<p>Virtually nothing... once blockchain trimming and instant transactions built directly into the coin are implemented, which are much better ways to deal with the issue.</p>

CC BY-SA 3.0
2015-04-06T04:38:56.820Z
Bitcoin's block chain has always been able to be pruned, it's built into the design from day one. "Instant transactions" are possible with other systems around Bitcoin and are not ever going to be a feature of it.
Claris
CC BY-SA 3.0
2015-04-06T04:43:00.147Z
Pruning does not magicially give infinite space on the blockchain. The size of the blocks doesn't change with it, nor do any of its limitations go away. All it does it make not every user store every block forever.
Pieter Wuille
CC BY-SA 3.0
2015-04-06T06:17:05.923Z
Is there really a way around that? There's things like UTXO commitments but I wouldn't really call that "trimming" in any sense.
Claris
CC BY-SA 3.0
2015-04-06T21:10:37.647Z
Actually yes.. you can remove all the information but the account info say a few hundred blocks back, as well as the newest blocks, and then just keep a long chain of only block headers.  This would even satisfy miners. In my opinion it's enough.

We're working on something like this for Burst.. your average customer will only have to download something like 10kB of blockchain headers plus only the exact transactions he cares about to trustlessly be able to interact with Burst.
mczarnek
CC BY-SA 3.0
2015-04-07T04:47:39.413Z
An whoever said we were solely talking about Bitcoin.. yeah the  Bitcoin developers aren't developing a fancy coin that allows Instant Transactions.  But Burst is!!
mczarnek
CC BY-SA 3.0
2015-04-06T04:36:34.927Z
2015-04-06T04:36:34.927Z
mczarnek
<ol>
<li><p>Speed</p>
<p>An off-chain transaction can complete instantly, without waiting for confirmation.</p>
</li>
<li><p>Naming</p>
<p>With off-chain transactions, you can send Bitcoins to another user by referencing their username, rather than typing in an address.</p>
</li>
<li><p>Possibly lower transaction fees, possibly fewer on-chain transactions</p>
<p>Depending on how many transactions happen off-chain, it can save space on the blockchain. However, if there's only one off-chain transaction, it will end up consuming more space. (The coins will travel from <code>User A -&gt; Off-chain transaction provider -&gt; User B</code> instead of <code>User A -&gt; User B</code>)</p>
</li>
<li><p>(Related to #3) It makes it feasible to have lots of very small transactions. For example, you might use off-chain transactions to pay someone a microfee for every minute that you use their wifi.</p>
</li>
</ol>

CC BY-SA 3.0
2015-04-03T20:00:53.853Z
I think another big advantage is that off-chain payment-channel transactions enable micropayments.
morsecoder
CC BY-SA 3.0
2015-04-01T22:08:09.387Z
2015-04-04T19:32:47.193Z
2020-06-16T11:10:03.350Z
Nick ODell
<p>I'm trying to get a grasp on off-chain transactions, as they seem more common than I initially realized but they are not the way that I originally perceived bitcoin being used as an outsider looking in. What technical advantages exist for off-chain transactions?</p>

<transactions><off-chain>
What technical reasons exist for off-chain transactions?
Hao Cheng
# What technical reasons exist for off-chain transactions?

(Asked by: username_0 on 2015-04-01)

I'm trying to get a grasp on off-chain transactions, as they seem more common than I initially realized but they are not the way that I originally perceived bitcoin being used as an outsider looking in. What technical advantages exist for off-chain transactions?

**Tags:** transactions, off-chain


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## 2 answers

### Answer by username_4 on 2015-04-01. Score: 7 | Accepted answer

1. Speed

   An off-chain transaction can complete instantly, without waiting for confirmation.
2. Naming

   With off-chain transactions, you can send Bitcoins to another user by referencing their username, rather than typing in an address.
3. Possibly lower transaction fees, possibly fewer on-chain transactions

   Depending on how many transactions happen off-chain, it can save space on the blockchain. However, if there's only one off-chain transaction, it will end up consuming more space. (The coins will travel from `User A -> Off-chain transaction provider -> User B` instead of `User A -> User B`)
4. (Related to #3) It makes it feasible to have lots of very small transactions. For example, you might use off-chain transactions to pay someone a microfee for every minute that you use their wifi.

> **Comments:**
> **username_5**: I think another big advantage is that off-chain payment-channel transactions enable micropayments.  

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### Answer by username_1 on 2015-04-06. Score: -2

Virtually nothing... once blockchain trimming and instant transactions built directly into the coin are implemented, which are much better ways to deal with the issue.

> **Comments:**
> **username_2**: Bitcoin's block chain has always been able to be pruned, it's built into the design from day one. "Instant transactions" are possible with other systems around Bitcoin and are not ever going to be a feature of it.  
> **username_3**: Pruning does not magicially give infinite space on the blockchain. The size of the blocks doesn't change with it, nor do any of its limitations go away. All it does it make not every user store every block forever.  
> **username_2**: Is there really a way around that? There's things like UTXO commitments but I wouldn't really call that "trimming" in any sense.  
> **username_1**: Actually yes.. you can remove all the information but the account info say a few hundred blocks back, as well as the newest blocks, and then just keep a long chain of only block headers.  This would even satisfy miners. In my opinion it's enough.  We're working on something like this for Burst.. your average customer will only have to download something like 10kB of blockchain headers plus only the exact transactions he cares about to trustlessly be able to interact with Burst.  
> **username_1**: An whoever said we were solely talking about Bitcoin.. yeah the  Bitcoin developers aren't developing a fancy coin that allows Instant Transactions.  But Burst is!!  

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