Bitcoin Fees Have Reached a 20-month High as Miner Income Match the $69k BTC Price

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Last Updated on December 18, 2023 by Bitfinsider

As the cost of transferring BTC rises, opinions on Bitcoin on-chain transaction fees are divided.

According to BitInfoCharts, the average transaction fee was approximately $40 as of December 17.

A heated argument among Bitcoin supporters rages on as casual on-chain spending becomes unviable for many smaller investors.

While many people are upset about the impact of Ordinals on fees, popular Bitcoin leaders claim that double-digit transaction charges are just the beginning. Those who want to protect themselves should use so-called layer-2 solutions, such as the Lightning Network, which is specifically built for mass adoption.

“Fees are currently artificially and temporarily high due to JPEG clownery, but this is merely a foreshadowing of the future.” Scaling does not occur on L1,” stated popular commenter Hodlonaut in one of several tweets on the matter on X (previously Twitter) on December 16.

Continuing, Hodlonaut contended that requiring low costs for “Level 1” transactions is “not only ignorant, but it feeds into an attack on bitcoin.”

This reflects on Bitcoin’s core structure as a competition-based network generating value over time, as proof-of-work envisions. Keeping fees low is counterintuitive, and as hard forks of the Bitcoin network designed explicitly to provide that benefit have demonstrated, it does not attract value.

“How important is it to onboard someone to L1 with sub-$1 fees if they can’t afford to move the funds in five years anyway?” “Go to Bitcoin cash or another centralized pipe dream right now,” Hodlonaut continued, alluding to one such branch, Bitcoin cash.

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