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Block rewards will eventually be replaced by transaction fees, meaning that to keep transaction fees low, transaction volume needs to be high. If most transactions aren't taking place on the Bitcoin network, then either transaction fees will have to increase to incentivize miners, or the security of the network could be jeopardized.

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latchkey|3 years ago

Security won't be jeopardized because of PoW difficulty adjustments. The 'fear' here is that say 50% of the hashrate turns off, difficulty adjusts... and then it all turns back on and attacks the network.

That won't happen as long as mining is as decentralized as it is today. Saying that 'China' controls the hashrate is wrong because it isn't 'China'... it is a bunch of smaller individuals and they are acting in their own best interests. Attacking the network wouldn't help them at all.

AA covers this in a video:

https://www.youtube.com/watch?v=KUd8ZGgm6Qo