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Here’s Why Bitcoin Needs Scaling Solutions, According to Binance

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The onboarding of new Bitcoin users and the creation of new use cases for the leading digital network continue to emphasize the need to build scaling solutions on the blockchain.of inscriptions and triggered the Bitcoin non-fungible token hype cycle in 2023. The introduction of inscriptions increased the demand for Bitcoin blockspace.

Besides these protocols, numerous new Bitcoin projects are currently being worked on while others have been launched. They range from various activities, with some focused on creating money markets or introducing staking and restaking on the Bitcoin network. Although these innovations signal the community’s confidence in Bitcoin’s long-term potential, they have led to a more congested mempool and higher transaction fees.

 

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