Bitcoin transaction fees have spiked to $27.55, driven by a backlog of 249,000 unconfirmed transactions. The rise is linked to a surge in Ordinal inscriptions, consuming over 50% of daily transactions, impacting fees despite their smaller block data size. The Segregated Witness (Segwit) discount plays a crucial role in maintaining efficiency within Bitcoin blocks. Learn how these trends shape the current state of Bitcoin transactions.
Bitcoin transaction fees surged to $27.55 on Dec. 6, 2023, with a backlog of 249,000 unconfirmed transactions. The spike is attributed to Ordinal inscriptions, accounting for over 50% of daily transactions. Despite their smaller block data size, these inscriptions contribute significantly to fees, ranging from 20% to 40% of the total. Glassnode’s Checkmate emphasized the role of Segwit in enhancing efficiency within existing block sizes, addressing concerns about inscriptions. This surge prompts a closer look at the evolving dynamics of Bitcoin transactions and the impact of ideological perspectives on network functionality.