A recent string of high-value cryptocurrency transactions has highlighted a major advantage of the new digital asset system.
Last week, an anonymous Bitcoin (BTC) user sent a transaction worth 29,999 BTC ($194 million) at a fee of only $0.10. Even more recently, an Ethereum (ETH) transaction of $183 million was completed for only $0.06, as originally discovered by Twitter user Altcoin Thoreau.
— Crypto Thoreau (@cvrbonbased) October 21, 2018
When considering that traditional bank transfers of this size currently cost upwards of 0.7% of the total transaction value, it begins to make sense why cryptocurrency networks are beginning to have some real-world utility for large money transfers.
The simplicity and efficiency of these transfer will only improve as the networks mature. For example, the Bitcoin network congestion recently hit 95%, meaning that Bitcoin blocks have hit a peak capacity. While similar congestion caused significant network issues in 2017, driving the price of transactions up, there have been no notable effects this time around.
The fact that multi-million dollar transactions are seamlessly occurring during a time of high congestions indicates that scalability is improving as these networks prepare for more wide-spread adoption.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.