Bitcoin is Dominating Crypto Taking Over 90% of All Mining Fees

big truck bitcoin mining Mining

Bitcoin is Dominating Crypto Taking Over 90% of All Mining Fees


When considering Bitcoin dominance in terms of market cap and trading volume, spare a thought for the poor miners. The miners of other altcoins, that is, as they share under 10% of the total fees value between them.


Only Bitcoin (and Ethereum) Mining Truly Earns A Fee

According to figures from Messari.io, Bitcoin miners collected nearly $754,000 in fees over the past 24-hours. All other cryptocurrencies combined (with data available) brought in just $76,000 in fees, meaning Bitcoin dominance stood at almost 91%

The lion’s share of the other 9.1% was from Ethereum with $73,000; third placed Litecoin languished behind with just under $1500, whilst Dash (in fourth) brought in just $235.

So from the miners’ point of view there is little inclination to mine anything but Bitcoin (and possibly Ethereum) in terms of fees.

But High Fees Are Bad Aren’t They?

For users, yes. But the reality is more nuanced as the confirmation quantity required to secure your transaction vastly differ across blockchains. So with Bitcoin, you still get the most bang for your buck when it comes to security and being able to sleep at night.

Nevertheless, the median fee for a BTC transaction stands at $1.20, compared to just $0.0427 for ETH, $0.0143 for LTC, and a measly $0.000482 for DASH. These figures suggest that bitcoin fees are in fact closer to 30x those of ether. However, they do not account for the weighting of large value transactions on the Bitcoin network.

bitcoin fees

In the past 24 hours, Ethereum’s $73,000 of fees have accumulated on almost twice the number of transactions (718,440) that Bitcoin’s $754,000 have (361,419); however, the median transaction value for bitcoin was $115.13, whereas for ether it was $0.00. The majority of transactions on the Ethereum chain do not involve the transfer of money.

Certainly the fee to transaction value ratio is a lot better (for users) in Litecoin and Dash. Although low transaction numbers (20-25k) coupled with the low fees, mean not much to go around for miners.

So Why Would Anyone Mine Anything Else?

Luckily, fees aren’t the only way of rewarding miners, otherwise there’d be nobody mining the vast majority of coins. Most coins offer block rewards to the successful miner, and Bitcoin is amongst these.

The 150 new Bitcoin blocks that were mined in the past 24 hours, each came with a 12.5 BTC reward. This adds another $13 million to the reward shared between miners (assuming a $7000 BTC value).

But next May this reward will be halved to 6.25 BTC, and eventually Bitcoin miners will rely entirely on the fees for revenue. The fees must therefore be of sufficient value to incentivise miners when this happens. This is a design feature of Bitcoin, and indicative that it is in a healthy state.

On the other hand, when Litecoin block rewards reduce, this is far from a certainty. Not to mention Bitcoin is 11 times ‘faster’ than Litecoin at securing the network.

Are higher mining fees a positive sign for Bitcoin? Let us know in the comments below!


Images via Shutterstock, Messari.io

Kadena Blockchain to Launch This October With $3 Billion Asset Manager Onboard

Brooklyn-based startup Kadena will launch a public blockchain this October, the company announced Monday at CoinDesk’s Consensus 2019 conference in New York.

Founded in 2016, Kadena raised over $14 million last year to develop a new proof-of-work (PoW) blockchain network called Chainweb that would seek to offer users high transaction volumes without slowing down network speed and ramping up network cost for users.

Speaking to CoinDesk, CEO of Kadena Will Martino, said:

Chainweb is built to align the incentives of everyone involved in the network. For the first time, miners, users and businesses can all agree on what network success means and how to get there from launch.”

Chainweb’s protocol, the company said, links multiple blockchain networks to run concurrently and split up large computation loads. As previously reported, these different chains share information through Merkle roots to achieve cross-chain consensus.

Chainweb design. Courtesy of Kadena.

The envisioned goal of Chainweb is to produce roughly 1,000 different blockchains and reach networks speed of up to 10,000 transactions per second.

According to Kadena CEO Will Martino, Chainweb has been running on a test network since March. Later this summer in May, the test network will be opened up to preliminary users.

“We have a mining queue that we will slowly begin on-boarding to test the user experience and the process of hooking up to the network,” said Martino to CoinDesk.

Martino stressed that miners would not be earning tokens ahead of their market release by engaging in the preliminary test network. Today’s press release notes that miners will strictly “get to learn how Chainweb works and collaborate with our team to scale the network.”

Along with today’s announcement, the team at Kadena further revealed a partnership with commodities and alternative investment products provider USCF Investments, a manager of approximately $3 billion in assets.

John Love, president and CEO of USCF, told CoinDesk:

“One of the things that attracted us to Kadena was their expertise beyond just blockchain and fintech including…regulatory understanding. To our business, this [partnership] wasn’t something coming from left field. This collaboration makes a lot of sense to tie our respective areas of expertise together.”

As Martino put, the two will be working together to build “the next generation of fintech” by leveraging Kadena products like Chainweb.

“The key is that USCF brings this history of innovating in financial markets and a vision for how a new technology [like blockchain] could fundamentally advance how these systems and these products are built [in fintech],” said Martino to CoinDesk.

Team photo courtesy of Kadena

Ron Paul: Anti-Crypto Congressman Is ‘Just Another Thug in Washington’

Former U.S. Congressman and presidential candidate Ron Paul believes that a call by Rep. Brad Sherman (D-Calif.) to ban cryptocurrencies is a terrible idea.

Appearing on CoinDesk Live at Consensus 2019, Paul discussed a number of topics surrounding the cryptocurrency space, including his belief that the federal government should leave the it alone.

“Detail wise, I don’t know what they’re doing yesterday or today, but I do know they’re watching,” he said. “Whether it’s gold or peanuts or silver or whatever, they will not just give cryptocurrencies a free ride.”

He dismissed Sherman’s call for a ban during a Congressional hearing on May 9. “I look for colleagues to join with me in introducing a bill to outlaw cryptocurrency purchases by Americans,” Sherman said at the time.

Paul called the House Financial Services Committee member “just another thug in Washington.”

“They happen to believe they know what is best and they will run the show. They want to be the boss, they’re dictators, and he’s not unusual,” he said, adding:

“He’s very typical in all degrees in all issues, whether it’s a social issue, like a few years ago when they decided the worst thing in the world is smoking marijuana.”

“People like him are driven by power,” he said.

“I think anarchy comes from the Brad Shermans of the world, because they break down the world and that’s how you have anarchy in [Venezuela], because of [too much government],” he said.

He noted that one of the reasons lawmakers and regulators may be looking at cryptocurrencies in particular is due to the fact that they “challenge the status quo of the monetary system.

New vs old

That being said, Paul indicated that the present U.S. monetary system and economy may be running on borrowed time, citing high debt levels as one example.

“The system we have today is not viable, it’s out of control, the amount of debt that’s building up we might end up with the dollar but not the system,” he said, pointing to issues such as social, military and corporate welfare as reasons for this.

“That is the system, and we are flat out broke, we’ve been broke for some time,” he said. “There will be liquidation, when the debt gets this big, the debt has to disappear.”

Crypto may play a role in preventing this he said, adding:

“I don’t know how it will evolve and I don’t know the technology but I’m enthusiastic about the alternatives and the competition and the … way it’s set up, that’s what they promised, is limitations.”

That being said, the main challenge is “choice.”

Individuals need to be able to develop and use alternatives, he said.

Asked what sort of cryptocurrency policy he might have if he was running for president, Paul said he would advocate for what is essentially a light-touch regulatory regime, saying:

“I can only speak for myself but I think it’s pretty important is not to come in and the first two to three options on cryptocurrency are ‘one’s better than another and we want to manage it,’ no, you turn it loose … you try to keep the government out of it as much as possible.”

“There’s probably more regulators on the financial markets than I would have but if you didn’t have anybody punishing people who defrauded people, there’s still a lot of fraud,” he said, though he noted that regulations haven’t prevented fraud either.

Ideally, he’d like to decentralize regulatory authority, so that agencies based in Washington D.C. or New York City don’t control the rest of the nation’s startups and businesses.

“Government should be so small that nobody has a financial advantage to being there,” he said.

Ron Paul, Pete Rizzo image by John Biggs for CoinDesk

Bitcoin (BTC) Clears $7,500, This Is Just the Beginning–Mati Greenspan

  • Bitcoin (BTC) surge, up 34 percent
  • Mati Greenspan confident that Bitcoin prices will surge to new highs as momentum builds up

Prices may correct, that’s a possibility. However, unlike the deep correction of 2018, there is increasing awareness around Bitcoin and cryptocurrency in general. That is perhaps the reason why Mati Greenspan of Etoro is confident that BTC is in the early stages of a humongous bull rally in waiting.

Bitcoin Price Analysis

Fundamentals

It’s all about price and ROI, and if that is the metric for gauging success, then Bitcoin investors are on a roll. After a deep and bruising crypto winter when Bitcoin prices dropped, hauling altcoins to their Dec 2018 dredges, asset prices are now bouncing back to the elation of the community.

In five short weeks, Bitcoin is up, more than doubling after bottoming up from $3,200 in mid-Dec 2018. Spurred by improving fundamentals, regulation and the change in sentiment, the crypto space is vibrant. Even so, according to Mati Greenspan, a vocal Market Analyst at Etoro, he believes that the crypto market is at the early stage of an impending bull cycle. To him, it is true that Bitcoin has been building momentum, but this is “in the early part of its cycle” adding that “right now we’re coming off that huge retracement and are only seeing a small rise.”

If his overview is correct than odds are not only will Bitcoin prices surge above $20,000, but accompanying volumes will explode, surpassing those of May-11 when Bitcoin-related volumes soared to new highs. All this points to a shift, a wave that is cementing Bitcoin’s position as a market leader whose underlying technology is poised to disrupt and positively impact processes.

Candlestick Arrangement

Bitcoin BTC

At the time of press, Bitcoin (BTC) is up 34 percent from last week’s close—and the trend is clear. Bulls are in control, if not marauding, shooting down bears. Prices are volatile, wide ranging and with volumes behind it, the resulting blast-off mean prices are trending above $7,500, our immediate resistance. If anything, every low should be a buying opportunity with targets at $8,500.

Technical Indicator

In light of the above, our anchor bar is May-11 wide-ranging bull bar—37k against 15k averages. Any bear bar reversing recent gains must be at the back of high volumes exceeding 41k of May-12. If not then it must exceed 37k of May-11. Conversely, trend confirmation above $8,500 must be with equally high participation levels.

Chart courtesy of Trading View

火星比推直击共识大会 | 诺奖得主:区块链治理永远是重要的

加密货币和区块链技术世界的年度聚会纽约共识大会(Consensus)于本周一至周三(5月13日至15日)举行。自2015年以来,其吸引了加密货币和区块链世界的所有主要公司、开发者、创业者和投资者参与关于行业未来的年度讨论。

在共识大会第一天上午进行的开场讨论的主题是“从数字黄金到契约理论:主流应用的经济学”,参与讨论的嘉宾包括诺贝尔经济学奖得主Oliver Hart和Eric Maskin以及几位相关领域的学者。

谈及区块链和加密货币的优点,Eric Maskin提到由于区块链技术在安全与效率方面的优点,受到越来越多人的关注。虽然对区块链及加密货币开展一些严谨、大型的试验有些困难,但是我们可以多去开展一些小型实验。他还谈及了最近几周比特币价格的攀升,并认为加密货币有“安全”、“高效及低成本”、“透明性”以及“融合高新技术”等优点。

而通过诺贝尔奖得主的Oliver Hart则更关注“合约和治理”。他称,我们不应该完全依赖机制,而是应该去探索合约的不完整性。“我目前的想法是,答案不是让所有事情自动完成,而是要彼此友善。”他补充道,“现实世界的合约也是不完整的,它们没有说明将来会发生什么。将区块链上的合约视为完整交易是错误的。治理永远是重要的。”

而来自罗特曼管理学院的教授Joshua Gans表示,从数学的角度讲,区块链技术可以保障安全的交易。而对于投资者来说,不会去关注一些不切实际的想法,我们是在寻找一些“问题”,从“问题”中发现投资机会。就像去投资Microsoft Cisco这些独角兽公司一样。

作者 Ying Tuo,Liang CHE

观看共识大会在线直播,请点击“直击:共识大会2019”

更多相关文章,请点击“专题:「火星×比推」直击纽约共识大会”



火星比推直击共识大会 | Coindesk宣布中文站点将于7月上线

据比推记者现场报道,共识大会的主办方、区块链媒体CoinDesk宣布即将推出中国站点。 据称,CoinDesk中国将与北京内容和媒体公司DeepTech合作推出。至此,在过去的12个月当中,总部位于纽约的CoinDesk已在韩国、日本和中国创建了当地语言版本,成为真正的全球性实体。

CoinDesk首席执行官Kevin Worth表示:“CoinDesk向中国的扩展标志着我们公司的一个里程碑时刻。CoinDesk是领先的区块链媒体公司,我们继续投资于我们的核心编辑工作,以满足全球市场对该领域的覆盖需求。我们的编辑团队已经发展到超过18名记者和市场分析师,他们每天24小时投入。我们将继续吸引那些分享我们的使命、价值观和抱负的人才。亚洲是区块链投资和创新的中心。通过本地化的报道和活动,CoinDesk中国将能够很好地覆盖该行业的发展。”。

据称,CoinDesk中国版将于2019年7月正式上线,并将提供有关区块链全球发展的消息,重点关注中国公司和当地的发展。

DeepTech及CoinDesk中国区首席执行官Brandon Zhou表示:“我很荣幸能够开启CoinDesk的下一个篇章。大中华区的市场潜力巨大,许多产业部门都希望利用效率和成本的优势与CoinDesk合作,DeepTech相信我们将共同提供最有价值和专业的内容和活动,涵盖区块链行业的发展和趋势,并最好地服务于中国的区块链社区、产业投资者、政策制定者、可能使用区块链的企业和任何想要了解区块链的人。”

关于更多2019纽约共识大会的新闻,比推将与火星财经联合为大家带来现场的第一手资讯。

作者 Liang CHE

观看共识大会在线直播,请点击“直击:共识大会2019”

更多相关文章,请点击“专题:「火星×比推」直击纽约共识大会”



火星比推直击共识大会 | 本届大会“投资者更老练”,有“令人激动的变化”

比推记者在现场发现,相比于2018年的火爆,2019纽约共识大会显得门庭冷落,这或许与过去一年来加密货币市场的低迷有关。相比去年,参加共识大会的公司展台数量也减少了一半以上。比推记者也就此和对一些共识大会的参与者们进行了采访。

就在共识大会举行期间,比特币行情在昨日冲高7500美元回落之后,再次积蓄力量向8000美元冲击。截止至发稿时位置,比特币价格为7814美元。此前有报道称,在除了2018年熊市之外的历年共识大会召开期间,比特币的价格总是会保持上涨势头,今年可能也没有例外。

谈及今年的共识大会和往年的差别,加密投资和咨询公司Onchain Capital的创始人兼首席执行官、CNBC非洲的Crypto Trader节目的主持人Ran NeuNer表示,“今年的投资者比去年更严肃,他们也更加老练。今年我们有更多有经验的人,不像去年那样,有一些‘骗子’和看起来奇怪的人参与活动。今年活动的演讲者也在业内更有威望。”

而Deep Value的首席执行官Harish Devarajan也认为,“一切都在健康的发展。”他曾在德意志银行的一家自营交易平台担任首席运营官。

ZB.com的业务发展总监Jesse Johnson则称在今年的共识大会上看到了很多“令人激动的变化”。他称,“事情变得有趣许多。举一个例子,活动主办方会给你一个礼品袋,但不像一般的活动上你需要一整天拿着袋子。他们会把礼物放进你的虚拟钱包里。今年我们见到了许多类似这样的变化,这是令人激动的变化。”

而谈及正在飙升的比特币价格,Jesse Johnson表示,“今年公司对市场的期待相比去年要高。价格是一个原因,即使和以前相比价格有所下跌,但是仍有非常多的发展前景。”

关于更多2019纽约共识大会的新闻,比推将与火星财经联合为大家带来现场的第一手资讯。

作者 Yihan,Liang CHE

观看共识大会在线直播,请点击“直击:共识大会2019”

更多相关文章,请点击“专题:「火星×比推」直击纽约共识大会”



Bitcoin Price Aiming for $8,000? What is Driving This BTC Rally?

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Analyst: Strong Possibility Bitcoin Runs Past $8,000 Before a Significant Correction Takes Place

Bitcoin and the aggregated crypto markets have been on an explosive upwards surge over the past several weeks, with BTC surging to fresh year-to-date highs while many altcoins catch the tailwinds of its upwards momentum.

Although many traders are closely watching for another pullback before entering into fresh long positions, one prominent analyst believes that BTC may surge to over $8,000 in the near-future before incurring any significant pullback that constitutes a correction.

Bitcoin Rapidly Approaching $8,000 as Upwards Momentum Continues

At the time of writing, Bitcoin is trading up over 12% at its current price of $7,800, up significantly from its daily lows of $6,900 which were set yesterday after Bitcoin dropped due to facing increased selling pressure around $7,500.

Although yesterday’s drop to below $7,000 led many traders to believe that the cryptocurrency’s upwards momentum was in jeopardy, the drop acted as fuel that allowed the crypto markets to continue surging to set fresh year-to-date highs.

Over a seven-day trading period, BTC is trading up from lows of $5,700, and is currently showing few signs of hitting any significant levels of resistance around its current price levels, which may signal that a further surge is imminent.

Josh Olszewicz, a popular analyst on Twitter, shared his thoughts on BTC’s current price action in a recent tweet, explaining that Bitcoin currently has upside resistance at roughly $10k when looking towards the cryptocurrency’s kijun line.

“1W $BTC kijun didnt hold as resistance. The only upside resistance left is cloud at 10k. Not saying it’ll happen, but probability of a cloud touch increases if kijun is breached. This entire move on the 1W is now much different than 2013/2014/2015,” he explained.

BTC Likely to Continue Surging in Near-Term

Although there will inevitably be pullbacks after large upwards swings like the ones the crypto markets are currently experiencing, Bitcoin may still have some fuel left that will allow it to surge higher before it faces any significant levels of resistance.

Josh Rager, another popular cryptocurrency analyst on Twitter, spoke about this possibility in a recent tweet, noting that the next target of “serious interest” exists at $8,200, with a downside support region existing at roughly $6,400.

“$BTC – The FOMO is real. Bitcoin is currently on a tear & the next target of serious interest is $8200+. High interest remains near $6400 if BTC decides to cool off & pullback. My dream area to buy would be $5500 to $5700 but there’s no promise $BTC will hit that low again,” he explained.

As the week continues on and it becomes increasingly clear as to where BTC’s next levels of support and resistance exist, it is likely that analysts and trader alike will gain a better understanding of the current surge’s longevity

Featured image from Shutterstock.