Glassnode: Bitcoin transfer value rises 26% to $5.5 billion as miner fees fall 8.8%
In brief
- Bitcoin's entity-adjusted transfer volume rose 26% to $5.5 billion from $4.4 billion, Glassnode says.
- Total transaction fees fell 8.8% to $185,200 from $203,200, per Glassnode's Oct. 26 report.
- Daily active addresses declined 2.2% to 615,200, according to the Oct. 26 report.
- Fees were 0.38% of subsidy revenue in the 24 hours through Oct. 25, Pool BTC says.
- The 2028 halving is expected to cut the block subsidy from 3.125 BTC to 1.5625 BTC.
More value moved, less paid in fees
Glassnode's report showed entity-adjusted transfer volume climbing from $4.4 billion the week before. Fees went the other way. Total transaction fees dropped from $203,200 to $185,200, per the same report as cited by CryptoSlate.
It's not really a contradiction. As CryptoSlate explained, fees depend on competition for blockspace rather than the dollar value transferred, so even large Bitcoin transactions can generate very little fee revenue for miners.
Pool BTC's 24-hour snapshot
Mining analysis platform Pool BTC put hard numbers on the gap. In the 24 hours through Oct. 25, it said miners produced 158 blocks and earned about 494 BTC in subsidies worth $39.5 million. Transaction fees added 1.88 BTC (roughly $150,000), which works out to 0.38% of subsidy revenue.
That's 1.88 BTC against roughly 494.
The pattern isn't new, either. Citing Glassnode data, Pool BTC said fees made up 0.69% of miner revenue on Aug. 11 and have stayed below 1% for much of the past year. Earlier this month, CryptoSlate reported that miners' daily revenue had climbed back above $40 million, with transaction fees making up less than 1% of their income.
What it means for miners
Bitcoin miners earn revenue from two sources: newly issued BTC for producing blocks, and the fees users pay when they compete for blockspace. In CryptoSlate's analysis, block rewards currently provide nearly all of that income, which leaves miners heavily exposed to BTC price swings and to scheduled reward reductions.
That schedule is already set. The next halving, expected in 2028, will cut the subsidy from 3.125 BTC to 1.5625 BTC per block, according to CryptoSlate.
The Oct. 26 data didn't change the picture. More value settled on the blockchain (a 26% jump, by Glassnode's count), and fees still came in lower than the prior reading.
Frequently asked questions
Why did Bitcoin miner fees fall while transfer value rose?
Bitcoin fees depend on competition for blockspace, not on the dollar value transferred, according to CryptoSlate. That means even large transactions can generate little fee revenue. Glassnode's Oct. 26 report showed transfer value up 26% to $5.5 billion while total fees fell 8.8% to $185,200.
How much of Bitcoin miner revenue comes from transaction fees?
Pool BTC said fees added 1.88 BTC, about $150,000, in the 24 hours through Oct. 25, or 0.38% of subsidy revenue. Citing Glassnode data, it said fees were 0.69% of miner revenue on Aug. 11 and have stayed below 1% for much of the past year.
What will the 2028 Bitcoin halving do to miner rewards?
The next halving, expected in 2028, will cut the block subsidy from 3.125 BTC to 1.5625 BTC. CryptoSlate notes block rewards currently provide nearly all miner income, leaving miners exposed to price swings and scheduled reward reductions.
