Trends, Tips, Tolls: A Longitudinal Study of Bitcoin Transaction Fees
- Cite this paper as:
- Möser M., Böhme R. (2015) Trends, Tips, Tolls: A Longitudinal Study of Bitcoin Transaction Fees. In: Brenner M., Christin N., Johnson B., Rohloff K. (eds) Financial Cryptography and Data Security. FC 2015. Lecture Notes in Computer Science, vol 8976. Springer, Berlin, Heidelberg
The Bitcoin protocol supports optional direct payments from transaction partners to miners. These “fees” are supposed to substitute miners’ minting rewards in the long run. Acknowledging their role for the stability of the system, the right level of transaction fees is a hot topic of normative debates. This paper contributes empirical evidence from a historical analysis of agents’ revealed behavior concerning their payment of transaction fees. We identify several regime shifts, which can be largely explained by changes in the default client software or actions of big intermediaries in the ecosystem. Overall, it seems that rules dominate ratio, a state that is sustainable only if fees remain negligible.