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Transaction fees are lower because no one really uses the L1 network for commerce anymore. It goes back to the 2017 block size war. >Besides that, there are ot
by beeflet 1y ago
Transaction fees are lower because no one really uses the L1 network for commerce anymore. It goes back to the 2017 block size war.
>Besides that, there are other cryptocurrencies (Solana? Stellar?) which have effectively zero fees and are much faster than Bitcoin.
They are faster because they are not very decentralized. The entry costs for vendors to independently audit and verify payments the blockchain is greater.
- Spivak 1y agoAre there currencies you would actually do something with other than it being a way to move $local_currency by means of exchanges? Because I'm not sure it really solves anything when exchanges find themselves with the same regulations as Visa.
- beeflet 1y agoYeah, you have anonymous cryptocurrencies like monero or zcash. So I suppose you could accept payment in an anonymous cryptocurrency, and then take that to whatever exchange you want. It's flawed, but I think the end goal is to create a "circular economy" based on anonymous currrency, so you never have to cash out.
- paulryanrogers 1y agoWon't that just push KYC onto merchants? People don't like it when crime pays (easily and well).
- beeflet 1y agoNot anymore than with cash.
- paulryanrogers 1y agoIsn't it more scalable than cash? Moving large amounts of cash is risky and hard to hide. It also offers the public a very easy to understand medium of exchange, which is why most consider it worth keeping despite its illicit use.