Re: DNotes 2.0 - Bridging the Gap Between the Centralized and Decentralized World
Reality check: If you have a lot of money, paying a $20 - $100 transaction fee may not bother you if it is done to transfer large amounts of money in a secure manner. For the other 99% of the world's population, it is a dealbreaker. At this point, bitcoin is no longer the 'currency of the people', or a currency at all for that matter. Your morning latte would cost $103.75... I don't think so!
Bitcoin Users Would Pay Up To $100 Fees: Adam Back, Bruce Fenton
https://cointelegraph.com/news/bitcoin-users-would-pay-up-to-100-fees-adam-back-bruce-fenton
Meanwhile, BitPay's CEO says, [W]e think Bitcoin is working perfectly.
I just did some math on the data available at: https://blockchain.info/stats
| Date | | BTC in USD | | Total Transactions | | Total Fees in BTC | | Fees x USD value | | Total Fees in USD / Total Transactions | |
| Prev 24 | $2,835.89 | 298304 | 478.40223835 | $1,356,696.12 | $4.55 |
So yesterday's average transaction fee for BTC looks like it was $4.55
Let me know if that looks wrong. But it is a far cry from a $100 warning.
Thanks Tim, that is very helpful!
You're right, $4.55 is a long way from $100. The wealthy may claim they would be willing to pay up to $100 fee (because they think bitcoin is worth it), but they are certainly thinking only of themselves with comments like that. Which users is Adam Back speaking of when saying he "bets users would too" (be willing to pay $100 per transaction)? Over 70% of the world's population lives on less than $10 a day, with around 3 billion people living on less than $2 a day. Even at $4.55 per transaction, how many people can afford that fee even for an occasional transfer of value? So much for financial inclusion.
The possibility of extremely high fees in the future is certainly something for businesses to consider before going "all in" with bitcoin. Assuming we are at a really low level of transactions per day in this early stage of bitcoin adoption, any guesses on how high the fee could go?