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Distribution of bitcoins in users' wallets and transaction fees

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Whales have become regular participants of the Bitcoin market (BTC) , often moving large amounts of the main cryptocurrency between exchanges , thereby arresting community interest. The market’s turbulent response to large-scale transactions leaves wallets with a relatively small BTC balance in the shadow.

The latest report of the analytic company for cryptocurrency Longhash indicates a noticeable discrepancy between the Bitcoin addresses, which creates a kind of bottleneck. In a report referring to BitInfoCharts data, it is reported that over 18 million BTC addresses contained from $ 1 to $ 100.

Longhash added that the reason for this kind of bottleneck is the “commission per transaction” of digital assets, which can fluctuate.

In addition, only one third of the above number, or 6.1 million addresses contain bitcoins in the amount of $ 100 to $ 1000. If you look at higher balance sheets – from $ 1,000 to $ 10,000, the number of addresses will decrease by more than 62% , their number is about 2.29 million.

And only 541,959 addresses contain BTC in the amount of more than $ 10,000. The report also analyzes the apparent imbalance between address balances:

“Although this distribution may be a positive sign that bitcoin is not only for wealthy people, high transaction fees can be an obstacle for small owners.”

The report adds that commissions for Bitcoin transactions registered this year were quite low, allowing you to use Bitcoin as an "effective tool for daily payments." However, with an increase in commissions in the middle of the year, the cost of the transaction processed in the next block reaches $ 2.54.

Taking into account the commission structure of Bitcoin, we see that the movement of whales leads to small commissions, while for small transactions it is too high. Consequently, the transaction structure itself is a stimulus for accumulating and sending large amounts in bitcoins and prevents small transfers.

The output of the report was the following statement:

“A large number of small BTC holders may seem encouraging, the high transaction fees may mean that at present, it is unlikely that many will spend their BTC. A huge number of small Bitcoin holders illustrate the need for scalable solutions that would limit the periodically increasing transaction fees. ”

Publication date 10.06.2019
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Wells Fargo will launch stablecoin for internal settlements

Wells Fargo & Company, an American financial company, will launch Wells Fargo Digital Cash, a pilot blockchain service for internal payments, based on Corda Enterprise. According to a press release, Wells Fargo Digital Cash will provide almost instant international transfers between company branches using digitized funds (tokens). The company has already tested the concept on transfers from the USA to Canada. The launch of the project is scheduled for 2020 […]

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Wells Fargo & Company, an American financial company, will launch Wells Fargo Digital Cash, a pilot blockchain service for internal payments, based on Corda Enterprise.

According to a press release , Wells Fargo Digital Cash will provide almost instant international transfers between company branches using digitized funds (tokens).

The company has already tested the concept on transfers from the USA to Canada.

The launch of the project is scheduled for 2020. Wells Fargo Digital Cash will initially provide dollar payments, but then add support for other currencies.

Recall that previously the largest US financial holding company JPMorgan developed its own stablecoin JPMCoin for making international payments to large customers.

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Wells Fargo is going to present its own stablecoin in 2020

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Wells Fargo, the fourth largest bank in the US, plans to introduce its own stablecoin in 2020, which will be used in cross-border transfers.

The press release said that the new Wells Fargo platform will create an international payment network based on distributed ledger technology. With the help of this system, as well as the Wells Fargo Digital Cash asset, payments will be made. The stablecoin being developed will be pegged to the US dollar. Initially, the network will be used for internal calculations, after which it will be integrated with other applications.

Lisa Fraser, representative of Wells Fagro, noted that DLT technology has many options for use, the company believes that it can also be successfully applied in banking. In addition, Wells Fargo Digital Cash is expected to enable the company to overcome barriers that still hindered effective cross-border payments in real time.

As you can see Wells Fargo followed the example of the bank JPMorgan Chase, which also introduced its own digital currency. It is noteworthy that back in July, Wells Fargo forbade customers to use credit cards to purchase cryptocurrency and its use in transactions.

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In the Bitcoin blockchain, a record of the network hashrate and the share of SegWit transactions

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is set

The volume of computing power in the Bitcoin blockchain this Monday reached a record value above 104 quintillion per second, according to Smartbit portal data.

The record was fixed after approaching the level of 100 EH / s last week and the subsequent small rollback. Before the current growth period, which began in December and accelerated in June, the previous maximum was fixed at 60 EH / s in October 2018.

As noted earlier, over the past three months , about 600,000 new ASIC miners have joined the Bitcoin network, which has led to a rapid increase in the hash rate .

Last week, another message appeared that the authorities of one of the provinces of China are taking measures to close mining enterprises on their territory.

Also today, transactionfee portal announced another record – the share of transactions in the Bitcoin blockchain using Segregated Witness (SegWit) technology for the first time exceeded 50%.

On the main Bitcoin network, SegWit was activated on August 24, 2017. The technology is aimed at solving the problems of blockchain scalability, transaction plasticity, and also allows you to implement other optimizations. After the jump to 38% last May, the spread of SegWit slowed down and until recently ranged from 40-45%.

Casa Bitcoin developer and CTO Jameson Lopp previously spoke of the proliferation of technology that responded to the congestion of the cryptocurrency network:

"Reducing the demand for transactions, improving algorithms for calculating commissions, distributing SegWit and grouping transactions have led to more efficient use of space in blocks and reduced competition for this scarce resource."

At the same time, the price of the leading cryptocurrency , having shown a steady rise in the first half of the year, has remained in a fairly narrow range over the past months and amounts to about $ 10,000.

Publication date 09/17/2019
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Name Price24H (%)
Bitcoin (BTC)
$10,210.13
0.01%
Ethereum (ETH)
$212.60
8.22%
XRP (XRP)
$0.302384
16.20%
Bitcoin Cash (BCH)
$323.97
5.81%
EOS (EOS)
$4.10
1.56%
Stellar (XLM)
$0.065506
12.23%
Litecoin (LTC)
$75.82
4.83%
Cardano (ADA)
$0.050778
7.95%
Tether (USDT)
$1.00
0.08%
Monero (XMR)
$74.77
0.00%
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