Topic: What's happening with Bitcoin transaction fees? - page 3. (Read 1025 times)

Of course LN is the solution but provided you have opened the channels already. If not, you will have to pay the opening fee which is on-chain and as such, you will have to pay high fees.

In 2021, a friend of mine was trying to convince me to open LN channels now and not in the upcoming years, because who know how high the fees would be. But in 2021, I didn't know a lot about LN, so... Unfortunately I have only a few open channels now.

The situation now in the Bitcoin network is not a new thing. The last time the mempool was congested, it was very severe and if I'm not mistaken,  even more severe than this current situation and there was no forking of the Bitcoin network.  I believe we will scale through and the system will not be forked.



Do you really believe the LN is the solution, Considering the congestion of the mempool and high transaction fee?
LN would be a nice option only if the LN was open before the congestion on the mempool which resulted in the hike in transaction fee. But if you want to open the LN now that the mempool is already congested and Transaction fees is already high, you will still pay a very high opening fee before you can access the LN and still pay another very high transaction fee to return back to the unchained. You see? This very high opening and closing fees are discouraging .

Is there any solution to what is happening with the transaction fee? Apart from getting the Blockchain forked what else can be done. The fees are now becoming a pain for small business owners and those who make micro payment.

I think everyone should move towards the LN. As it is the only option left now. Considering a person who wants to buy $20 wort of product or someone interested in transferring $20 worth of Bitcoin. They would need to pay $5 worth of fees. Is this what Bitcoin meant when it was launched.

In the end a common person won't be able to enjoy swift transaction other than finding a solution to preserve money in the form of Bitcoin.

Let's look at the fundamentals.  What are the problems we are actually trying to solve with Bitcoin:

1. Centralized control of the currency.
2. Freedom to transact without 3rd party approval.
3. A broken banking system with fractional reserve banking and second layer of currency controls.
4. All of the power and corruption that comes along with a government printing money with no limits.
 
If Bitcoin is not used as a currency it fixes none of these.
If you just want a digital currency the dollar works just fine.

If you want to solve these problems you need Bitcoin the way it was intended.
A self custody, purely peer-to-peer currency that is decentralized.

Without that you have another centrally controlled investment vehicle for the rich and powerful.

I had been wondering why Bitcoin was taking so long to confirm the transaction. After reading your topics and other replies, I have realised that the current Bitcoin network is congested due to Ordinals. It seems it went viral and was hyped, and since they let mint NFT in the Bitcoin blockchain, so many mining transactions are ongoing there. However, this issue will be normal when the hype is gone. Nothing concerning here; since Binance listed them, the community has become hyped and is mining NFTs there.

The reality is LTC/Doge can do the same thing  and we have reached a different era for BTC

IE big ass storage of wealth.

You simply can't show that for small peer to peer sends the LTC/Doge are not better.

So far BTC has done multiple tweaks to do better with small transactions.

bc1 has better fees
legacy 3 addresses have better fees
LN have better fees

but even with all that network clogs an 100 or 200 sats a byte are needed.

I can safely send 10000 usd worth of LTC for as low as 0.00000134 ltc or under 1 tenth of a penny.

BTC simply needs to give up the idea they can match LTC/Doge for cheap fast sends.

and btw watts to wealth is the foundation for satoshi's idea. no one can show that LTC/Doge does not do watts to wealth.

If you think of them like a scooter or a bike

and think of btc like a bus or train it would be far far far more realistic way to promote the 3 most important pow coins.

This probably won't affect traders since they trade using exchange, small investors also will not be affected by this situation.
Honestly, I experienced this kind of stuff yesterday, I transfer some some mbtc to exchange but I didn't received a notification that's why I decided to check the transaction to blockchair and found out that 1 confirmation takes 24hrs. I was shock since I payed more from my usual fee just to make sure that I will immediately receive to my exchange account. I decided to bump the fee but still won't work, that's why I cancelled the transaction. Then I tried different fee estimation algorithm which is mempool, and it works. So to those who are experiencing network congestion, try to use mempool instead of ETA and Static.

Satoshi Nakamoto - Bitcoin white paper "A purely peer-to-peer version of electronic cash would allow online payments to be sent directly from one party to another without going through a financial institution.

This concept gives Bitcoin it's value. If we don't nurture this idea then Bitcoin is just another centralized financial vehicle with questionable value.

Don't let Ordinals destroy the hope and financial sovereignty created by Bitcoin and it's stated purpose.

Tom McPhail

The problem can't be low network hash rate. The average block is now around 9.8 minutes and that means that the hash rate has increased since the last difficulty adjustment.
Also note that even if the network hash rate decreases and blocks take bigger time to be mined, the next difficulty adjustment will solve the problem.

As mentioned many times in this thread and other threads, the network is congested due to transactions related to ordinals.

It might be very possible that the increase in transaction fees could be related to the listing of Ordinals on Binance but it is also worth noting that there is an increase in overall activity on the blockchain and possibly, there could be a shortage of computing power available to process transactions. So there is no doubt that Ordinals can contribute to network congestion and the increment of transaction fees it takes up more space on the blockchain and can slow down the overall network and whatever the case is, it's definitely worth investigating further.


It's actually annoying but removing Ordinals could set a precedent for other use cases to be removed in the future and this would have a negative impact on the overall development of the Bitcoin network.

Eh, another proof that btc need higher TPS but no one want to listen

I personally feel it won't last longer and as soon as the hype for ORDI is over then the tx fees should come back to normal rates as earlier.
We have seen such price jumps earlier and it was over within few days as the tx got confirmed.
We just have to wait until the mempool is free.

Absolutely. However, they are losing money doing this, so don't worry. At some point the network will be back to normal. It's sad for ordinary users though, but luckily we can use LN.

Its kind of fun watching what's going on with our transaction fees on mempool...

and interesting enough is that someone keeps bumping the average sat/vB to X5 whats there.... for example if this person finds the highest priority fee being 40 sat/vB he/she bumps it to 200 sta/vB and this has been going on all day!

Could miners be onto this and someone is enjoying spamming the Bitcoin network??

I have updated the OP and I am not happy with what is happening at the moment. If the developer team don't come up with a solution then this might be the end of financial freedom. This is going beyond what everyone thought as Ordinals are now growing more powerful than what we expected.

This ordinals made me to waste coins last time and here it come again. The simple way t solve this problem is to remove these Ordinals from the bitcoin network. Then the the congestion rate will reduce and the transaction fee will also reduce. And like this now many can not withdraw or make a transaction because of the high fee. Early this when I did a transaction I fell the impact of the high fee compared to other times.

This is the second time the transaction fee is going high in this year. And I said this will affect many people. We just pray that it will not stay longer than a week.

Can all this be an attack to the bitcoin network, whose the purpose is to make everyday users suffer due to high fees?

Bitcoin will not suffer because of that, but we will, unless we use LN.

bitcoin devs need to get back to the idea of transacting bitcoin for bitcoin purpose. this means making lean transactions of every byte count. where each byte serves a purpose and has a reason for being in a transaction. (to prove the authenticity of bitcoin transfer) the other junk should be rejected if it does not serve a purpose for bitcoins functionality. bitcoins purpose is not memes and json junk

things like "isvalid" that has no checks/validation code attached but just keeps the transaction without understanding the purpose of the bytes of the transaction need to be dealt with.

they can be dealt with in a way that does not break bitcoin. its called code. code creates rules. rules create efficiencies.

there are many many ways to create code that create efficient use of transaction data, to allow more utility where fee's dont have to go outrageously high

the only reason this junk is being allowed to persist is because the devs that allowed it in the first place have sponsorship deals to make bitcoin a headache, just to promote other networks as the solution people need to migrate over to(abandoning bitcoin) so that the sponsors can make middleman profits(ROI on sponsorship) via the other network adoption

again bitcoin devs need to get back to caring about bitcoin and bitcoins purpose. not some sponsorship deal of promoting utility of another network by bastardising bitcoin

when you realise the main core devs (blockstream, chaincodelabs,brinks) have been sponsors hundreds of millions of dollars, that investment require alot of users of other subnetworks to pay alot of "pennies" per payment on the "cheap" subnetworks for the sponsors to ROI break even
so their game is to really push the bitcoin headaches to the max and make bitcoin unaffordable to transact to persuade everyone to abandon bitcoin and play on their preferred subnetwork

(if 200m people transacted for $0.001 on a "cheap subnetwork") 1 tx a day each user is $200k for the network
it would tke them 1000 days to break even (3 years)

after 6 years of these "promising" subnetworks they only have ~5k of btc locked up and only 15k nodes. not the 200m userbase and Xmilion btc locked up they hope to have. so they are really trying to get people over to their subnetworks via making bitcoin scams, spams, memes and congestions to make bitcoin a headache (and yes ordinals:ratimov is a chaincode lab and LN associate)

This is getting out of control. There are some transactions that haven't been approved for a week. Moreover, while you used to get fast confirmation with around $1 fee before, now you can't get even for $3-4. If high fees will have to be paid for each transaction like in the ETH network, this won't be good for Bitcoin. Whether it's because of Ordinals or something else, this kind of traffic is something that needs to be solved for the future of Bitcoin.

Can't fix it, ban it!
Also, what's normal for you?
Transactions of 1 sat/b getting confirmed the next block, empty blocks like two years ago because...well nobody was using it?
What happens if people do strat using it? What if those hundred million around the globe will do at least one tx a month?
What are you going to ban that time?