Commissions are bringing in more Bitcoin for miners than Block Rewards do

For miners, the state of Bitcoin right now is profitable; on Saturday, December 16, commission income surpassed the 6.25 BTC reward in almost a dozen blocks. Block 821484 and the next seven blocks exhibit this unusual situation, with block 821497 showing a similar pattern.

For every block that is successfully added to the chain, miners are usually rewarded with 6.25 bitcoins on the Bitcoin blockchain. Every four years, this fixed amount is halved, cutting the reward in half.

Users might have to pay higher commissions for miners to prioritize their transactions during times of high congestion and high fees. Sometimes, like today, these total fees are greater than the average reward for each block.

The increased activity, according to developer Mononaut, is the result of a fresh BRC-20 token issuance via the Ordinals protocol inscriptions. He observes that commissions will probably cool down, if only momentarily, after this activity fades.

In block 821486, the mining pool Bitcoin Foundry received 8.05 bitcoins from block fees alone, worth $341,448 at the current valuation. The total earnings, when added to the block reward, came to $14.3 BTC, or $606,520.

With half of Bitcoin’s hashrate in their possession, Foundry and AntPool emerged as the main winners, though any mining pool has the potential to mine a block under these circumstances. These two pools mined seven of the nine blocks with commissions more than 6.25 BTC, demonstrating their dominance in the Bitcoin mining industry.

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