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Topic: Will these low transaction fees and times last?? - page 2. (Read 422 times)

legendary
Activity: 3472
Merit: 10611
I actually arrived on the scene right in the midst of one of these spam attacks in 2016 - back then I actually thought Bitcoin was that popular, but even starting out I quickly saw that most of these txs had to be artificially introduced - just the volume of similar sized amounts, dust txs that can't possibly have been actual transfers of value (BTC wasn't even $1k at the time).

there has been many spam attacks against bitcoin, some were more obvious than others and it has been happening for at least 3 years now, incidentally near the same time scaling debate started back in mid 2015.
the oldest one that i know of is the following one which led to some academic papers being written!

a little bit of history!
the oldest massive scale spam attack that i can remember was called "stress test" back in Aug and Sep 2015 where they started sending transaction with 0.0001BTC and 0.0001BTC fixed fee. then to make matters worse they started releasing the private keys of the addresses involved. soon there were hundreds of people with access to these keys and hundreds of transactions spending the same outputs.
https://bitcointalksearch.org/user/coinwalleteu-553487

interestingly enough, this method of spam attack is still being used. 1BoatSLRHtKNngkdXEeobR76b53LETtpyT is a well known bitcoin address used in vanitygen with a publicly known private key.
legendary
Activity: 2968
Merit: 3684
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I'd like to think that Segwit adoption has been the main reason for this, ~

yeah but the numbers don't match. the number of unconfirmed transactions were in 100k levels but SegWit adoption was less than 10% when it started dropping. it is still around 30% but the number of unconfirmed transactions is now around 2000. 30% SegWit adoption can not reduce that big backlog.

also when i see this chart, i have no doubt that it was in fact one of the biggest and most obvious spam attacks against bitcoin. part of it may have been an unintentional spam by exchanges though.

Absolutely. I spoke to several site owners as well and reorganisation of inputs alone was such a huge stress on their transaction queue, plus a necessary hassle for Segwit preparation, and all that extra burden on the network couldn't be helped.

I actually arrived on the scene right in the midst of one of these spam attacks in 2016 - back then I actually thought Bitcoin was that popular, but even starting out I quickly saw that most of these txs had to be artificially introduced - just the volume of similar sized amounts, dust txs that can't possibly have been actual transfers of value (BTC wasn't even $1k at the time).

The perpetrators (according to me) didn't get what they wanted. They got what they asked for, which was bigger blocks etc. in their very own versions of crypto, but I think even they tire of their agendas. 
legendary
Activity: 3472
Merit: 10611
I'd like to think that Segwit adoption has been the main reason for this, ~

yeah but the numbers don't match. the number of unconfirmed transactions were in 100k levels but SegWit adoption was less than 10% when it started dropping. it is still around 30% but the number of unconfirmed transactions is now around 2000. 30% SegWit adoption can not reduce that big backlog.

also when i see this chart, i have no doubt that it was in fact one of the biggest and most obvious spam attacks against bitcoin. part of it may have been an unintentional spam by exchanges though.

https://blockchain.info/charts/utxo-count?timespan=180days
hero member
Activity: 1232
Merit: 738
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---snip---
1. The spam attack against the network has been stopped.
---snip---
How long will this last? Ask the ones that conducted the spam attack what are their future plans...

I strongly believe the spam (transaction) attack was the main reason for the high tx fee last year
I suspected whoever behind BCH was responsible for the spam attack
it couldn't be just a coincidence that the network's congestion happened around the BCH forks Roll Eyes

however more segwit adoption does help tone down the network traffic load too
and we can only hope that with enough users/exchanges/merchants using segwit, future spam attack can be thwarted
legendary
Activity: 2968
Merit: 3684
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Are the low fees due to a drop in popularity and usage or is it due to more segwit implementation? As far as I'm aware lightning is still on test net

There are multiple reasons for the low fees:
1. The spam attack against the network has been stopped.
2. Big exchanges have started using SegWit and batching the transactions (sending 10-20 payments together instead of different transactions).
3. End-users started using SegWit themselves, helping more transactions fit in a block.

Sometimes there are still big jumps in the number of transactions, but those are absorbed by the network in a matter of hours. This means that it's not the "popularity drop" causing the low fees, at least not at this extent.

How long will this last? Ask the ones that conducted the spam attack what are their future plans...

I'd like to think that Segwit adoption has been the main reason for this, but I think we saw the drop happening round about the time price started slipping away from its massive highs. It's definitely had some effect on overall transansaction fees... exchanges lowering them, and of course, onchain fees are getting more effective. But I tend to think like you... that since 2016, the spikes in transactions were motivated. Spam attacks caused that artificial inflation in tx, and people were forced to pay higher fees just to jump in front of the queue. Now that those motivations aren't relevant (they got their forks and their big blocks), we can see that the network is far from reaching its capacity.

Popularity has increased, but I think the good thing to have come from those periods of high fees and congestion is that people are practising more efficient ways to use Bitcoin. Consolidating inputs, less frequent dust spends... it's all good.
legendary
Activity: 3668
Merit: 6382
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Are the low fees due to a drop in popularity and usage or is it due to more segwit implementation? As far as I'm aware lightning is still on test net

There are multiple reasons for the low fees:
1. The spam attack against the network has been stopped.
2. Big exchanges have started using SegWit and batching the transactions (sending 10-20 payments together instead of different transactions).
3. End-users started using SegWit themselves, helping more transactions fit in a block.

Sometimes there are still big jumps in the number of transactions, but those are absorbed by the network in a matter of hours. This means that it's not the "popularity drop" causing the low fees, at least not at this extent.

How long will this last? Ask the ones that conducted the spam attack what are their future plans...
full member
Activity: 448
Merit: 109
Are the low fees due to a drop in popularity and usage or is it due to more segwit implementation? As far as I'm aware lightning is still on test net

If you want and if you have bitcoin node, you can run lighting on mainnet today and do transactions. Fees are probabbly low due to price not reaching another ATH and thus you don't have many people to transfer funds between addresses. SegWit could play some role, but so far it doesn't play any meaningfull role in my opinion but as we've seen coinbase and some other services slowly are adopting SegWit which is a good sign. Considering when we got SegWit enabled on mainnet this is not acceptable to wait for many wallets/services to implement SegWit.
newbie
Activity: 42
Merit: 0
Are the low fees due to a drop in popularity and usage or is it due to more segwit implementation? As far as I'm aware lightning is still on test net
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