Bitcoin mining rates are derived from the exchanges
20% of Bitcoin’s total mining commission fees are collected by the exchanges. The information was provided by the Newsbtc portal, which highlighted the current impact of the exchange portals.
In this way, centralized firms accumulate less and less of the Bitcoin money generated by the miners. This trend is stimulated by the progressive massification of the pioneer cryptomone.
In this sense, the portals dedicated to the exchange of crypto currencies will no longer be one of the main forces in this field. In other words, they will already give up the space they occupy next to the Bitcoin mining pools in the reception of tariffs.
20% of Bitcoin mining rates
Over the past few years, the percentage of Bitcoin mining fees, accumulated on the exchanges, has decreased significantly. This is due to several important factors.
The most prominent of these is that people, especially businesses, are beginning to accept crypto currencies as a form of payment. This is expressed in that, for certain purchases, it is no longer necessary to exchange bitcoins for fiat currencies to make payments.
As this adoption of digital currencies increases, the percentage of coins left in the hands of exchange platforms will decrease. This, of course, does not mean that exchanges are doomed to disappear.
The graphs in the recent study show that the percentage of Bitcoin mining fees received by exchanges is decreasing. Source: Glassnode
The graphs in the recent study show that the percentage of Bitcoin mining fees received by the exchanges is decreasing. Source: Glassnode
It increases the income of capital in the exchanges, what are the consequences?
A percentage cut does not mean less income
Despite this progressive percentage decrease in the amount of fees, the exchanges have the least concerns about it. This is explained by the general trend of Bitcoin prices, which are rising.
This means that a higher percentage today may mean less money than a few years from now for a lower percentage. In other words, if the price of Bitcoin rises at a faster rate than the percentage drops, there’s still a profit to be made.
This is the secret of the success of the large crypto-currency exchanges, despite the fact that they cover less fees for the commissions that come from Bitcoin mining.