Bitcoin Transaction Fees Are Up More Than 1200% in Past Two Years – Bitcoin News

Bitcoin Transaction Fees Are Up More Than 1200% in Past Two Years

Bitcoin transaction fees are up 1289% since March two thousand fifteen as Bitcoin transaction volume in two thousand seventeen approximates $250 million per day or about $180,000 per minute. That represents a 55% increase over two thousand sixteen and 173% over 2015. Bitcoin has added $10B to its market cap over the last year and presently processes three transactions per 2nd.

While Bitcoiners aren’t paying for bitcoin transactions like they did in May 2016, when bitcoin transaction fees peaked, one hundred seventy one bitcoins in fees still went to miners on February 15. Yet the Bitcoin network resumes to grow, transacting upwards of half-a-billion USD so far this year. Bitcoin’s 30-day moving average has moved towards the $1,000 mark.

Bitcoin’s Total Transaction Fees Two/17/17.

The peer-to-peer (P2P) bitcoin exchange, Localbitcoins, has seen constant growth via its existence, with reports of enlargened request for P2P trade where there is economic turmoil or capital controls.

“[Localbitcoins] grows at fairly stable, predictable tempo,” founder Jeremias Kangas tells Bitcoin.com. “In some countries where inflation is high with big differences in currency exchange rates – like Nigeria, Venezuela and others – the rate at which bitcoins are exchanged can be fairly different from what the official rates into fiat are. So, bitcoin might be a more and more relevant instrument to get the actual value of a specific currency in the future.”

Some call Localbitcoins volume “light” overall but note it’s displaying strong growth.

Bitcoin Transactional Volume 2017.

The enlargened request, however, has shoved Bitcoin up against its block size limit.

Bitcoin Median Confirmation Time Two/17/17.

This has resulted in a two-tier bitcoin transaction process wherein miners consider high transaction fees high priority and low transaction fees low-priority.

Underpaid transaction fees can result in bitcoin transactions stalling. At the time of writing, there were more than 67,000 such transactions backed up in Bitcoin’s mempool, which helps the network record transactions.

Many online exchanges treat transaction fees themselves so their users love high priority transaction speed. Those who host their own clients, however, could see a bitcoin transaction held up.

The most significant indicator of transaction fees is how large that fee is when compared to the amount of space a transaction comprises on the blockchain. Called ‘fee/size’, this measurement is taken in satoshis per byte. Bitcoin transactions comprise on average around two hundred twenty six bytes of space. The current fee level for a three block wait transaction confirmation time is one hundred satoshis per byte.

Thus, for a quick transaction, you must pay 0.00022600 bitcoins, or around 0,25 USD.

Once a transaction is sent, it can be monitored through a block explorer like Tradeblock or Blockchain.info. To find your transaction, you will need to know the transaction ID, often visible in a Bitcoin wallet’s transaction history.

21 Inc. has bought the service Cointape and rebranded it into a device listing current estimated confirmation times for transactions based on different fee sizes.

What do you think about the current Bitcoin fee transaction environment? Let us know in the comments below.

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