Bitcoin Halving and Miner Revenue
After the recent Bitcoin halving, which cuts block rewards in half, miner revenue spiked to a record $100 million. This was due to an explosion in transaction fees, which are the other main source of income for miners.
Runes Protocol and Transaction Fees
The release of the Runes protocol, which allows for the creation of fungible tokens on the Bitcoin blockchain, led to a surge in network usage and transaction fees. This temporarily boosted miner revenue.
Declining Runes Interest and Falling Revenue
However, interest in Runes has since waned, leading to a decline in transaction fees and miner revenue. Revenue has now fallen to $50 million, half of its peak.
Miners Under Pressure
The loss of support from Runes has put miners under pressure. They are now facing reduced revenue and may struggle to maintain profitability.
Bitcoin Price
At the time of writing, Bitcoin is trading at around $63,900, down over 1% in the past week.
