January 31, 2023

The total fees on the Bitcoin network exceeded $ 1 billion

Yesterday, October 30, the total amount of commissions for transactions in the blockchain of the first cryptocurrency, in the entire history Bitcoin's existence exceeded $ 1 billion.

“This milestone in the development of Bitcoin is very important, becauseit shows how much people value space in blocks. And people do not regret these commissions, because commissions develop the blockchain, ”said Bryan Aulds, the founder of Billfodl wallet.

If you count at the current rate of bitcoin,then the size of commissions is much larger. According to the Coin Metrics portal, since 2009, miners have earned 204,808.3479 BTC on commissions, which at current prices is about $ 1.86 billion.

Moreover, the annual volume of commissions in recentyears are declining due to the introduction of scaling solutions - SegWit and Lightning Network. But over time, they will become more important due to a decrease in rewards to miners for adding blocks.

“Now block rewards provide securitynetwork. We need to understand that subsidizing miners through inflation will be replaced by subsidies from people who will pay for transactions, ”said Jameson Lopp, Technical Director of Casa Startup.

He also noted that commissions are necessary forin order to withstand spam attacks or DDoS networks. If there is no commission for adding transactions to the block, attackers will be able to generate “empty” operations in order to score the blockchain.

Another useful feature of commissions is the appointmenttransaction priority. If someone wants to write down their information faster on the blockchain, then he pays an increased commission, and the transaction receives an increased priority and processing speed.

With a decrease in rewards for mining blocks to minersYou’ll have to take into account fluctuations in transaction fees. Brian Olds believes that another 10-13 years of the current reward scheme for miners will be enough, and then they will have to rely on transaction fees.

Earlier, independent Bitcoin developer Tamas Blummer stressed that the cost of transactions in BTC is growing and now stands at about 2.1% per annum.