting transactions. By spreading out these Bitcoin Nodes all over the world, the network becomes more decentralized, and taking down Bitcoin becomes even less possible.

At the same time, some community members are worried about the deployment by BTCC itself. As it turns out, a lot of these nodes have been distributed throughout the world, which is the proper decision. But at the same time, it looks like just about all of BTCC’s new Bitcoin Nodes are running on Amazon Web Services, which is a bit of a strange decision.

Not that there is anything wrong with using Amazon Web Services to deploy Bitcoin Nodes though. The web platform built by Amazon is very powerful, versatile, and scalable. In fact, AWS can be used to host a variety of different services, and they offer quite powerful hardware that is more than capable of running a full Bitcoin Node 24/7.

As one would come to expect, using AWS for hundred different Bitcoin Nodes will not come cheap, although BTCC has not unveiled any financial details regarding the deployment. Some community members feel that using AWS for this type of Bitcoin network strengthening is not the same as “actually” deploying 100 Bitcoin nodes around the world.

This all depends on how one envisions a true deployment of Bitcoin Nodes. Should individuals and companies install a bunch of plug-and-play nodes in various locations throughout the world? Or is using an online service such as AWS more than sufficient? The latter option gives it a sense of centralization though, as one company is in control of all of these additional Bitcoin nodes.

Who Will Follow BTCC’s Lead?

The big question remains who will be the next company or Bitcoin industry expert to deploy even more nodes around the world? According to the statistics provided by 21 Inc, there are slightly over 5,000 nodes in the world right now, which is still a very low number. if Bitcoin adoption is to grow around the world, the number of nodes will need to scale as well.

Now that more and more companies are focusing their efforts on creating plug-and-play bitcoin node solutions, there is no reason as to why this number will not grow over time. Even a cheap device, such as a Raspberry Pi 2, can be turned into a full Bitcoin node once provided with additional storage capabilities.

What are your thoughts on BTCC using AWS for these 100 additional Bitcoin nodes? Let us know in the comments below!

Source: 21

Images courtesy of BTCC, Shutterstock, AWS

The post New BTCC Bitcoin Nodes Are Hosted on Amazon Web Services appeared first on Bitcoinist.net.

New BTCC Bitcoin Nodes Are Hosted on Amazon Web Services

Share
Led 05

HSBC Online Banking Outage Showcases Bitcoin Network Strength

Source: bitcoin

HSBC Online Banking Outage Showcases Bitcoin Network Strength

Earlier today, the entire online banking platform of popular institution HSBC became inaccessible, leaving millions of customers without access to their finances in an online manner. While technical issues can happen at any time, it is the second time in as many days this type of event has transpired. The Bitcoin network, powered by blockchain technology, has never gone down in its near seven years of existence.

Also read: Blockchain Commuication Could Replace Email, IM, add Trustless Security

HSBC Online Banking Has Serious Issues

For most consumers, online banking is the go-to form of accessing financial services in this day and age of digital products and online services. However, once that service becomes inaccessible to millions of users, chaos ensues. To make matters even worse, this issue has been plaguing the banking giant for two days in a row now.

Oddly enough, the HSBC mobile banking services are not affected by this outage. Not every bank customer wants to use their mobile device to check their balances and complete transactions, however. As long as the personal banking portal remains inaccessible, users will not be able to log in through their laptop or computer.

One of HSBC’s spokespeople stated that:

“There is a complex technical issue with our internet banking systems, and our IT team has been working nonstop since yesterday morning to find a solution. This has involved many tests, diagnostics and trial runs. We are getting closer to solving the problem, but are not there yet. We can, however, confirm this is not a cyber-attack or any other malicious act. ”

While it is positive to note this has nothing do with a cyber-attack, the problem needs to be resolved sooner rather than later. Furthermore, HSBC’s reputation had been taking major hits last year, when the bank had to process roughly 275,000 transactions later than expected due to a different internal failure. Among those late transactions were several wage payments between companies and employees.

Despite last year’s promises from the overarching Royal Bank of Scotland to revamp its computer system, it looks like there is still a lot of work to be done. HSBC customers can only hope their bank decides to start offering reliable online banking services in the near future.

Bitcoin Network Has No Downtime

One of HSBC’s major competitors is not suffering from these major accessibility issues. The Bitcoin network, which has been around for close to seven years now, has never had a single day of downtime. Despite some technical fixes that had to be applied throughout the years, the network has always been accessible to people from all over the world.

Bitcoin provides financial services to anyone who wants it, regardless of which bank they use or their credit history. Digital currency is a new form of payment that works on a global scale and is always available to check balances or send and receive transactions. In fact, a lot of big banks are looking to copy Bitcoin’s technology, although it is doubtful they will be able to offer a similar service.

What are your thoughts on online banking outages? How can these be prevented, other than by using blockchain technology? Let us know in the comments below!

Source: Telegraph UK

Images courtesy of HSBC, Shutterstock

The post HSBC Online Banking Outage Showcases Bitcoin Network Strength appeared first on Bitcoinist.net.

HSBC Online Banking Outage Showcases Bitcoin Network Strength

Share
Led 01

Bitcoin Network Stats Show Block Time Is Back To Normal

Source: bitcoin

Bitcoin Network Stats Show Block Time Is Back To Normal

Just a few days ago, there was some concern among the Bitcoin community regarding how fast new blocks were being mined on the network. In a normal world, the time between Bitcoin blocks is roughly 10 minutes. Earlier this week, however, blocks were being found in under six minutes, thanks to a major network hashrate increase. Based on today’s Bitcoin network statistics, everything is back to normal.

Also read: John McAfee Doesn’t Think Bitcoin Is The Digital Currency Of The Future

Major Hashrate Increase Leads To Faster Blocks

The Bitcoin network heavily depends on the amount of hashpower used to generate new coins and validate transactions. Every now and then, that total hashrate will either drop or increase significantly. These types of movements will have an impact on the Bitcoin block time, which is the time required to generate a new block with confirmed transactions on the network.

A few days ago, the Bitcoin network saw a major hashrate increase, as BitFury deployed their new mining chip on the network on a large scale. Thanks to this chip’s performance and lower energy requirements, incredible computational power can be achieved. Directing such a power at the Bitcoin network caused a bit of unrest among the miners, as the block time on the network started decreasing, and came pretty close to the five-minute mark at one point.

It goes without saying that, while faster block times also means faster transaction confirmations, such a situation is a double-edged sword. Rapid validation of Bitcoin transactions can lead to security issues as these validations could come from one minor attempting a 51% attack on the network. If such an attack were to be successful, the Bitcoin blockchain would split in two, rendering a lot of transactions invalid.

However, it turned out that fear among the Bitcoin miners was a bit premature, as no miner or mining pool got anywhere near a 51% attack during this brief period of faster block generation. By the look of things, the new hashpower pointed at the Bitcoin network was spread out among mining pools in an even fashion.

One thing to keep in mind is how the Bitcoin network is affected by a difficulty coefficient, which will scale depending on the total amount of hashpower pointed at the network. If there is more hashpower, the difficulty will increase, and the block times will return to their regular 10-minute interval schedule without any issues. That difficulty adjustment has taken place, and things seem to be back to normal.

Network Statistics Confirm Block Time Is OK

Every day, a bot posts the latest Bitcoin network statistics on /r/Bitcoin, displaying the total amount of BTC in circulation, the current difficulty, and the average block time. Based on the statistics posted a few hours, the average time until a new block is found on the Bitcoin network is back to its regular interval, as it currently sits at 10 minutes and 4 seconds.

The difficulty adjustment did its work flawlessly once again, as the total amount of hashpower pointed to the network is still well above 700 petahash.  If this trend of adding more hashpower keeps up, another upward difficulty adjustment will follow in a few days. Scalability is an integral part of the Bitcoin network and goes much further than just the block size itself.

What are your thought son the current Bitcoin network statistics? Do you expect a major hashpower increase throughout 2016? Let us know in the comments below!

Source: Reddit

Images credit of BitFury, Shutterstock

The post Bitcoin Network Stats Show Block Time Is Back To Normal appeared first on Bitcoinist.net.

Bitcoin Network Stats Show Block Time Is Back To Normal

Share