Perhaps it's just me, but if people aren't running nodes now, I don't see how lowering the block size would encourage more people to run nodes. Storage prices are no longer a limiting factor, and this would serve to further push onchain fees higher.

People just don't care enough.

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Agreed👍

It's not only storage that's the issue, the utxo set is stored in memory, larger blocks expand the utxo set at a faster rate. The larger utxo set size the more processing power is needed to validate each block which increases the cost to run a node.

Nodes shouldn't be encouraged to bloat the utxo set 🤓

There are more Monero nodes than BTC nodes.

And more products able to be bought with it. I.e the actual market and not just financial speculation.