bitcoin Average transaction fees on the (BTC) blockchain have dropped below $1.00 for the first time in more than two years. With this drop, BTC could become more usable in financial systems. Here are the details you need to know.
High transaction fees in blockchain networks are especially disadvantageous for users who perform low amount transactions. For example, transaction fees on the Ethereum blockchain skyrocketed several times during the NFT trend, causing transactions to become almost clogged for casual users.
While the Bitcoin ecosystem has also suffered from high transaction fees in the past, Lightning Network and Taproot made faster and cheaper transactions possible. As of Monday, average Bitcoin transaction fees have dropped to $0.825, an amount last seen on June 13, 2020.
In addition to the released updates, many factors also affect these transaction fees, including lower transaction fees, falling market prices, and lower mining difficulty. However, the difficulty of mining a new BTC block is seeing an improvement as miners recover from prolonged chip shortages.
As the chart shows, August also marks the end of the quarterly decline in network difficulty, returning to 28,351 trillion after the dips. Thanks to consistent community efforts, the Bitcoin network continues to show the revealing signs of a healthy financial system.
Koinfinans.com As we reported, while the community and users expect every update to the network to reduce gas fees and transaction speeds, not all upgrades are coded to serve the same purpose. For example, the most anticipated Ethereum upgrade The Mergeis not focused on any feature that will reduce gas prices.
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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.