MNP, the fifth-largest chartered professional accountancy and business consultancy firm in Canada, has issued a report that compares the alignment of the Bitcoin SV (Satoshi’s Vision) and Bitcoin Core (BTC) protocols with the original Bitcoin protocol. The report, titled ‘The original Bitcoin protocol: what is it and why does it matter?’, found that out of these two competing implementations, Bitcoin SV is the most representative of Satoshi Nakamoto’s original intention for Bitcoin.
MNP conducted an in-depth review of both protocols and compared them with the vision of Bitcoin defined by a wealth of source material related to Satoshi Nakamoto’s development of the original Bitcoin protocol. The source material for the review included the original Bitcoin white paper, as well as publicly available emails, forum posts and original code written by the blockchain’s pseudonymous inventor.
Bitcoin SV differs from Bitcoin Core in that it aims to restore the original vision of Bitcoin through the restoration of the original protocol. This has resulted in a network with unbounded scaling, unlimited block sizes, extremely low transaction fees, diverse data functionalities and fully-fledged scripting support. This development philosophy is ratified by the findings of the MNP report, which highlights the original definition of Bitcoin as peer-to-peer digital cash enabling fast and efficient transactions.
‘Based on our review, Bitcoin was intended to be a transaction network for digital cash to compete as a global payment system. Current implementations (Bitcoin SV and Bitcoin Core) were compared against that original vision,’ the report states.
‘Our findings indicate that Bitcoin SV is the most representative of Satoshi Nakamoto’s original intention for Bitcoin. We used an assessment framework and resulting criteria to assess the protocols described in this paper, including opcodes, Bitcoin scripting and protocol elements.’
Why BSV is closer to Bitcoin than BTC
MNP opted to compare BTC and BSV with the original Bitcoin protocol as they contrast the key attributes in realising Satoshi’s vision and show how development decisions have affected each implementation. Both these implementations of Bitcoin were assessed according to various criteria which encompassed their capabilities, functional requirements, non-functional requirements, as well as the alignment of attributes as defined by Satoshi Nakamoto’s vision of the original Bitcoin protocol.
The original vision of Bitcoin was designed as a means to sending and receiving fast and efficient digital cash transactions that solved the problem of double spending. The report notes, however, that the protocol’s underlying design demonstrates a vision of the technology acting as more than just a payment protocol.
‘The original design was intended for Bitcoin to be used for other functions (beyond mere payments) such as vending machines, paid emails, SaaS products, website activations, etc. It is clear from the forum posts, writings, and community discussions that the Bitcoin protocol was intended to scale to allow for many forms of payments. This includes macro-payments (i.e., settling an account at the end of the day) and micropayment (i.e., sending a very small fee to access a service or send a text message),’ the report states.
After inspecting this design philosophy, contextualised with discussions by Satoshi regarding the need for Bitcoin to run on a low-fee model with sustainable economic incentives, MNP found that the BSV blockchain is more aligned with the original intent of Bitcoin that BTC. This is demonstrated by its ability to process many more transactions at a lower cost, as well as its support for scripting and on-chain data storage and applications. Conversely, BTC offers extremely low transaction throughput, high transaction fees and a lack of support for opcodes available in early versions of Bitcoin.
‘Considering these factors, BSV appears more aligned to the original intention of the payment system. With an uncapped block size which can grow with market demand, a significantly larger number of transactions can be included within each block, therefore allowing higher overall network throughput,’ the report states.
Satoshi’s vision and the future of blockchain scaling
The report’s interpretation of the white paper and Satoshi Nakamoto’s code and communication reaches the same conclusion as that of the BSV ecosystem – that Bitcoin was always designed to be more than a simple electronic payment system.
‘The original vision and long-term intentions were far beyond just an electronic cash and payment system. These elements are primarily provided by the Script language and implementation details of the stable, underlying protocol,’ the report states.
It goes on to describe the potential impact of a protocol designed according to Satoshi’s vision of Bitcoin, noting that this would enable efficient, easy-to-use digital payments, high transaction throughput with full scripting support for data-intensive applications and the creation of an enterprise utility blockchain secured by robust economic incentives and capable of rivalling incumbent traditional payment and data management systems.
Bitcoin SV has already made great strides in realising this vision by continuing to restore the full capability of the original Bitcoin protocol and develop applications on top of it. Thanks to its unlimited block size and support for Turing-complete blockchain-based applications, the BSV network offers an unparalleled platform for everyone from wallet providers and merchants to enterprises and financial institutions.
The MNP report highlights the importance of a stable, secure and scalable system for realising the true potential of Satoshi’s vision, and Bitcoin SV has demonstrated its adherence to these traits through its rapid growth and adoption. Diametrically opposing BTC’s artificially limited block sizes, high transaction fees and poor throughput, Bitcoin SV has demonstrated its ability to process 50,000 transactions per second through a new implementation of its node software based on the Teranode open framework.
This impressive scalability and its commitment to maintaining its stable and reliable underlying Bitcoin protocol means that Bitcoin SV is not only the blockchain most aligned with the original vision of Bitcoin as outlined by Satoshi Nakamoto, but it is also the technology that is best positioned to realise the true potential of Satoshi’s vision.
To view the full MNP report on how Bitcoin SV and Bitcoin Core adhere to the original vision of Bitcoin, click here.