Bitcoin: A Currency Beyond Earth?

Bitcoin, once a fringe idea, has become a significant player in global finance, rivaling major corporations in market capitalization. Now, a new scientific paper explores an even more ambitious application: establishing Bitcoin as the standard currency for trade between Earth and Mars.

A Universal Monetary Standard

The paper, titled "Bitcoin as an Interplanetary Monetary Standard with Proof-of-Transit Timestamping," argues that Bitcoin's inherent characteristics make it ideal for interplanetary commerce. Its scarcity, decentralized nature, and predictable issuance model are key factors.

As humanity looks to establish settlements on Mars, the challenges of cross-planetary financial transactions become apparent. The researchers propose a "Proof-of-Transit Timestamping" (PoTT) system. PoTT is a digital record that verifies when a Bitcoin transaction travels across the vast distances of space.

Bitcoin Beyond Earth's Internet

While the idea may seem futuristic, the paper highlights existing efforts to decouple the Bitcoin network from the traditional terrestrial internet. This includes using unidirectional broadcasts and alternative relay systems. Experiments involving blockchain payloads on the International Space Station (ISS) and commercial satellites demonstrate the feasibility of operating a distributed ledger in orbit.

According to the authors, the proposal is advanced enough for initial prototypes. Software engineer Michael Sullivan has praised the paper's approach.

Key Takeaways:

• Bitcoin's scarcity and decentralized nature make it a strong candidate for an interplanetary currency.
• The proposed Proof-of-Transit Timestamping (PoTT) system offers a solution for tracking Bitcoin transactions across vast distances.
• Existing efforts to operate the Bitcoin network independently of Earth's internet provide a foundation for future interplanetary applications.