Average fee on the Bitcoin network jumps by 194% in three days

The total amount of transaction fees in the blockchain of the first cryptocurrency reached $3,5 million on May 3

05.05.2023 - 12:15

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What’s new? In early May, transaction fees on the bitcoin blockchain skyrocketed to a two-year high. On May 3, for example, the average fee was $7,241, jumping by 194% from April 30 ($2,461), according to YCharts. The total amount of fees, according to CryptoFees, rose by 152% over the same period, from $1,39 million to $3,5 million.

CryptoFees’ data

What else is known? The latest increase in BTC transaction fees is mainly due to the surge in activity around BRC-20 tokens. On May 2, for example, according to Galaxy Research, 50% of all bitcoin transactions involved BRC-20.

Transaction fees on the #Bitcoin network yesterday reached their highest point in 2 years, both by mean sats/vbyte per transaction in daily cumulative fees paid. Half of all transactions yesterday related to BRC-20 transactions. 🤔 pic.twitter.com/J8geOOxwlM — Galaxy Research (@glxyresearch) May 3, 2023

BRC-20 is an experimental token standard that allows users to issue and transfer fungible tokens on the Bitcoin blockchain. The standard was introduced in March 2023 by anonymous on-chain analyst Domo.

The BRC-20 token standard has quickly become a major trend in the crypto industry, especially amid the sharp growth of PEPE. Over the past seven days, the meme token has gained more than 917,1%, reaching an all-time high of $0,00000232 on May 5, according to aggregator CoinGecko.

Earlier, three suspicious features were discovered in the PEPE smart token, which could be used by the project’s developers to perform an exit scam or dump of the asset.

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