• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
No Result
View All Result
NewsBTC
No Result
View All Result
Nexo Logo

Bitcoin Transaction Volume Plummets By 30%, What’s Causing the Drop?

Samuel Wan by Samuel Wan
3 years ago
in Bitcoin
Reading Time: 2 mins read
Advertisement

According to CoinMetrics.io, the recent fall in Bitcoin’s transaction count has coincided with the end of VeriBlock’s testnet phase. Reports indicate the little-known startup is responsible for a significant number of BTC transactions. This raises concerns over its use of the Bitcoin network.

The recent collapse in BTC transaction count seems to correlate with the end of the Veriblock testnet (on March 4th) which was accounting for 20-30% of BTC transactions https://t.co/vguXa1mTa8 pic.twitter.com/DV43AICrw4

— CoinMetrics.io (@coinmetrics) March 11, 2019

Is VeriBlock Responsible For Falling Bitcoin Transactions?

According to VeriBlock’s self-published figures, during the active testnet phase, they were responsible for between 25-45% of Bitcoin’s transaction count. Since testing ended on the 4th March, Bitcoin’s daily transaction count has fallen by 21%, leading many to draw parallels.

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!

VeriBlock uses Bitcoin OP_RETURN transactions to bring additional security benefits. But as a relative newcomer to the scene, its long-term viability is uncertain. According to their website, they aim to secure alternative blockchains and improve Bitcoin scalability by:

“securing a diverse ecosystem of blockchains, with each specializing in solving particular problems, [this] encourages widespread adoption of these blockchains, causing an exodus of transactions from Bitcoin to these more specialized blockchains, while still driving value back to Bitcoin.”

Source: Blockchain.com

By selling the advantages of their Proof-of-Proof model, VeriBlock hopes to attract blockchain customers. This is especially pertinent given the recent attack on Ethereum Classic – which demonstrated that even notable projects could fall foul to scammers.

The team behind VeriBlock claim that any blockchain can utilize the inherent safety of the Bitcoin network. Furthermore, by incorporating their systems, consensus attacks are much harder to execute. Likewise, additional benefits come by way of:

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
Get 110 USDT Futures Bonus for FREE!
  • Increased trust
  • Reduced confirmation times
  • Potential to participate in fiat markets
  • Subverting consensus related token theft

All of which raises the question of whether inflation of Bitcoin’s network traffic can be rightly justified?

Proof-of-Proof

The central feature of VeriBlock is its Proof-of-Proof consensus model. They describe it as:

“a novel consensus protocol which allows any blockchain (including sidechains and permissioned ledgers) to inherit the full security of Bitcoin in a truly decentralized, trustless, transparent, and permissionless (DTTP) manner.”

While piggybacking off the Bitcoin network is nothing new, for example in the case of merge mining, critics raise concerns over VeriBlock “spamming” the network. They go on to say that data storage on the Bitcoin network was intended only for financial transactions, and not to record arbitrary data. On the other hand, BTC is a permissionless network. Moreover, the use of block space should be allowed if miners benefit.

Veriblock is probably garbage, but I must say I welcome increased demand for limited BTC block space.

— Stephen Cole (@sthenc) February 8, 2019

All in all, VeriBlock’s influence on the top cryptocurrency shows that BTC can be more than a store of value. On top of which, by considering the more critical metric of trading volume, which indicates an upward trend for BTC, increasing from $8.3b to $9.6b between 4th March and 12th March, it would be fair to say that criticisms of VeriBlock piggybacking off the Bitcoin network hold little substance.

Tags: bitcoinVeriBlock
Tweet123Share196ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Samuel Wan

Samuel Wan

Samuel Wan is passionate about different cultures and eating good food. He has years of experience working in business and finance — a burgeoning interest in Bitcoin and cryptocurrencies since 2017. UK based.

Related Posts

bitcoin

Why Bitcoin Could Return To $28,000, But By The End Of 2022

20 hours ago
$15k Possible Bottom For Bitcoin? “Delta Cap” Says So

$15k Possible Bottom For Bitcoin? “Delta Cap” Says So

23 hours ago
bitcoin bear

New Bitcoin Record Paints Incredibly Bearish Picture As BTC Struggles At $19,000

1 day ago
Bitcoin

Why Bitcoin Could Collapse Another 50%, Says Michael “Big Short” Burry

1 day ago
Crypto Market Loses $60 Billion As Bitcoin Dips Below $20,000

Crypto Market Loses $60 Billion As Bitcoin Dips Below $20,000

1 day ago
Bitcoin

Bitcoin Sees Worst Quarter In 11 Years

1 day ago

Premium Partners

Top Brokers

PrimeXBT

PrimeXBT

Review · Visit

Top Casinos

BitStarz

BitStarz

Review · Visit
7BitCasino

7BitCasino

Review · Visit
BC.Game

BC.Game

Review · Visit
Punt Casino

Punt Casino

Review · Visit
mBit

mBit

Review · Visit
CryptoGames

CryptoGames

Review · Visit
Bspin

Bspin

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit
BC.Game

BC.Game

Review · Visit

Don’t Miss Out On Experts’ Top Crypto Picks! Gnox (GNOX), Algorand (ALGO) And VeChain (VET) Set To Lead Bullish Market

July 2, 2022

LBank Exchange Will List DEBT on July 5, 2022

July 2, 2022

LBank Exchange Will List Metavie Token (METAVIE) on July 5, 2022

July 2, 2022

Holon (HLN) Is Now Available for Trading on LBank Exchange

July 2, 2022

LBank Exchange Will List METAFASTEST (METAF) on July 1, 2022

July 2, 2022

ABOUT US

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

COMPANY

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

LINKS

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

© 2021 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play Games
  • Bet & Win

© 2021 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.