Bitcoin security budget calculator problem & long-term sustainability and fees in future
How high would Bitcoin's fees be if his price increases significantly?
| Reward + fees | Together in BTC | Together in USD |
|---|---|---|
| 3.125 ₿ + 0.40000000 ₿ | 3.525 ₿ | $ 352 500.00 * |
* This is an approximate estimate. For comparison, the average remuneration in USD is as of November 3, 2021 according to https://mempool.space/ about 400,000 USD every 10 minutes. At hashrate 160.7 Ehash / s.
Hypothesis
Bitcoin users want low transaction fees and a secure network that they can trust with a resilient 51% attack. These motivations will inevitably go against each other in the future, when the rewards of the mined Bitcons will be significantly reduced for the miners.
Will the balance between rewarding miners for securing the network and users' willingness to pay high fees continue to work for next 30-40 years?
In the calculator you can simulate price, amount of the sat / vByte, fee, the size of the transaction and in which specific post-halving epoch, and from this you derive amount of the fee & the miners' reward. Write comments if you think the network is sustainable in the longterm run. I will also be happy for constructive criticism & tips for improvement.
FAQ & How does the calculator calculate?
Values in the examples are based on the values entered into the calculator.
Onchain transaction fee in USD
"fee satoshi/vByte" * "transaction size" * "BTC price") / "100 000 0000 satoshi"
Example: 10 * 141 * 100 000 / 100 000 000 = $ 1.41
Miners' fees in USD and from the mined block
"fee satoshi/byte" * "4 000 000 (Weight Unit)" * "block fullness" / 100 000 000 satoshi
Example: 10 * 4 000 000 * 1 / 100 000 000 = 0.40000000 ₿
Total remuneration to miners in USD and from the extracted block
(Block reward + fees) * BTC price
Example: 3.125 ₿ + 0.40000000 ₿ = 3.525 ₿
3.525* 100 000 = $ 352 500.00
Transaction size in weight unit
Segwit address: vBytes = inputs * 68.5 + outputs * 31 + 10
Legacy address: bytes = inputs * 146 + outputs * 33 + 10 ( Source )
The block size is 4,000,000 Block weight (formerly 1MB). ( Source )
The size of all data except segwit now weighs 4 * vByte.
All data relevant to segwit have a weight of 1.
Created by Tomáš Vojta tomas.vojta@marshi.cz