Re:Bitcoin Price Hits All-Time High of $19,786, Topping 2017...
by brian_cloutier on Monday November 30, 2020 @02:27PM
(#25257804)
Thanks for clarifying. I'm not sure it would increase the environmental externalities.
Since transaction inclusion is a marketplace and since most products we care about will continue to be denominated in local currencies I don't think transaction fees will change much as the price of bitcoin changes.
As the dollar-denominated value of a 0.01btc fee increases people will become less willing to spend that 0.01btc. There might be some stickiness but I expect the kwh-denominated fees will grow much more slowly than the price of bitcoin.
Since transaction inclusion is a marketplace and since most products we care about will continue to be denominated in local currencies I don't think transaction fees will change much as the price of bitcoin changes.
As the dollar-denominated value of a 0.01btc fee increases people will become less willing to spend that 0.01btc. There might be some stickiness but I expect the kwh-denominated fees will grow much more slowly than the price of bitcoin.