The cost of using the Bitcoin and Ethereum blockchains is on the rapid decline, as evidenced by a 93%–95% reduction in average transaction fees over the past couple of months. Fees are paid to the miners who process transactions on a typical proof-of-work blockchain. The size of the fee depends on the size of the transaction in bytes and how many transactions a coin has gone through in the past (as these need to be checked every time a coin is moved). Supply and demand for space also dictate the size of a transaction fee since blockchains have limited capacity. …
Hedera Hashgraph, a decentralized public network targeting enterprises and claims to be capable of processing 10,000 cryptocurrency transactions per second (TPS), has publicly launched its beta mainnet this Monday. Despite the project’s governing council attracting membership from major multinational corporations — including IBM and reportedly Boeing — some analysts are expressing skepticism regarding Hedera’s representation of Hashgraph’s purported performance. Hedera introduces the Hashgraph algorithm Hedera first launched on March 13, 2018, with the project then comprising just a white paper and the Hashgraph consensus algorithm. Describing itself as a third-generation distributed ledger technology, the Hashgraph algorithm is described as a …
According to YCharts data, the average transaction fee of Bitcoin (BTC) has dropped from $4.40 to $1.80 this year, a decrease of 57.97%. This rise may be attributed to a variety of factors. One explanation is that the fast expansion of the Bitcoin Lightning Network, in which transactions are off the blockchain, may have been a catalyst. For perspective, the Bitcoin network charges a fee for each transaction. This payment is then divided between miners. When the network is congested and demand for transaction processing far surpasses the supply of miners, users frequently pay more. On April 21, the average …
Securitize, a digital securities issuance platform backed by major cryptocurrency exchange Coinbase, has announced a new tool that assures that secondary market transactions of digital securities are compliant with regulations. According to an April 22 blog post, Securitize Instant Access streamlines the creation of compliant peer-to-peer transactions by investors in private securities. To ensure that transactions meet the necessary requirements, Securitize uses smart contracts on the Ethereum blockchain. To initiate a transaction, investors privately create an indication of interest to sell their digital securities with a web link, which can be posted and shared across various channels. The blog post …
Ethereum (ETH) hodlers that don’t play their cards right following the Ethereum Merge may be in for a hefty bill come tax time, according to tax experts. Around Sept.15, the Ethereum blockchain is set to transition from its current proof-of-work (PoW) consensus mechanism to proof-of-stake (PoS), aimed at improving the network’s impact on the environment. There is a chance that The Merge will result in a contentious hard fork, which will cause ETH holders to receive duplicate units of hard-forked Ethereum tokens, similar to what happened when the Ethereum and Ethereum Classic hard fork occurred in 2016. Tax compliance firm …