Why Nick Szabo’s Micropayment Skepticism Doesn’t Apply to Bitcoin
Micropayments are no longer a thing of the past, thanks to Bitcoin and the Lightning Network. Jared Nusinoff, the founder and CEO of Mash, a Bitcoin- and Lightning-Network-based micropayments platform, argues that the old notion that micropayments don’t work is outdated.
Nusinoff is tired of hearing about Nick Szabo’s 1999 article, “Micropayments And Mental Transaction Costs,” which is often cited to argue that micropayments are not feasible. He believes that with Bitcoin and the Lightning Network, micropayments are now possible and practical.
Many skeptics of micropayments refer to failed attempts at creating a digital currency similar to Bitcoin, such as the eCash payment system by David Chaum’s Digicash in the ’80s and ’90s. However, Nusinoff argues that these failures are not indicative of the feasibility of micropayments.
Nusinoff believes that the Lightning Network, a second-layer solution built on top of the Bitcoin blockchain, has made micropayments possible. The Lightning Network allows for instant and low-cost transactions, making micropayments practical for the first time.
Mash, Nusinoff’s micropayments platform, is built on top of the Lightning Network. The platform allows users to make micropayments for digital content, such as articles, videos, and music. Nusinoff believes that the Lightning Network and platforms like Mash will revolutionize the way we consume digital content.
In conclusion, Nusinoff argues that the old notion that micropayments don’t work is outdated. With Bitcoin and the Lightning Network, micropayments are now possible and practical. Platforms like Mash are leading the way in revolutionizing the way we consume digital content.