The Bitcoin network has recently seen a dramatic reduction in transaction fees, with rates dropping to as low as 0.1 satoshi per virtual byte, a 90% decrease from the previous minimum of 1 satoshi per virtual byte. This change is attributed to a slump in blockchain activity, leading miners to lower fees to attract more transactions. Miners, who earn rewards by processing transactions, are experiencing a downturn as fewer users engage with the network for sending funds or using applications like NFTs. While some argue that lower fees encourage usage of Bitcoin for everyday transactions, others, including prominent figures like Jack Dorsey, stress that Bitcoin's success relies on its utility as a payment method rather than solely as a store of value. Discussions among users reveal mixed opinions, with some expressing satisfaction with lower costs, while concerns about network security remain. Ultimately, this fee reduction raises questions about Bitcoin's future roles in both transactions and investment.

Source 🔗