July 6, 2023

BTC Miners Collect Transaction Fees in Q2 More Than of Whole 2022

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Bitcoin (BTC) miners collected around $184 million from transaction fees in the second quarter of 2023, a figure which is higher than the one recorded in the whole of 2022, according to Cointelegraph.

The $184 million made in Q2 represents more than a 270% increase from the first quarter of 2023. It is the first quarter that exceeds the $100 million mark since the second quarter of 2021, Coin Metrics, a crypto intelligence company, said in a recent report.

Coin Metrics attributed this hike to the increase in the Bitcoin prices that surpassed $30,000 and the emergence of BRC-20, a new token standard on Bitcoin introduced in March, noting: “The token standard does unlock experimental new use cases for Bitcoin’s core transaction types, and accelerates the push to scale Bitcoin with the Lightning Network.”

In addition, Bitcoin miners, who are residing in the US, enjoy the benefits of the receding inflation pressures, which translated into lower electricity prices, the intelligence firm added.

Despite the remarkable jump, this amount of money only represents 7.7% of the total $2.4 billion made by miners over the second quarter.

It is worth mentioning that the data volume and the user demand for block space determine the amount of the transaction fees which the Bitcoin miners receive.

In June, Data from TradingView showed that Bitcoin has hit above 50% of the whole crypto market cap at the time of writing, which means that its total value in the crypto market is more than half of $1.1 trillion (the total value of the crypto market). According to data from Coingecko, Bitcoin’s current market capitalization stands at more than $522.7 million.

Since November 2022, Bitcoin’s market dominance hiked by more than 10.5% in light of the FTX collapse and investors’ keenness to invest in BTC as a safe crypto asset.

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