This week, blockchain services provider TAAL significantly decreased processing fees by 98% from 50 Satoshi (SATS) per kilobyte (£0.010239) to 1 SATS per kilobyte (£0.000205), shining a light on the potential for unbounded scaling without increasing transaction fees and securing its credentials as the leading, ready-for-market enterprise platform for big data.
The new benchmark transaction fee, only available on the BSV Blockchain, is considerably lower than other chains. The average per-transaction fee on BTC is £1.89 and Ethereum is £2.94. Ethereum’s fees are relatively low compared to a year ago when it was closer to £9.34 per transaction.
Fees for large-scale data enterprise applications are not cost-effective at Ethereum’s rates, notwithstanding its technical limitations regarding scalability.
TAAL CEO Lars Jorgensen said: “I wanted the world to understand the magnitude of this decision. It’s a significant thing that happened this week. For us, we changed the setting, and it took 30 seconds. But we did this as a leap towards creating a true Internet of Value and a new data economy for the whole world. Having transaction fees down to one SAT will help with the futureproofing of the BSV blockchain; it will allow the ecosystem to grow and increase utility on the chain; as BSV scales, we all win.”
The fee reduction, he said, is intended to be permanent and is available to anyone transacting on the BSV network. Transaction sizes (in kilobytes) can vary, but the average amount of data written to the blockchain is around 400-1000 bytes. For a million transactions, it’s like reducing the price from 12.5 USD to 25 cents.
That might not seem like much, nevertheless, the BSV blockchain aims to process trillions of transactions per day in the near future.
On 26 May 2023, the BSV Blockchain broke a scaling world record when it proceeded over 86 million transactions in a 24-hour time period.