inflating the fees is not the same as spamming. when they spam there are more transactions in the mempool than there is block space so fees will automatically go up as people outbid each other for that space. this is a completely different thing.
inflating fees is more when you see some transactions are paying outrageous high fees. for example when mempool was big and everyone was paying 100 satoshi/byte and their transactions were high priority, the inflated fees were those transactions which were paying 600-2000 satoshi/byte. and there is nothing we can do about it. and this will only get worse with more adoption and more users with bigger mempool because there will always be someone richer that will continue to outbid regular users.
Topic: How do people / companies inflate the fees on bitcoin? (Read 98 times)
I'm talking about when the bitcoin transaction fees skyrocket. This is when everyone is forced to pay the TX fees due to someone inflating them, spamming the network, etc.
I think so, especially from miners or another side who didn't agree with core developers to stick up with 1Mb block size. Those people want to prove it is not enough by offers some hard fork which ended as altcoin or postponed, the easy way to do it by inflating the fees every time the price rise up.
However, it just a speculation as there is no proof of this attempt due to bitcoin transaction is pseudonymous and can be anonymous.
The fees spike whenever bitcoin price increase, and get back to normal after a major correction. It always happens all the time.
It makes sense if we consider the fees increase following bitcoin price, people triggered to transact bitcoin from their wallet to exchanges in order to trade bitcoin and most transactions occur in exchanges. But, most exchanges are not using segwit address or lightning network.
That is true, some of the company make the transaction fee higher because of the high demand of people using the bitcoin, I think this transaction fee or TX fee is just following the supply and demand rule as well, because as we all know, bitcoin transaction is slow as compare to other altcoins, and because of that, in order for your transaction to be first, you need to pay a much higher price than others, as many people pay much higher price than others, the TX Fee minimum get high as well, because of the demand increasing.
As we all know, bitcoin user gets larger and larger every day so is the online transaction. I think the only way that bitcoin will lower its price will be if the bitcoin transaction will increase its own speed, I surely hope that the lightning update will come soon.
anyways, Even if the bitcoin transaction fee is high, it is faster and reliable rather than using any old fashion way of transferring money.
As we all know, bitcoin user gets larger and larger every day so is the online transaction. I think the only way that bitcoin will lower its price will be if the bitcoin transaction will increase its own speed, I surely hope that the lightning update will come soon.
anyways, Even if the bitcoin transaction fee is high, it is faster and reliable rather than using any old fashion way of transferring money.
It is true that many companies are using very high fees for transactions, it is very liberating to the user, but that is the authority of a company, we can only look and follow their rules.
It is often done to get bigger profits, and it should not be done, companies should provide cheaper transaction costs to less burden users of cryptocurrency currency.
I'm not talking about when companies (like binance) charging fees on withdrawals, I'm talking about when the bitcoin transaction fees skyrocket. This is when everyone is forced to pay the TX fees due to someone inflating them, spamming the network, etc. If that wasn't clear sorry, though I did think it was pretty clear from the start.
Let me know folks, still very curious!
It is often done to get bigger profits, and it should not be done, companies should provide cheaper transaction costs to less burden users of cryptocurrency currency.
I see it all the time on here and I've done it myself, blaming people/companies for making the fees on bitcoin insanely high intentionally. I want to know how they go about doing this, is it spamming the network with low-cost transactions, is it owning exchanges and then not batching transactions.
Very curious on how this works and how it's allowed to continue by the miners (maybe the miners allow it to make more cash)
Let me know
Very curious on how this works and how it's allowed to continue by the miners (maybe the miners allow it to make more cash)
Let me know
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