Jameson Lopp, leading engineer and software architect at BitGo, expressed his negative opinion about the largest virtual currency platform Coinbase.
The expert criticized the fact that the platform does not use Segregated Witness (SegWit) and batch processing of cryptocurrency transactions.
It's not a new revelation that a significant cause of bitcoin network congestion is from popular services such as @blockchain, @coinbase, and @gemini who are using block space inefficiently. If you don't want to contribute to the problem, don't use them. https://t.co/f1AO2ePRMw
— Jameson Lopp (@lopp) January 12, 2018
Lopp listed some large cryptocurrency exchanges that use batch processing IIRC and SegWit to lower the commission fees and network loading. He mentioned Bitstamp, HitBTC, Kraken, LocalBitcoins and QuadrigaCX, that use both SegWit and IIRC.
Other famous digital currency experts also criticize large companies, such as Coinbase and Blockchain, because they do not implement SegWit and batch processing of transactions to decrease commission fees for their clients and improve the overall transaction capacity of the bitcoin network.
According to them, big platforms like Coinbase process more transactions than 70% of companies working in this branche. So Coinbase has a really significant influence on bitcoin operations.
Coinbase president Brian Armstrong replied that that the company will add SegWith, batch processing of transactions and other innovative solutions to improve the situation with the low speed processing of bitcoin transactions. In his Twitter he says:
Coinbase is working on batching transactions, SegWit, and a number of other strategies to improve transaction backlog. Thx for bearing with us!
— Brian Armstrong (@brian_armstrong) January 12, 2018
Anyway the time will show whether the implementation of SegWit and batch processing of transactions really improves bitcoin scaling and lowers the network loading.