Bitcoin is approaching $1 billion in all-time transaction fees, $15 billion in miner fees ๐จ This article is 5 years old...
Bitcoin is approaching $1 billion in all-time transaction fees, $15 billion in miner fees
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Updated: Nov. 7, 2019 at 2:51 am UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Bitcoin is nearing $1 billion in total, all-time transaction fees and $15 billion in all-time miner revenue, according to Coin Metricsโ latest State of the Network report.
As of Oct. 13, $996,458,718 in transaction fees have been paid on the Bitcoin network, the report noted. BTC fees now make up significantly less of total miner revenue, which includes block rewards and transaction processing charges.
As of Oct. 13, 2019, Bitcoinโs cumulative fees were 6.6 percent of total miner revenue, which indicates that, since February 2018, theyโve not been increasing as fast as cumulative block rewards.
BTC median transaction fees have declined
The report also mentioned that BTC median fees increased by almost $34 in late 2017, meanwhile, Ether fees peaked at only around $3. However, BTC median fees have declined and have consistently remained less than $4 since February 2018, the report revealed.
According to CoinMetrics:
โThis extreme difference in [BTC] median fees is one of the main reasons for the decline in cumulative feesโ share of total miner revenue.โ
As of Oct. 13, cumulative fees account for approximately 3.6 percent of Etherโs total miner revenue. When compared to BTC, the ratio has remained relatively flat since early 2018, the report stated.
This may be attributed to the fact that Etherโs fees have increased a lot faster than BTCโs over the same period, the report suggested. It further noted that BTCโs cumulative fees have increased around 74 percent since January 1, 2018. Etherโs have jumped by nearly 400 percent.
Etherโs market cap outperformed Bitcoinโs for the fifth straight week
BTC and ETHโs market capitalization to cumulative miner revenue ratio also flipped in early 2018. As of Oct. 13, Bitcoinโs market cap to cumulative miner revenue (or โthermocapโ) ratio is 10.3, while Etherโs is 3.2, the report stated. The S&P price to sales ratio presently stands at about 2.18.
Etherโs market cap outperformed Bitcoinโs for the fifth consecutive week. ETHโs market cap surged 4.6 percent for the week and was up 1 percent last week. Bitcoinโs market cap for the same period increased by 2 percent and posted a 3.1 percent loss the previous week.
For the same period, the hash rate grew more for Bitcoin than Ether. Bitcoinโs hash rate increased 3.5 percent during the last week while Etherโs declined by 0.5 percent, the report mentioned. This marks the second consecutive week that Bitcoinโs hash rate outgrew Etherโs hash rate.
Tether remains dominant stablecoin by โmost measuresโ
CoinMetrics pointed out that the combined total adjusted transfer value of the seven major stablecoins DAI, GUSD, PAX, USDC, TUSD, USDT, and USDT_ETH almost reached all-time highs toward the end of last month, reaching $1,546,234,810 on Sept. 24.
The total has now dropped, averaging around $618,000,000 per day for the first 13 days of this month.
Most of the total stablecoin adjusted transfer value still comes from Tether, the largest stablecoin. Tether activity is shifting from USDT, the original OMNI-based version, to USDT_ETH, the newer, Ethereum-based version.
The majority of major crypto assets saw sharp declines over the past month. Bitcoin is down 20 percent from about $10,000 to $8,000 on Sept. 24.
CoinMetricsโ report pointed out:
โNotice the stair step-like pattern for Bitcoin prices reflecting long periods of muted price volatility interspersed with short periods of large and concentrated price movement. โ
Ether remained flat over the time period, however, it still outperformed Bitcoin, which may be due to โan emerging recognition that demand for Ethereum’s block space represented by fees is growing โฆ and momentarily eclipsed Bitcoin’s daily fees,โ the report said.
XRP and XLM saw single-digit gains this month, while other large crypto assets are down, but less than BTC.
Bitcoin Market Data
At the time of press 2:51 am UTC on Nov. 7, 2019, Bitcoin is ranked #1 by market cap and the price is down 0.22% over the past 24 hours. Bitcoin has a market capitalization of $149.44 billion with a 24-hour trading volume of $14.93 billion. Learn more about Bitcoin ›
Crypto Market Summary
At the time of press 2:51 am UTC on Nov. 7, 2019, the total crypto market is valued at at $225.32 billion with a 24-hour volume of $53.6 billion. Bitcoin dominance is currently at 66.38%. Learn more about the crypto market ›
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