Future Transaction Fees

[odolvlobo]

Do you think once mining can become decentralized again, for instance, if every laptop computer comes with an asic mining chip, couldn't the electricity used to power your laptop replace any fees that one would have to pay?

No, that is not the point of fees. The fees are an incentive to miners to include a transaction in their blocks. If there are no fees, then there is no incentive for them to include your transaction. It is basically a bribe, not a mandatory thing you need to have, just something recommended.

So what if instead of a transaction based reward for mining, the inclusion of a petty amount of hash power gets you free transactions?  The ability to participate in the network, broadcasting zero cost transactions becomes the incentive.  Maybe that's kind of what the lightening network is trying to do. I just don't see how bitcoin will survive mining centralization.  At least the bitcoin that I have grown to appreciate.  

If you take your suggestion, but you also have the option of paying someone else to hash for you, then you have the current system.

[bitart]

How would you change the fee, since bitcoin is a P2P network? Does someone go around asking people, "Hey! Stop paying 0.0001 as your tx fee! The meta is now 0.00001!"? Or do we have to switch to a totally different Bitcoin client?

This is all quite confusing to me, as you can see, I'm a mere Jr Member. Enlighten me.

The fee is not fixed. In the core client, there is recommended fee, such as 0.0001btc/kB. But you do not have to pay that. You can choose your fee. In the busy times, it is better to pay higher fees to get faster confirmation. In the not so busy times, you can reduce the fee to lower than the recommended fees and can still get confirmed.

Mycellium wallet asks me what priority I want to use when I want to send a transaction. If I remember well, there are 4 or 5 priorities, like Low, Economy, Normal, High. Fees are really different, but I haven't noticed if they are hard coded into the app nor I have noticed if they are changing by the amount or peak time. I usually use Economy because fee is nearly 0 but in a little time my transaction is always becomes confirmed.

[n691309]

I think that the transaction fees are not affected by the bitcoin volume, it can be 1BTC or 1,000BTC and both of them can have the same transaction fee, i think that the fees will be decreased time by time until 1 satoshi.

[LuckyYOU]

I think that the transaction fees are not affected by the bitcoin volume, it can be 1BTC or 1,000BTC and both of them can have the same transaction fee, i think that the fees will be decreased time by time until 1 satoshi.

When bitcoin price is around 4/5k and stable for let's say 1 year, i can't think the fee will decline to 1-10 satoshi.

But remember there is also a fee to stop spammers from flooding the network. So propably it will be around 10 satoshi or so.

[eyeknock]

When bitcoin price is around 4/5k and stable for let's say 1 year, i can't think the fee will decline to 1-10 satoshi.

But remember there is also a fee to stop spammers from flooding the network. So propably it will be around 10 satoshi or so.

Mmm this scenery could be posible, but for me seems 1-10 satoshis when the Price is around 4-5k looks so small, in the other hand, i would like to see the transactions fee to 1 satoshis only, this could mean that everything is going really nice

[bearex]

If the price per Bitcoin rises, the fees should lower, so they would constantly be around 0.03$.

[ATguy]

I think that the transaction fees are not affected by the bitcoin volume, it can be 1BTC or 1,000BTC and both of them can have the same transaction fee, i think that the fees will be decreased time by time until 1 satoshi.

When bitcoin price is around 4/5k and stable for let's say 1 year, i can't think the fee will decline to 1-10 satoshi.

But remember there is also a fee to stop spammers from flooding the network. So propably it will be around 10 satoshi or so.

More like 100 Satoshi if Bitcoin price is around 4/5k.

But it also depends how big competetion is there to be included to the block. Today the competetion is not so big because blocks are not filled up all the time. But soon it can happen and the fees have to increase if you want your transaction included in the block - fees rising scenario until it makes no sence to use Bitcoin for average user because of very high fees.

[ultimatesky]

I don't see this happening, as everyone else here said, it's not fixed so it can always change.

I don't mind it going a bit higher if the value goes up by 1.000.000

As long as I pay the same fee for every transaction

[Amph]

If the price per Bitcoin rises, the fees should lower, so they would constantly be around 0.03$.

sadly this is not the case, the fee will not be lower, what will be lower exactly is the amount you spend, because bitcoin will be worth more

this also mean that you will use less fee, so in the end yes the fee will be lower, but indirectly speaking

[ad2046]

I dont think that bitcoin transaction fees will grow as u r thinking because if this happens people will start avoiding the use of bitcoin .

[Mickeyb]

I honestly wish we would have this problem in future. This would mean that Bitcoin has made it huge! If this was to happen, I am not that worried. Everything in Bitcoin can be changed and I believe if we would encounter this fee problem, that this would be solved as well! So no worries!

[quad588]

Since the BTC transaction fee is 0.0001 BTC, here are what transfers will cost in the future:

$1,000 per coin = $0.10 transaction fee
$10,000 per coin = $1.00 transaction fee
$100,000 per coin = $10.00 transaction fee
$1,000,000 per coin = $100 transaction fee

Honestly, if Bitcoin goes to the 6-7 figure mark, I don't see how people would be willing to pay these fees.  Especially for everyday transactions.  And considering there aren't enough Bitcoins for everyone in the world to own even a tenth of a coin. Comments?

this is not how it works. fees have nothing to do with USD/BTC value
I doubt we will even see .01 fee in the future even if BTC hits $10mil

[n691309]

I think that the transaction fees are not affected by the bitcoin volume, it can be 1BTC or 1,000BTC and both of them can have the same transaction fee, i think that the fees will be decreased time by time until 1 satoshi.

When bitcoin price is around 4/5k and stable for let's say 1 year, i can't think the fee will decline to 1-10 satoshi.

But remember there is also a fee to stop spammers from flooding the network. So propably it will be around 10 satoshi or so.

1 satoshi will be the last one, when the price will reach very high, the halving period will be at the end, but that is far away from now probably.

[randy8777]

I honestly wish we would have this problem in future. This would mean that Bitcoin has made it huge! If this was to happen, I am not that worried. Everything in Bitcoin can be changed and I believe if we would encounter this fee problem, that this would be solved as well! So no worries!

there is no need to worry. as long as the price goes up high enough, the mining pools will get their rewards and thus make good profits. then there basically isn't a direct need to raise the fees.

[bob123]

Transaction fees will be changed according to the Price of BTC (In case there is no inflatation of the Fiat currency).
Fees should never reach a price, its not worth to pay anymore

[PolarPoint]

There will always be a standard fee governed by market forces. If the fee is too high in fiat value, users will try to pay less. When more people send with less fee, the standard fee is lowered. Transactions are still "standard" if fee is above 0.00001 btc, set by a variable in bitcoin core code.

[bitart]

Transaction fees will be changed according to the Price of BTC (In case there is no inflatation of the Fiat currency).
Fees should never reach a price, its not worth to pay anymore

I don't think that fees will change with the price of BTC. Maybe they will change paralell with the price of BTC but not because of it. It can happen that the price will raise and because of the raise of the price more and more people will start using BTC. It will then make fees raise because people will have to pay more to get their transaction included. But this raise of the fee is not because of the price raise it's just starts some market movements that can raise the fees but this is not automatic.

[gerald-80]

If prices will skyrocket they ll ofcourse adjust the transaction fees. No need to worry mate

[Blawpaw]

The fees are always adjusted. Thus, of course there is not enough bitcoin for everyone in the world own one, and that's the beauty of it. If BTC one day worth $10 000 then the new standard bitcoin would be the millibit, and the fees would be adjusted; And that would be perfectly feasible, considering the huge number of transactions.

[calkob]

1BTC equal to £1 000 000 i cannot wait for that to be the case.......