ByteTree News, Notes and Updates
Visualising bitcoin’s economic output III; Which version of bitcoin is used as a peer to peer electronic cash system?
Dec 11, 2019 | James Bennett |
This is the final part of a trilogy about visualising bitcoin’s economic output. I would suggest reading Part I and Part II to set the context. In this piece we compare the transaction value heat maps of BTC, BCH and BSV to bring more clarity to the question of which network is currently the closest to a peer to peer electronic cash system.
Challenging the Stock to Flow Model Created by Plan ₿
Nov 22, 2019 | Charlie Morris |
Plan ₿ wrote an enjoyable paper that linked the falling supply growth of bitcoin (BTC) to an increase in price using the stock to flow model (SF). “Stock” is the current number of BTC in existence, whereas “flow” is the number of new coins mined over the past year. With stock rising slowly, and flow falling quickly in the years ahead, SF will rise, and this is thought to drive the BTC price ever higher. This model can be applied to precious metals as well.
Visualising bitcoin’s economic output II; Highest density of bitcoin payments made by retail sector.
Oct 29, 2019 | James Bennett |
This is the second part in a trilogy about visualising bitcoin’s economic output. We recommend reading part I first to understand the context, which you can find here. In part two we analyse the transaction value heat maps in more detail to highlight the main types of actors contributing to the Bitcoin Economy.
Bitcoin Velocity Urges Caution
Oct 18, 2019 | Charlie Morris |
Bitcoin’s network velocity has been falling. This means that network activity has been slowing, which has historically been associated with price weakness. Velocity shows you how quickly the coins are circulating within the network. When velocity is high, say 1000%, it means an average bitcoin is circulating 10 times per year. At 450%, it is circulating 4.5 times per year. This is an average network measure, and since many coins rarely move, others are circulating at a rapid rate. ByteTree 12-week velocity calculates the coins spent (transacted net of change) on a weekly basis, averaged over 12 weeks, and expressed on an annualised basis.
Visualising bitcoin’s economic output I; Introducing the transaction value heat maps
Oct 14, 2019 | James Bennett |
This is the first part of a trilogy about visualising bitcoin’s economic output. In this article we give a brief overview of Bitcoin’s economy, introduce the transaction value heat maps and explain how you can interpret them.