Teranode realises the potential of blockchain technology

Originally published on The Fintech Times on March 18, 2024

Blockchain, heralded for its potential to transform industries, is currently undergoing a divergence from its original vision, marked by a prioritisation of speculative interests over core principles like scalability and decentralisation.

Calvin Ayre, venture capitalist and founder of Ayre Group, a global enterprise supporting real estate projects, businesses, and technologies, shares insights centered on the BSV Blockchain’s Teranode scaling solution.

The BSV Blockchain’s Teranode scaling solution will fundamentally shift how the world views blockchain technology while fulfilling Satoshi Nakamoto‘s vision for Bitcoin as a robust and secure network that can scale to meet any demand.

The current view of blockchain technology (and cryptocurrency) focuses almost exclusively on record-high fiat values of tokens like BTC (which is wrongly referred to as ‘Bitcoin’ by mainstream media). The perception of Bitcoin as ‘digital gold’ is light years from Satoshi Nakamoto’s original vision of a highly scalable platform to handle peer-to-peer electronic cash while offering safe, secure, and immutable data storage for enterprises and governments.

From inception, Satoshi envisioned a network that could scale to exceed the transaction capacity of Visa and Mastercard. Months after Bitcoin launched, Satoshi stated: “The existing Visa credit card network processes about 15 million Internet purchases per day worldwide. Bitcoin can already scale larger than that with existing hardware for a fraction of the cost. It never hits a scale ceiling.”

However, some developers betrayed this revolutionary blueprint making controversial alterations to the Bitcoin network protocol. The resulting technology (BTC) was limited to an underwhelming seven transactions per second (TPS), rendering it unfit for mass adoption, so it leveraged price and became ‘digital gold’, creating today’s reality.

The Teranode protocol upgrade is the light at the end of the tunnel, enabling the BSV Blockchain—which honours Satoshi’s original vision—to process upwards of 1.1 million TPS, dwarfing the current capacity of both Visa and Mastercard combined. Better still, it will accomplish this at a fraction of the cost.

Teranode has three main components:

• Distributed network of core nodes
• Specialisation and isolation of components and their roles
• Microtransactions, combining information and value

With Teranode at its core, BSV will be the backbone infrastructure for a global system of multiple specialised overlay networks.

The blockchain sector is notorious for overpromising and underdelivering. However, Teranode is not some whiteboard mirage that teases a technological paradise that never gets any closer.

In February, the BSV Association partnered with Aerospike, a leader in real-time, high-performance NoSQL databases, to subject Teranode to a rigorous six-month stress test ahead of its full node implementation later in 2024.

Teranode’s impact will be both dramatic and widespread. Enterprises and government agencies will finally have a secure and cost-effective next-generation platform to process and store sensitive information.

One example of Teranode’s transformative potential is as a repository of verifiable and auditable information on which new artificial intelligence (AI) applications can be trained. The net result will be large language models plagued by fewer ‘hallucinations’ that can be damaging and cause many people to lose faith in AI.

Web 3.0

Web 3.0 is another technology that has run far ahead of tangible progress, mainly because no public blockchain can handle the staggering number of individual addresses that IPv6 permits and Web 3.0 demands. Again, Teranode-enhanced BSV’s unbounded capacity will open the floodgates and finally allow these long-stalled Web 3.0 projects to move forward.

BSV blockchain further distinguishes itself from the competition through its willingness to work within existing laws and regulations. The BSV Association’s recent introduction of enhanced Network Access Rules will facilitate Digital Asset Recovery, the process by which victims of lost or stolen assets can reclaim their property via legal channels. The mantra of ‘not your keys, not your coins’ may suit ‘crypto bros’, but it’s a significant obstacle to a more inclusive financial system looking to grow beyond its clubby early-adopter roots.

Emerging technologies

I’ve always had a fascination with emerging technologies, both in my personal and professional lives. As an early Bitcoin adopter, it was hard to watch a small core of developers hijack the network for their selfish aims, redirect it onto a siding, and ultimately halt its future potential. But there is still time to reverse this trend, get Bitcoin back on its original track, finally deliver on Satoshi’s revolutionary vision.

Outside BSV blockchain, the prevailing obsession with token value is what happens when blockchains are incapable of doing anything beyond marking time. The combination of BSV and Teranode makes for some unbeatable technology.

In the past, self-interested developers forced the world to accept their degraded, proprietary version of Bitcoin, their motto was ‘don’t trust; verify’. A noble sentiment, and I don’t expect anyone reading this to take my words on faith. Investigate the reality for yourself. Take a closer look at BSV and Teranode and see if they aren’t everything, I said they are. You’ll be glad you did.

To find out more about BSV Blockchain and Teranode, visit www.bsvblockchain.org/teranode.