As Bitcoin [BTC] continues to strengthen as a value store, high fees continue to be a worrying signal for adoption. As the original idea of money moves to second layer solutions with Liquid and Lightning Network, the case of payment-based cryptocurrencies is getting stronger.
The volume of value transfers on a blockchain can be used to filter monetary transactions from noise (send messages or transfer data via the blockchain). The average value of transfers over the past four years reflects a strong downward trend in Bitcoin SV [BSV]. In addition, transactions on Litecoin seem to follow an oscillating pattern, while Bitcoin Cash [BCH] slowly converges in the range of $ 1,000 to $ 3,000 in daily value around the LTC .
Junk on the Blockchain
In addition, the percentage of non-monetary transactions in these cryptocurrencies gives an even darker picture for Bitcoin hard-forks . David Schwartz, the project director of the Litecoin Foundation tweeted,
Non-monetary inputs are an important indicator of actual use on a blockchain.
He finds that the percentage of NMO for Litecoin is comparable to that of Bitcoin (less than 2%). However, the NMO percentage for Bitcoin Cash [BCH] and Bitcoin SV [BSV] is 8% and 25-50% respectively. He notes,
#BitcoinSV uses the trx of #Twetch and weather applications to fill the spam blockchain ( 621,767 trx in 24 hours). People pay> $ 185 per piece for almost half of its blockchain to transport weather information and publications on social networks. In addition, on BCH , he added:
#BitcoinCash had dropped to just 8% NMO% in the past few days, but over the course of its existence the average has also been 20 to 50% non-monetary trx .
Which payment cryptocurrency is worth?
In addition to being used as a means of payment, there is another component of digital scarcity that makes a cryptocurrency profitable. The main use of Bitcoin is SoV. As a result, it continues to rely on bullish feelings, despite high transaction costs. The supply schedule for Bitcoin [BCH] and Bitcoin SV [BSV] is comparable to Bitcoin .
Litecoin's outstanding offer is 3.5 times that of BCH and BSV . While. the price ratio of BCH / LTC and BSV / LTC is 5.33 and 4.28, respectively.
In addition, the security, immutability and liquidity of these cryptocurrencies will be a critical growth factor for these cryptocurrencies. The Litecoin Foundation continues to focus on confidentiality and fungibility, while BCH and BSV offer larger blocks as a fork of Bitcoin .