The BitPay platform will not process Pitcin payments of less than $ 100

One of the largest BitPay online payment processing platforms, BitPay, announced that it will not process transactions under $ 100 due to the rapid rise in the Bitquin transaction charges.

No transactions over $ 100 anymore

Over the past few months, the volume of "mempool" has increased to more than 100 million bytes. As the number of users, the average transaction value per day, user activity increased to double the fold. As a result, due to the failure of the Seagate update and the fixed block size (1 MB), the average transaction fee for Bitquin exceeded $ 30. According to Bitcoin Fees, Earn.com's Paycoin Transaction Forecasting Platform, the fastest transaction fee is currently 950 Satoshi per second, or 214,700 Satoshi for medium-sized transactions, equivalent to $ 28.7. Therefore, BitPay disclosed in an official statement that the company would not be able to process Pitcuin payments of less than $ 100, as this would result in a fee of approximately 30 percent of the actual amount of the transaction. The BitPay currency team writes:

"The Betcoin network has seen a record volume in the last few weeks. This growth also resulted in network congestion and the recording of high mining fees. Mining charges currently amount to more than $ 30 per transaction on average. To protect buyers and continue to provide Bitquin payments, we are now requesting a new minimum billing level of $ 100 in all BitPay invoices. "

BitPay explained that its development team will actively implement the Segwayet update in the coming months, which will reduce the Batcoin transaction fee by about 40 percent. "The update of Segwayet will reduce the volume of Bitquin transactions, allowing the reduction of the average fee of the Betquin to more than 40 percent."

What will happen with this high fee?

As evidenced by the second largest platform for the Bitquin portfolio and the market data provider "Blockchain", Bitquin currently processes approximately 300,000 transactions on a daily basis with an average block size of 1.06 MB. This represents a block size greater than the maximum possible block size through Sigwit (1 MB). While the "mempool" size of the Bitquin network, which occupies the area of ​​uncertain transactions, is greater than 120 million bytes, which has prevented the confirmation and documentation of transactions that do not have high fees. Luke Jr, developer of Bitcoin, said earlier that Segwayet's own update was not designed to reduce transaction size and fees, but was designed as a platform and infrastructure base for second-tier solutions such as Lightning. "Lightning will allow immediate payments with privacy and reduced fees, allowing the Bitquin network to expand on a large scale," he said. However, the integration schedule for "Lightning" by leading companies remains unclear, and even the update of Seagate has not yet been integrated by "Coinbase", "Blockchain", and "BitPay". They are the top three companies in the Petcoin industry. To alleviate the congestion of the Betcoin network, analysts point out that mass volume increases are very important, at least until SegWit and Lightning are fully accredited in the industry.