This is refreshing to hear, however the Government does not have a history of writing good code (excluding NASA) I still feel like the Government argument could be correct.
> I'd go close to calling that one a myth
Well the limit is based on size, and 7tx/sec assumes an average transaction I think.
> in fact it's intended to be tight for block space in order to create a market in which people battle for transaction fees
I remember reading Satoshi did not intend for limited blockchain space and envisioned 500GB blocks.
> 1MB is just arbitrary at the moment.
A hard fork will be required, this will not be an issue if no one complains.