so first of all, you don't need to store all historical data to operate bitcoin node. it needs to be bootstrapped, but after that there is a thing called UTXO s

so first of all, you don't need to store all historical data to operate bitcoin node. it needs to be bootstrapped, but after that there is a thing called UTXO set which tracks unspent outputs (basically account balances), so you don't need to go all the way back to verify you can spend something from a tx in year 2010. so basically as you bootstrap and verify you can prune older blocks without sacrificing security. also there were some proposals related to utxo set commitments, where utxo set signature is recorded in the blockchain, so bootstrapping node can just download it from anyone and verify starting from the commitment block. this would solve the problem entirely. second - storage and bandwidth are still a concern out of which a whole bitcoin cash altcoin was born - some people thought it would be good idea to go with even larger blocks justifying it by even more handwaving. third - there is a strong push towards developing upper layers of the network, so called payment channels. one solution that already exists on mainnet in alpha stage is Lightning Network, is basically a protocol for routing payments between multiple channels kademlia-like. these channel transactions are not recorded in the blockchain, you only need to pay fees for opening and closing a channel, so two on-chain transactions, and then you use your channel funds like a debit card, paying for low cost things. and your last point - yes, halving is a significant event during which miners lost almost half the revenue. on original bitcoin network this is offset by a working fee market: right now about 20%+ of block rewards come from tx fees. obviously miners know the schedule of halvenings and those that will become unprofitable will try to get rid of their infrastructure investments beforehand - this will lower network hashrate which will send tx fees higher, which will somewhat offset losses as well. we've already been through couple halvenings, they didn't really affect much, i think next one will be crucial test for bitcoin's survivability. of course people pushing for zero fee transactions are trying to have their cake and eat it too, storage is a scarce resource and nobody can sustainably to offer it for free. bottom line is - blockchain cannot scale to micro transactions, most of economic activity will be done in payment channels, on chain transactions will be mostly for high-value settlements between larger players (banks, exchanges, etc). edit: word