What happens after miner fees become insignificant?

BurtW

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Quote from: rotfront on May 07, 2017, 03:37:16 AM

Quote from: BurtW on May 06, 2017, 02:08:12 PM

Quote from: rotfront on May 06, 2017, 02:01:29 PM

Also, what happens when miners' reward gets to 0 and they'll be just given comissions?

when the rewards go down the commission will go up. All is well.

Who will use Bitcoin with an average comission of $100? That would kill the whole system.

There are two paths you can go by, but in the long run, there is still time to change the road you are on:

1) Small number of transactions, high fees

2) Larger number of transactions (will require a change to the system), smaller fees

This is the choice we are faced with.

Right now it is looking like: small number of transactions (3 transactions per second) and very larger fees, as you point out.

rotfront

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Quote from: BurtW on May 06, 2017, 02:08:12 PM

Quote from: rotfront on May 06, 2017, 02:01:29 PM

Also, what happens when miners' reward gets to 0 and they'll be just given comissions?

when the rewards go down the commission will go up. All is well.

Who will use Bitcoin with an average comission of $100? That would kill the whole system.

BurtW

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All paid signature campaigns should be banned.

Quote from: rotfront on May 06, 2017, 02:01:29 PM

Also, what happens when miners' reward gets to 0 and they'll be just given comissions?

You answered your own question: when the rewards go down the commission will go up. All is well.

rotfront

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Quote from: Iranus on May 06, 2017, 01:16:07 PM

which it's likely to do for at least a couple more block halvings

Why do you think so?

Also, what happens when miners' reward gets to 0 and they'll be just given comissions?

Iranus

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Sort of, but you're missing a couple of things.

Firstly, if miners' revenues overall decrease, so does the amount of miners. The difficulty adjusts regularly to allow this to happen, so therefore mining is automatically profitable to some extent.

Secondly, the block reward is denominated in Bitcoin, not fiat currency obviously. Therefore if the Bitcoin price doubles each four years (which it's likely to do for at least a couple more block halvings) miners' revenues will stay the same or more in terms of actual value from the block reward.

rotfront

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Are there any altcoins which do not have a block reward (meaning that miners only get comissions from transactions)?
When Bitcoin block reward becomes insignificant, won't it practiacally mean the death of the coin, because no one will be interested in mining?

Topic: What happens after miner fees become insignificant? (Read 644 times)