MachuPikacchu on Nostr: A network’s value scales somewhere between n² (Metcalfe’s law) and 2^n (Reed’s ...

A network’s value scales somewhere between n² (Metcalfe’s law) and 2^n (Reed’s law) where n is the number of users. There are tipping points and saturation points where the marginal value of each user is amplified or dampened (due to congestion) respectively.

Because Bitcoin’s model is simple and open and makes minimal assumptions about its users it can accommodate many independent networks: energy grids, monetary networks, social networks, cybersecurity, etc.

It can act as a bridge between all of these other large and valuable networks (Schelling Point). The lightning network alleviates congestion for some applications which in turn reduces dampening effects due to congestion. eCash does as well.

I’m excited to see what else we come up with to attract other networks.