Bitcoin Cash Versus Bitcoin SV Fee Revenue, Quick Analysis.

Bitcoin Cash Versus Bitcoin SV Fee Revenue, Quick Analysis.

Summary: Despite BCH having transaction fees FOUR TIMES larger than SV, and DESPITE having almost 3000 merchants in comparison to BSV which has almost no merchants, BCH only has less than 75% of the fee revenue on SV. The Fee Revenue on Bitcoin SV is about 0.16% of it's block subsidy, while the fee revenue of Bitcoin Cash is only half that ratio.

The lack of intentional onchain scaling and the chokehold put on op return size as well as the usable blocksize limit could be a major problem for the medium-term future security of Bitcoin Cash. Namely, without a price increase, the hashrate could fall to 5% of where it currently is based on my research and rate of adoption.

If this doesn't hit you like a cold wet flannel in the face, then I don't know what will.

BSV is not a scam. It's a competitor.

Thesis: Accumulation of fee revenue is the most important milestone and goal for the growth of Bitcoin, as not having it means that the block subsidy can't be replaced. This leads to catastrophic and volatile loss of hashrate based network security.

Bitcoin Cash Merchants: ~ 2,775.

Bitcoin SV Merchants: ~ 0.

Bitcoin Cash TX Fee: $0.004.

Bitcoin SV TX Fee: $0.001.

Bitcoin Cash Avg. Fee Revenue: $1.27/ block.

Work: Avg tx value * # tx = fee revenue / 381 blocks

$0.004 × 46k = $184 / 144 blocks (6 is average, so using 6*24) = $1.27.

Bitcoin SV Avg. Fee Revenue: $1.72 / block.

Work: Avg tx value * # tx = fee revenue / blocks

$0.001 × 247k = $247 / 144 blocks (6 is average, so using 6*24) = $1.72.

Bitcoin Cash Fee Revenue to Block Subsidy:

Block Subsidy: ~ $3065 ($245 * 12.5)

Fee Revenue: $1.27.

Fee Revenue to Subsidy: ~ 0.041%

Bitcoin SV Fee Revenue to Block Subsidy:

Block Subsidy: ~ $1065 ($85 × 12.5)

Fee Revenue: $1.72.

Fee Revenue to Subsidy: 0.162%

submitted by /u/cryptacritic17
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