2023-05-30 00:23:53
© Reuters. May is the month with the most fees for Bitcoin miners in 2 years
CriptoFácil – In May 2023, miners are having plenty of reasons to celebrate, having received more than US$ 2 million in transaction fees almost every day of the month. With the exception of the first two days, this trend demonstrates an especially positive period for the industry and has been driven largely by the Ordinals protocol.
According to data from The Block, the last time a similar revenue stream was seen by Bitcoin miners was in July 2021. However, to see multiple consecutive days with fees above $2 million, one has to go back to May. of that year. At the time, Bitcoin was trading above $50,000.
In contrast, the current situation shows Bitcoin trading at an average of $27,585, according to data from CoinMarketCap.
Increase in Bitcoin Fees
This increase in transaction fees is due to an actual increase in the amount of Bitcoins received by miners. This is borne out by statistics provided by mining company Braiins, which indicate that the percentage of these commissions averaged 78% of the block rewards awarded by the network on May 8.
The $2 million received in fees by miners in May corresponds to between 70 and 90 Bitcoins per day, depending on the value of the cryptocurrency each day.
The main cause of this scenario is the BRC-20 tokens, derived from the Ordinals protocol, which offer new methods to host data (text, images, videos, etc.) in different sections of Bitcoin transactions.
Such tools make it possible to issue non-fungible tokens (NFTs) and other types of tokens, such as memecoins and stablecoins, on the network, increasing activity to levels not seen for a long time.
Bitcoin miners are therefore recovering from a 2022 that brought losses for many of them. While the big companies managed to hold their own, the market downturn forced smaller miners to sell their reserves and even their equipment to cover maintenance costs.
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