Bitcoin mining company Riot Blockchain Inc. and on-chain analytics firm Blockware Solutions have released a report detailing the future scalability of Bitcoin transaction fees, according to a statement sent to Bitcoin Magazine.
The report notes that the average transaction size per individual currently represents between 1-5 Bitcoin transactions per year and explains that this would likely evolve to 1-5 Bitcoin transactions per day becoming a medium of exchange .
With an estimated seven billion people using bitcoin, this transactional increase would require the network to increase throughput equal to 79,843.75 times its current capacity. Thus, the report explains that as transactions expand worldwide, more users would turn to second- and third-layer scaling solutions such as Fedimint and Lightning Network.
However, scaling solutions will not be available immediately. Therefore, the report details that over the next 20 years there will likely be a period of high fees in the chain that will encourage the development of more scaling solutions.
Also, as on-chain fees rise and block grants fall, miners will increasingly look to transaction fees for their source of income. In doing so, the research shows that miners should expect to generate more revenue from transaction fees than subsidies from 2032 to 2048.
Additionally, the report details three attack vectors that include economic and non-economic attacks and compares them to Bitcoin’s antifragility with increased transaction fees adding to attack costs.
“It’s impossible to know, but it’s safe to say that the long-term “safety” of Bitcoin is likely and that miners will likely experience more scaling cycles where they earn a significant amount of transaction fees as Bitcoin adoption grows. accelerates and its use as a medium. exchange begins,” the report concludes.