The total amount of fees collected from BTC transactions reached $1 billion on Thursday, which is a significant step for the cryptocurrency community. However, it could have been better. There are a number of factors that have suppressed the blockchain’s growth, but things continue to move forward for the Bitcoin ecosystem. Jimmy Nguyen, the founding president of the Bitcoin Association, participated in an interview with media outlet Cheddar, explaining what’s going on and what is really driving growth.
The $1-billion mark achieved in BTC transactions shows that there is definitely growing use of digital currency. However, keeping BTC from realizing its true potential is the blockchain’s structure. As Nguyen points out in the interview, the lack of any type of on-chain scaling and the continued limitation brought with the blockchain’s small block size are preventing the digital currency solution from truly taking off.
Over the past couple of years, the number of transactions on the BTC blockchain have been falling off. This is also due to the limited block size, as other alternatives are sought as the ecosystem becomes better understood. On the other hand, the number of transactions on Bitcoin SV (BSV), for example, have increased since BSV was first seen a year ago.
One of the biggest drivers of blockchain adoption is almost certainly going to be the proactive approach being adopted by the Chinese government and, subsequently, Chinese businesses. The country has realized the value blockchain will have for sustained growth and operability, and is now launching a dedicated campaign to entice companies and other entities in the country to begin adoption and innovation of blockchain technology.
Nguyen points out that China’s stance isn’t necessarily one of support for digital currencies themselves,