technology, including Ordinals, Inscriptions, BRC-20 tokens, and Runes, have intensified the discussions around Bitcoin scalability solutions. The average transaction fee for Bitcoin jumped from $1.50 in 2022 to $4.20 in 2023, and reached $9.50 so far in 2024, according to a new report released by Binance Research., with a market valuation of roughly $450 billion, boasts around $45 billion in total value locked across its various Layer-2 solutions, or 10% of Ethereum's total value.
The development of foundational Bitcoin technologies at the infrastructure level, such as Taproot and BitVM, has broadened the scope of protocols that can be built on Bitcoin. Although many of these implementations are still in their fancy, this has not deterred projects from creating solutions to Bitcoin's scaling challenges.
Moreover, various other scaling solutions are emerging, including sidechains and EVM Layer 1s that leverage bridged BTC as the staked asset to secure their chains. Despite somewhat tapping into Bitcoin's economic security, bridged versions of Bitcoin often involve centralized components and cannot genuinely claim to inherit much of Bitcoin's security.
"The coming months promise to be an exciting period, with significant developments anticipated," Binance Research concluded.Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events.
Coin Coin Latest News, Coin Coin Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Bitcoin ETFs boost TradFi Investments: Binance France presidentBitcoin ETFs are revolutionizing traditional finance by enabling institutional investments in BTC. Binance France President David Prinçay highlights their impact on retirement investments and capital flow from TradFi.
Source: Cointelegraph - 🏆 562. / 51 Read more »
Source: Utoday_en - 🏆 295. / 63 Read more »
Source: FXStreetNews - 🏆 14. / 72 Read more »
Source: FXStreetNews - 🏆 14. / 72 Read more »
Binance-backed pSTAKE Finance launches Bitcoin liquid staking solutionpSTAKE is among the most recent protocols making Bitcoin a yield-generating asset with more capital efficiency.
Source: Cointelegraph - 🏆 562. / 51 Read more »