Transaction fees grow 1300%

[freightjoe]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year


a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

[buwaytress]

Sorry but if you use charts that include all the spam transactions as well as send-to-many transactions then you're not getting a real picture of efficient cost. When spending from my own wallet, I've still managed to keep fees very reasonable, never above 0.5% of total amount and on average far below 0.05%.

Just yesterday you could send txs for 10 satoshi per byte and get it confirmed in hours.

I get that a lot of people are complaining about high fees especially when withdrawing from services online but those are fees levied by the services. When in control of your own funds and wallet you can navigate around peak network times to get really cheap fees.

[davis196]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year


a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

The number of transactions increased ,the bitcoin price increased as well so it`s normal for the transaction fees to increase.Anyway,this chart doesn`t explain anything.What is this 68 USD cost per transaction?
Is this the cost to send 1 bitcoin to some other address for a set amount of confirmation time?
If yes,then 70$ is less then one 1% of the bitcoin price,which is quite normal.

[freightjoe]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year


a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

The number of transactions increased ,the bitcoin price increased as well so it`s normal for the transaction fees to increase.Anyway,this chart doesn`t explain anything.What is this 68 USD cost per transaction?
Is this the cost to send 1 bitcoin to some other address for a set amount of confirmation time?
If yes,then 70$ is less then one 1% of the bitcoin price,which is quite normal.

That is still much more expensive than what I pay at my normal bank now for larger transactions

[mocacinno]

I don't know where they get this number:
https://bitcoinfees.earn.com/

At the time of writing, the optimal transaction fee for a 95% chance of getting into the next 3 blocks is 270 sat/byte.
An average transaction is still 226 bytes. This comes to an optimal transaction fee of 61k satoshi's, that's 0.0006 BTC = about $5 at the current preev rate.

If you use a segwit wallet, the fee is a lot less, if you're willing to wait longer than 30 minutes (on average), the necessary fee also drops.

The only way to reach a $70 transaction fee is by using a massive amount of inputs/outputs, not using a segwit transaction and overpaying your fee

[hugeblack]

no this is Because two reasons
1) huge spam that happen after 11/11 it was full block size fee(1000 sat) that will make chart up .

2) huge increase of bitcoin price from 1,000$ to 8,000$ that much fee increase.

now coinbase and blockchain.info will support 2x which will make number of fee reduce fast   in future and when price stable also fee when be down so don’t worry



your chart is wrong (cost of fee which is increase because price) this is real chart

https://bitinfocharts.com/comparison/bitcoin-transactionfees.html

[bug.lady]

I don't know where they get this number:
https://bitcoinfees.earn.com/

At the time of writing, the optimal transaction fee for a 95% chance of getting into the next 3 blocks is 270 sat/byte.
An average transaction is still 226 bytes. This comes to an optimal transaction fee of 61k satoshi's, that's 0.0006 BTC = about $5 at the current preev rate.

If you use a segwit wallet, the fee is a lot less, if you're willing to wait longer than 30 minutes (on average), the necessary fee also drops.

The only way to reach a $70 transaction fee is by using a massive amount of inputs/outputs, not using a segwit transaction and overpaying your fee

Anyways, 5 USD is not the acceptable level either. And the rise of bitcoin price is no excuse here - with higher price, the miners should be happy to get equivalent USD fees, i.e. transaction fees should be accepted even if lower in BTC

[Gens09]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year


a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

Obviously this is not a surprise to everyone i guess because we all know the the bitcoin price in the market is skyrocket so i guess we would also expect a higher fee in every transaction for a 0.001 fee on the last year would not cause you a lot but for the price of bitcoin today you could now notice that the small amount of that bitcoin is already increases a lot today.

[mocacinno]

I don't know where they get this number:
https://bitcoinfees.earn.com/

At the time of writing, the optimal transaction fee for a 95% chance of getting into the next 3 blocks is 270 sat/byte.
An average transaction is still 226 bytes. This comes to an optimal transaction fee of 61k satoshi's, that's 0.0006 BTC = about $5 at the current preev rate.

If you use a segwit wallet, the fee is a lot less, if you're willing to wait longer than 30 minutes (on average), the necessary fee also drops.

The only way to reach a $70 transaction fee is by using a massive amount of inputs/outputs, not using a segwit transaction and overpaying your fee

Anyways, 5 USD is not the acceptable level either. And the rise of bitcoin price is no excuse here - with higher price, the miners should be happy to get equivalent USD fees, i.e. transaction fees should be accepted even in lower in BTC

I do have to agree with you that $5 is to much... But miners are running a business. They make about 2,5 BTC/block in fees (at least, that's what i calculated a couple weeks ago). If they have sufficient high-fee transactions, there is no incentive for them to pick low-fee transactions and lose out on these fees.
You have to realise nowadays, most miners are no longer idealists who mine to decentralise the network... Nowadays, the bulk of the miners are big companies that invested millions in ASIC's, and they want to make a profit (since this is their job, they do it to support their families, and the families of their employees).

Even if the miners would pick, let's say, transactions with a 10 sat/byte fee, while there are 270 sat/byte transactions sitting in their mempools... Do you think the people that payed 270 sat/byte would be happy?  They payed a lot of money to have a decent shot at getting a fast confirmation, i guess they would be pissed off if they saw block after block being broadcasted filled with low fee transactions while they were still waiting to see their high fee transaction end up in a block...

[bug.lady]

I don't know where they get this number:
https://bitcoinfees.earn.com/

At the time of writing, the optimal transaction fee for a 95% chance of getting into the next 3 blocks is 270 sat/byte.
An average transaction is still 226 bytes. This comes to an optimal transaction fee of 61k satoshi's, that's 0.0006 BTC = about $5 at the current preev rate.

If you use a segwit wallet, the fee is a lot less, if you're willing to wait longer than 30 minutes (on average), the necessary fee also drops.

The only way to reach a $70 transaction fee is by using a massive amount of inputs/outputs, not using a segwit transaction and overpaying your fee

Anyways, 5 USD is not the acceptable level either. And the rise of bitcoin price is no excuse here - with higher price, the miners should be happy to get equivalent USD fees, i.e. transaction fees should be accepted even in lower in BTC

I do have to agree with you that $5 is to much... But miners are running a business. They make about 2,5 BTC/block in fees (at least, that's what i calculated a couple weeks ago). If they have sufficient high-fee transactions, there is no incentive for them to pick low-fee transactions and lose out on these fees.
You have to realise nowadays, most miners are no longer idealists who mine to decentralise the network... Nowadays, the bulk of the miners are big companies that invested millions in ASIC's, and they want to make a profit (since this is their job, they do it to support their families, and the families of their employees).

so basically you are saying that it is the thing of supply and demand. You are right. But where do the high fee transactions come from?

Obviously it works the other way around too. If the blocks had space to allow for more transactions it would not be reasonable for miners not to include even the outstanding low fee transactions, because not including them would be a lost profit. And if the provider of the high fee transaction knew, that it is unnecessary to make the fee so high, even if it is, say, 10fold smaller, it WILL be included in the next block, then the transaction fees would lower for everybody.

[kapipindot]

Transaction fees did increase in our local bitcoin exchange wallet. Last year its was just .5 -1$ per transfer to blochchain.info now I was surprised when I helped a friend to fund his wallet. Transaction fee from fiat to bitcoin was around 10$ for a 40$ worth of bitcoin. Bitcoin price that time was 400$. I guess transaction fees were adjusted because the price of bitcoin rocketed. Total injustice for us small time investors.

[richlipkin]

It is a multifaceted story. People often send with higher fees because of the algos on wallets that guess fees based on the network state. But I have personally sent with much lower fees than that and had my tx go through.

Posts like this are one-dimensional and seem to be propogated to spread the political narrative of the people who are filling the blockchain with zero-transaction-fee spam.

[endlasuresh]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year
a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

The number of transactions increased ,the bitcoin price increased as well so it`s normal for the transaction fees to increase.Anyway,this chart doesn`t explain anything.What is this 68 USD cost per transaction?
Is this the cost to send 1 bitcoin to some other address for a set amount of confirmation time?
If yes,then 70$ is less then one 1% of the bitcoin price,which is quite normal.

That is still much more expensive than what I pay at my normal bank now for larger transactions

Yep, I have never such fees in Paypal or money bookers, Egold etc as I see a lot of fee is occurring when I am trying to exchange money.  It is hard to exchange or pay money someone since so many people exchange little amount of money when they are new to each other, also we are unable to trust other because we all live in different places.

people and investments are raised from world wide, also the price of Bitcoin that made to increase the transaction fee.

[secondgarlic]

This is one of my biggest concerns regarding bitcoin. When can we expect a decrease in the fees? Because the current status is unacceptable in my opinion, the high transaction fees prevent bitcoin from becoming a reliable mode of daily payment.

[maydna]

if the fee is grow until 1300% then i think it will makes the price is increase really higher because no one will send bitcoin with high fee. if the fee from 0.0005-0.001 btc become 0.005 btc then i think people will need a break and they need to save more bitcoin because they will thinking about the fee. i think the price will makes adjustment for the fee so we don't have to pay the fee with higher fee and i think the fee is just for temporary and soon the fee will be decrease.

[Faolom]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year


a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

The number of transactions increased ,the bitcoin price increased as well so it`s normal for the transaction fees to increase.Anyway,this chart doesn`t explain anything.What is this 68 USD cost per transaction?
Is this the cost to send 1 bitcoin to some other address for a set amount of confirmation time?
If yes,then 70$ is less then one 1% of the bitcoin price,which is quite normal.

I fully agree with you, but 70$ I think too much. Who knows how much the price has grown since that time? %?

[Anne8]

The data is very clear. In the past year transaction fees have grown more than 1300%:

https://blockchain.info/charts/cost-per-transaction?timespan=1year


a year ago it was less than 5$ per transaction, now we are close to 70$ on average.

I have surprised reading this thread. Why is it so high?? So if bitcoin price is the reason then its not good.
People want bitcoin even higher price but with low cost.

[BingoDog]

You have to know that the circumstances on the market are no longer the same as they were before. There are much more transactions and much more users, the cost of bitcoin has changed too and all this influence the transaction fees too. But not all fees are exaggarated so you also have to be careful what service do you use and whether you can control the fees or not. Miners are those who are leading this game so what would be the final result depends also on them.

[khaled0111]

You can choose a customized fee and your transaction will be confirmed (choose a reasonable fee).
I think your analysis is wrong, take a second look at the chart : https://blockchain.info/charts/cost-per-transaction?timespan=1year
Now take a look at bitcoin price chart: https://coinmarketcap.com/currencies/bitcoin/#charts
You will find that the cost per transaction "in bitcoin not usd" is the same during the whole year, it's just btc price rising.
The chart is about cost per transaction (miners revenue divided by the number of transactions) not transaction fee.

[Geroxanney]

The bitcoin commission sometimes grows to unreasonable limits. Bitcoin scaling can solve this problem