Transaction fee.

[Images21]

People on the forum before Segwit were discussing about the transaction fee that after the segwit stuff is over the transaction fee will decrease. So, is there any chance for the fee to decrease now or these  were all rumours?

They were not rumors.
Bitcoin transaction fees have decreased SUBSTANTIALLY after the NYA agreement was formed. This is because miners immediately stopped spamming the network and now Bitcoin is almost as fast as it used to be before the scaling debate.

Segwit has locked in, but it has not activated yet. It will activate once this activation period is over. After that there will be a 2MB blocksize hard fork and consequently a split in November. Can't really say that the Segwit stuff is over.

I am greatly informed by your response, bro.

Even though the SegWit has not been activated yet, there are already some changes and improvement felt around. This is a good sign for BTC. Although the same feeling of fear might arise once again later this year.

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[krishnapramod]

People on the forum before Segwit were discussing about the transaction fee that after the segwit stuff is over the transaction fee will decrease. So, is there any chance for the fee to decrease now or these  were all rumours?

Not rumors. Fees would decrease. Segwit eliminates transaction malleability. Segregating the witness (signature) data and thus allowing more transactions to be accommodated in a block, quicker transactions. Since the witness is external, the transaction size is smaller, thus a lower fee.

The largest block size possible with Segwit is 4 MB, but average would be around 2 MB. Segwit is a block size (weight) increase. A soft fork which increases on chain capacity without disrupting or hard forking the network.

Segwit also paves the way for future scalability implementations like LN, Schnorr signatures, sidechains, MAST. These would further decrease the fees and will make spam attacks far more expensive.

[Sadlife]

They were not rumors.
Bitcoin transaction fees have decreased SUBSTANTIALLY after the NYA agreement was formed. This is because miners immediately stopped spamming the network and now Bitcoin is almost as fast as it used to be before the scaling debate.

Segwit has locked in, but it has not activated yet. It will activate once this activation period is over. After that there will be a 2MB blocksize hard fork and consequently a split in November. Can't really say that the Segwit stuff is over.

Seriously im confused about this segwit scaling solution, i thought that it will only upgrade the bitcoin protocol by decreasing the 1 MB block size and taking it to another onchain network which is the lightning networl and i was shocked or rather surprised that there will be another split. Does this mean that there will be another bitcoin related coin ? What does it needed to split bitcoin in multiple currency ?

[drwhobox]

Segwit will reduce fees, but only after you move your coins to a segwit address (in a segwit capable wallet).

So it will still take some time until we reap the full benefits.

Hello Elebit, may i ask you something? What does segwit means? I kept on searching on some search engines still, it's hard to understand for me as a newbie. any explanations for me to keep it simple for a newbie?

Cheers!

[Yuhee]

They were not rumors.
Bitcoin transaction fees have decreased SUBSTANTIALLY after the NYA agreement was formed. This is because miners immediately stopped spamming the network and now Bitcoin is almost as fast as it used to be before the scaling debate.

Segwit has locked in, but it has not activated yet. It will activate once this activation period is over. After that there will be a 2MB blocksize hard fork and consequently a split in November. Can't really say that the Segwit stuff is over.

Seriously im confused about this segwit scaling solution, i thought that it will only upgrade the bitcoin protocol by decreasing the 1 MB block size and taking it to another onchain network which is the lightning networl and i was shocked or rather surprised that there will be another split. Does this mean that there will be another bitcoin related coin ? What does it needed to split bitcoin in multiple currency ?

From what im reading there are already speculations of 2nd split which can be called bitcoin core. For me this is good as btc is further developing and we just have to admire changes instead of whinning to the old versions. The same as the previous split where you could store your btc in a private wallet. Acquiring the free might differ on where you inputted your btc i guess wait until further instruction.

[panju1]

They were not rumors.
Bitcoin transaction fees have decreased SUBSTANTIALLY after the NYA agreement was formed. This is because miners immediately stopped spamming the network and now Bitcoin is almost as fast as it used to be before the scaling debate.

Segwit has locked in, but it has not activated yet. It will activate once this activation period is over. After that there will be a 2MB blocksize hard fork and consequently a split in November. Can't really say that the Segwit stuff is over.

Seriously im confused about this segwit scaling solution, i thought that it will only upgrade the bitcoin protocol by decreasing the 1 MB block size and taking it to another onchain network which is the lightning networl and i was shocked or rather surprised that there will be another split. Does this mean that there will be another bitcoin related coin ? What does it needed to split bitcoin in multiple currency ?

Segwit doesn't decrease the block size; it increases the effective block size by leaving out signatures from the data calculation. The next spit will happen if everybody doesn't agree on the 2x portion of Segwit 2x. Then miners may decide to go ahead and fork the blockchain with 2MB blocks.

[Yuhee]

Segwit will reduce fees, but only after you move your coins to a segwit address (in a segwit capable wallet).

So it will still take some time until we reap the full benefits.

Hello Elebit, may i ask you something? What does segwit means? I kept on searching on some search engines still, it's hard to understand for me as a newbie. any explanations for me to keep it simple for a newbie?

Cheers!

Well it would really hard to explain if you dont know other of the basic terms and trades in blockchain and the community. But to give you an idea if it helps, SegWit stands for Segregated Witness where 3 parties are involved. 1. sender 2. receiver 3. and a witness or the confirmations or miners. This can ease transactions and fees suppose to be if once activated. Well this is just the basic definition so better start reading for more infos.

[richminded]

People on the forum before Segwit were discussing about the transaction fee that after the segwit stuff is over the transaction fee will decrease. So, is there any chance for the fee to decrease now or these  were all rumours?

Not a rumor anymore, its happening now the fees are decreased i think because of segwit activation and this is really a good news for us since we can transact at a lower fees compare before, But i do hope that even you pay for a lower fees it will still provide a faster transaction.

[pooya87]

Segwit will reduce fees, but only after you move your coins to a segwit address (in a segwit capable wallet).

So it will still take some time until we reap the full benefits.

Hello Elebit, may i ask you something? What does segwit means? I kept on searching on some search engines still, it's hard to understand for me as a newbie. any explanations for me to keep it simple for a newbie?

Cheers!

you don't need to worry about it. think about SegWit as a different way that your bitcoin transactions are made. do you know how they are made now, how they are signed,...? if not then don't add to out confusion

although if you are interested you can read these:
https://bitcoincore.org/en/2016/01/26/segwit-benefits/
more technical details:
https://github.com/bitcoin/bips/blob/master/bip-0141.mediawiki
https://github.com/bitcoin/bips/blob/master/bip-0143.mediawiki
https://github.com/bitcoin/bips/blob/master/bip-0144.mediawiki

there are also youtube videos but i've never watched that many to want to recommend a proper one.

[Yakamoto]

People on the forum before Segwit were discussing about the transaction fee that after the segwit stuff is over the transaction fee will decrease. So, is there any chance for the fee to decrease now or these  were all rumours?

Looking at transactions there has been a pretty noticeable decrease in the satoshi/byte fee compared to where we were a month ago, and the amount of transactions that are queued up are no longer in the tens of thousands, so I would say that everything has gotten a lot better compared to where it used to be and it's going to be fixed for a long time. I don't exactly remember all of the important bits of information but the blocks should scale in the future so there will be next to no issues regarding fees and queues, if I am correct.

[malikusama]

Now the transaction fee is much better than before and also the confirmation time is reduced alot, bitcoin network is modifying and getting better day by day.

[ubercool]

The transaction fees decreased and the confirmations are fast actually. If you compare two transactions from the previous period and now you will see the difference. The economic or normal fee for a transaction got lowered substantially.

[stompix]

People on the forum before Segwit were discussing about the transaction fee that after the segwit stuff is over the transaction fee will decrease. So, is there any chance for the fee to decrease now or these  were all rumours?

Looking at transactions there has been a pretty noticeable decrease in the satoshi/byte fee compared to where we were a month ago, and the amount of transactions that are queued up are no longer in the tens of thousands, so I would say that everything has gotten a lot better compared to where it used to be and it's going to be fixed for a long time.

There is still a lot of data in the mempool but judging by the number of transactions their average size and value of tx is probably because of very large spammy transactions

12k unconfirmed with a huge 39M size is just not normal comapring to the last block which had almost 2k transactions in 1M.

But still tx with very low fees less than 20satoshi/b are going through.

[Kanapka]

I see transactions with fees as low as 0.0001 BTC or 25satoshi/B being confirmed in reasonable time, and the mempool has less than 200k confirmations.

I think the worst of transaction fee problem is already done, in my opinion

[drlukacs]

They were not rumors.
Bitcoin transaction fees have decreased SUBSTANTIALLY after the NYA agreement was formed. This is because miners immediately stopped spamming the network and now Bitcoin is almost as fast as it used to be before the scaling debate.

Segwit has locked in, but it has not activated yet. It will activate once this activation period is over. After that there will be a 2MB blocksize hard fork and consequently a split in November. Can't really say that the Segwit stuff is over.

Seriously im confused about this segwit scaling solution, i thought that it will only upgrade the bitcoin protocol by decreasing the 1 MB block size and taking it to another onchain network which is the lightning networl and i was shocked or rather surprised that there will be another split. Does this mean that there will be another bitcoin related coin ? What does it needed to split bitcoin in multiple currency ?

Segwit doesn't decrease the block size; it increases the effective block size by leaving out signatures from the data calculation. The next spit will happen if everybody doesn't agree on the 2x portion of Segwit 2x. Then miners may decide to go ahead and fork the blockchain with 2MB blocks.

If next time as your tell, SegWit will be upgrade blocksize Bitcoin from 1MB to 2MB, but not have split chain like SegWit2x right? Because I heared if not have SegWit2x, Bitcoin system can't upgrade it's blocksize and improve blockchain.

[Pursuer]

I see transactions with fees as low as 0.0001 BTC or 25satoshi/B being confirmed in reasonable time, and the mempool has less than 200k confirmations.

I think the worst of transaction fee problem is already done, in my opinion

this is what happens when spam attack stops.

most people seem to have lost their long term memory
apart from the short period of couple of months (maybe 4 or 5 months tops) in this year, fees have been very low. they never exceeded $1 for the most part and then the spam attack started in that short period of time and fees went up to ridiculous amounts. and now it has stopped so they are low again.

the same will be always true, if a spam attack starts fees will go up again. or if bitcoin adoption grows too much that the block size no longer can handle it, the fees will go up again. the good news about spam attack is that it can not go on forever because of the costs.

[nidacoinlove]

let me give you a TL DR of the fees so you can see what is going on and what can be the future:

in the past year the adoption of bitcoin grew substantially. that means more people using bitcoin and more transaction.
blocks have a limited space (1 MB) so they become full easier. now what you need to know is that the adoption only meant blocks were nearly full and everything was smooth and would have been smooth for a long time.
but what happened was that a big scale spam attack started, that caused the blocks to be full and then a lot of transactions got stuck in the mempool (there were no more space left in blocks because they were full of spam transactions).
and when that happens a "competition" starts. a competition to get in blocks and for that you have to pay more "fees". so fees grew.

this severity lasted a couple of months, but nearly around the time of NYA spam attack slowed down and came to a nearly full stop.

now with SegWit the capacity will increase which means more transactions but spam attack will always be a thing and it doesn't matter how much you increase the block size, it can always be a thing and cause the fees to go up.
[of course it is spam attack combined with miners rejecting low fee transactions even if the blocks are empty]

This is very much helpful to understand how the transaction fee increase and decrease, but the point is that bitcoin is gaining popularity day to day with the number of bitcoin users are increasing which may again make a burden on the bitcoin blockchain in the future so I think the fee increase could once again be an issue or what if in future the signature is attacked with a spam?
I guess this will be an ongoin issue with bitcoin or any steps have been taken to prevent such things in future?

[cafucafucafu]

People on the forum before Segwit were discussing about the transaction fee that after the segwit stuff is over the transaction fee will decrease. So, is there any chance for the fee to decrease now or these  were all rumours?

Weren’t rumours and it looks like me and some other people where correct. Transaction have decreased with Segwit and it was definitely worth the stress and panic. Looks like once again, the community has conquered another problem to Bitcoin and moved on, with a couple of extra additions. I am now saving 1-2 USD per transaction and that is quite a lot for someone who makes a lot of smaller transactions.
 
I also got a couple of free Bitcoin cash, so that was another plus side, who doesn’t love free money. Luckily sold them when someone was pumping and now I am 2000$ richer.

[sana54210]

The transaction fees decreased and the confirmations are fast actually. If you compare two transactions from the previous period and now you will see the difference. The economic or normal fee for a transaction got lowered substantially.

There has been an improvement in the process of transactions as compared to the past. The charges have gotten low and now the user is provided with the confirmation quickly. It is now more fun and easy to use Bitcoins. Due to this, more people are now getting attracted towards this digital currency. I just hope things keep on going better for all bitcoin holders.