Bitcoin network pays an average of $ 95,000 for every $ 1 in fees

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Bitcoin networks’ value settlement efficiency has steadily improved in recent times, with more being settled for lower fees.

Over the past week, the Bitcoin network has transferred or settled an average value of $ 95,142 for every dollar in fees.

The effectiveness of on-chain settlement has gradually increased since May as more moves have been moved across the network during the bull cycle.

Chain analyst Dylan LeClair made the observation using data from analytics provider Glassnode. The value is derived by dividing the average transaction volume by the fee.

Over the past seven days, the #Bitcoin network has transferred an average value of $ 95,142 for every dollar in fees.

The median transaction saw $ 751 of value transferred for every $ 1 in fees. #Bitcoin is the most efficient money settlement network the world has ever seen. pic.twitter.com/DzSwxCDKkd

Dylan LeClair (@DylanLeClair_) November 29, 2021

The final settlement fee was only 0.00105% of the total transferred value of $ 451.3 billion.

According to CryptoFees, Bitcoin is seventh in the list of networks ranked by daily transaction fees. Its seven-day average is around $ 678,000, which puts it behind Ethereum, Uniswap, Binance Smart Chain, SushiSwap, Aave, and Compound.

The fee tracking platform reports that Ethereum currently processes $ 53 million in daily fees, 98.7% more than the Bitcoin network. Bitcoin and Ethereum should not be compared in terms of settlement of value and fees as they are two different entities, the first is a store of value and the second is a smart contract and decentralized application network.

Ethereums mean that the trade volume divided by the fees is only $ 139 in traded value per dollar of fees.

The settlement efficiency of the Ethereum network has declined as the value of the network has increased and much greater demand has been placed on it, especially with the rise of DeFi and non-fungible tokens. (NFT) in the past 18 months.

Related: Bitcoin Network Beacons Set Record for Daily Settlement Volume

According to Bitinforcharts, the average transaction fees on the Bitcoin network are currently around $ 2.13. Comparatively, the average fee for Ethereum networks is $ 42.58. As Cointelegraph reported on Monday, Bitcoin transaction fees have fallen by more than 50% this year.

The difference in average transaction fees between the two networks widened from the end of July.

Average BTC and ETH tx fee, 6M – Bitinfocharts.com

Ethereums network fee issues can be bypassed by using layer two networks, which have seen strong adoption over the past two months with a near-record total value of $ 6.87 billion, according to L2beat.

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