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Tron Cuts Network Fees By 60% To Strengthen Position In Stablecoin Market

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The Tron (TRX) network has made headlines by approving a significant reduction in transaction fees, cutting them by up to 60% following a majority vote within the community, as rising fees have been seen as a barrier to user participation and ecosystem development.

Fee Adjustments On Tron

The proposal to lower fees was driven by rising transaction costs that have accompanied an increase in TRX’s value, the network’s native token, which has doubled since 2024. 

The proposal alleged that while higher fees are essential for the Tron network’s overall security and stability, they have also eroded Tron’s competitive edge, making it imperative to adjust them. 

The increase in TRX prices has led to a corresponding rise in fees for transactions, particularly affecting Tether’s USDT stablecoin and other contracts on the platform. 

As a result, the earlier 50% reduction in energy unit prices, established by a previous proposal, has been negated, prompting this latest response from the Tron Super Representative community.

The 1-D chart shows TRX’s price trending upwards despite the overall market correction. Source: TRXUSDT on TradingView.com

As of this writing, TRX trades at $0.33, up by 107% year-to-date, being in the top performers in the cryptocurrency market during the same period, outpacing tokens like Bitcoin (BTC), Ethereum (ETH) and other altcoins such as Solana (SOL) and Cardano (ADA). 

Short-Term Profit Impact Expected

Justin Sun, the founder of Tron and a prominent figure in the crypto space, announced this decision on social media platform X (formerly Twitter). He highlighted that the upcoming fee reduction will be the largest fee cut since the network’s inception back in 2017 along with the TRON Foundation. 

Sun alleged that in the short term, this reduction is expected to impact the networ’s profitability, given that the network relies on transaction fees as a primary revenue source. 

However, Sun expressed confidence that the long-term benefits would outweigh these initial drawbacks. By encouraging increased user engagement and higher transaction volumes, Tron aims to foster a more vibrant ecosystem that ultimately enhances profitability.

To ensure that the fee structure remains competitive and sustainable, the network’s Super Representative community plans to conduct quarterly reviews of network fees. 

These assessments will take into account various factors, including fluctuations in TRX prices, levels of network activity, and overall growth rates. In his social media post, Sun further stated: 

On August 26, 2025, the Tron Super Representative community proposed to reduce Tron network fees by 60%. This is the largest fee reduction since the founding of the Tron network. The proposal has already passed and will take effect at 20:00 (GMT+8) this Friday

Featured image from DALL-E, chart from TradingView.com 

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Tron Slashes Fees By 60% In Bold Push For Wider Adoption
GameFi Guides

Tron Slashes Fees by 60% in Bold Push for Wider Adoption

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Tron has just made a significant move by approving its biggest fee reduction ever, slashing network transaction costs by 60% to maintain its competitive edge. This decision, which has the full support of the Super Representative community, was announced on August 26 and will take effect on August 29 at 20:00 GMT+8.

Founder Justin Sun confirmed the update on X, stressing that while short-term revenues will fall, the long-term benefits outweigh the risks. “Cutting fees by 60% is bold and rare for any network,” Sun stated. He also emphasized that increased users and transactions will eventually strengthen Tron’s profitability.

This change also aimed at sparking growth in the ecosystem. With TRX prices on the rise, fees had become quite steep, which made it tough for many to participate and deploy contracts. 

As a result, developers and smaller traders were hit with higher costs, leading to a slowdown in network activity. The recent adjustment brings the energy unit price down from 210 sun to 100 sun, giving room for more people to access transfers and utilize contracts.

Fee Model Adjustments and User Growth

The proposal indicates that USDT transfers will remain the same in TRX terms. However, in dollar terms, fees have skyrocketed since TRX doubled in value since 2024. 

TRX price changes, Source: Github

For other contracts, previous fee reductions have been negated by the appreciation of TRX, leading to increased costs instead of decreases. So, this new cut is aimed at restoring genuine affordability.

In addition, reducing the energy price to 100 sun might draw in about 12 million new eligible transfer users, and at 60 sun, eligible accounts could rise by 71% as per the proposal. The increase in users also brings more contract calls, which is the focus of Tron.

Impact on potential on-chain user scale, Source: Github

Market Impact and Ecosystem Expansion

The current state of the network shows promising growth. After filtering out the temporary impact of Sunpump’s launch last year, the daily new contracts are on the rise. 

As of writing, Tron is trading at $0.336, reflecting a 2.17% drop in the last 24 hours, with a trading volume of $1.23 billion. Despite the decline, there is a probability that the reduced fees will boost liquidity, spark developer activity, and encourage dApp growth. 

The 60% fee reduction by Tron enables focus on adoption rather than immediate profits. Hence, Tron is getting into a good place for sustainable long-term growth.

Also Read: Trump-Linked WLFI Heads to Major Exchanges with Sept 1 Launch



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Bitcoin’s ETFs Kill the Transaction Fees, Punishing the Miners More

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Good Morning, Asia. Here’s what’s making news in the markets:

Welcome to Asia Morning Briefing, a daily summary of top stories during U.S. hours and an overview of market moves and analysis. For a detailed overview of U.S. markets, see CoinDesk’s Crypto Daybook Americas.

Bitcoin’s price is holding near records, but the chain itself is quiet. Glassnode data shows transaction fees have collapsed back toward decade lows, even as BTC flirts with six figures.

In past cycles, fee spikes tracked bull markets as traders bid for blockspace. This year, the fee curve is flat while price rises, a clear sign that onchain demand is no longer driving the market.

(Glassnode)

A new report from Galaxy Research shows median daily fees have fallen more than 80% since April 2024, with as much as 15% of daily blocks now clearing at just 1 satoshi per vbyte. Nearly half of recent blocks are not full, signaling weak demand for blockspace and a dormant mempool.

This is a sharp contrast to prior bull cycles, where price rallies translated into congestion and fee spikes.

The data confirms a structural shift: spot ETFs and custodians now hold more than 1.3 million BTC, and coins parked in those wrappers rarely touch the chain again.

At the same time, retail activity that once clogged the Bitcoin blockchain has migrated to Solana, where memecoins and NFTs benefit from cheaper and faster execution. The result, Galaxy notes, is that the bitcoin price is being set by custodial inflows while the network’s onchain demand – once a proxy for price movement – has slowed down.

For miners, this dynamic is particularly punishing. With rewards halved to 3.125 BTC and fees contributing less than 1% of block revenue in July, profitability is under strain. That stress is pushing listed miners to diversify into AI and HPC hosting.

Read more: Bitcoin Mining Faces ‘Incredibly Difficult’ Market as Power Becomes the Real Currency

A report from earlier this year by Rittenhouse Research argues that Galaxy Digital’s move out of mining altogether could be the model for the sector.

This move has been applauded by the equity markets. While BTC is down more than 3% on-year, the CoinShares Bitcoin Mining ETF has gained nearly 22%. Investors are rewarding firms that have leaned into diversification rather than relying on block rewards alone.

Listed miners tell a similar story. Hive, Core Scientific, and TeraWulf all reported Q2 results padded by HPC and AI hosting revenues.

Those with no diversification, like Bitdeer and BitFuFu, remain deeply exposed to electricity costs, equipment depreciation, and a fee market that Galaxy warns in its report is “anything but robust.”

The juxtaposition is telling: Galaxy’s own research warns that the Bitcoin blockchain’s settlement role is stagnating, while Galaxy’s balance sheet is being repositioned for growth in AI data centers.

Onchain data makes the point: without organic demand for blockspace, fees can’t fund security. And if fees stay low, equity markets are painting a clear picture that mining sector’s best future returns may come from AI, not Bitcoin.

Market Movements

BTC: Bitcoin traded at $113,286.95, down 1.79%, after briefly plunging to a six-week low near $110,600, with the broader crypto market facing heavy liquidations and volatility.

ETH: Ether traded flat at $4,779 as Jerome Powell’s dovish Jackson Hole remarks boosted expectations of a September rate cut, with asset managers predicting new highs for bitcoin and an ETH breakout above $5,000 despite risks from treasury adoption and equity volatility.

Gold: Gold closed at $3,371 after Powell’s dovish Jackson Hole remarks boosted September rate-cut odds.

Nikkei 225: Asia-Pacific stocks climbed Monday, with Japan’s Nikkei 225 up 1.08%, after Powell signaled potential Fed rate cuts in September during his Jackson Hole speech.

Elsewhere in Crypto

  • The Funding: Why raising a crypto VC fund is harder now — even in a bull market (The Block)
  • Why Luca Netz Will Be ‘Disappointed’ If Pudgy Penguins Doesn’t IPO Within 2 Years (Decrypt)
  • KPMG Says Investor Interest in Digital Assets Will Drive Strong Second Half for Canadian Fintechs (CoinDesk)



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How to track and optimize Bitcoin transaction fees
Crypto Trends

How to track and optimize Bitcoin transaction fees

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Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Bitcoin fees incentivize miners and speed confirmations, but costs can spike during market congestion.

Summary

  • Bitcoin fees range from cents to triple digits in busy times.
  • Average BTC fee is $0.87, down from $4.88 a year ago; spikes hit $7.68 in 2024.
  • ForumPay helps businesses integrate crypto payments with real-time fee tracking.

Bitcoin transaction fees are a core part of how the Bitcoin network operates. These fees primarily serve as an incentive for miners to process transactions promptly, adding them to the current or next block to confirm the transfer. 

Fees were described in Bitcoin’s original White Paper as a way to keep the system competitive and to prioritize transactions during periods of congestion — users who attach higher fees tend to be confirmed more quickly. Historically, average fees range between $0.50 and $2.50, but they can jump into double or even triple figures when the market is particularly active or when someone’s rushing a crypto payment.

In this article, we’ll look at how Bitcoin transaction fees are calculated, the factors that affect them, and practical ways to track and optimize Bitcoin transaction fees.

How are Bitcoin transaction fees calculated?

Bitcoin transaction fees are an integral part of the blockchain ecosystem. As mentioned above, they’re influenced mainly by two factors: the size of the transaction data and demand for block space. Larger transactions, measured in virtual bytes (vBytes), consume more block space and therefore incur higher fees (a block can hold up to 4 MB of data). Likewise, when demand for block space rises, the cost to process each transaction increases. When sending BTC from a Bitcoin wallet, users can select a fee rate, calculated in sats/vByte (satoshis per vByte).

To calculate the transaction fee, multiply the fee rate (sats/vByte — the number of satoshis paid per vByte of data) by the transaction’s size. For example, if the fee rate is 50 satoshis per vByte and the transaction size is 200 vBytes, the total fee would be 10,000 satoshis. A satoshi is the smallest unit of Bitcoin, equal to 0.00000001 BTC. Using that example, on the day of writing, with Bitcoin at approximately $116,854 per BTC, 10,000 satoshis (0.0001 BTC) are valued at around $11.66.

Factors affecting Bitcoin transaction fees

Two primary factors drive fees: network congestion and transaction size. Network congestion occurs when pending transactions exceed the available block space; as a result, fees rise as users compete for faster confirmation. Surges in activity — market moves, high trading volumes, or major events — often trigger higher fees. During quieter periods, demand for block space drops and fees typically decrease, letting users send a crypto payment at a lower cost.

Transaction size also matters. It depends on the number of inputs and outputs — Bitcoin being spent are inputs, while destination addresses are outputs. Larger transactions take up more room in a block and, therefore, require higher fees to be prioritized by miners. Users can optimize by consolidating smaller inputs, using SegWit (Segregated Witness) addresses, or timing transactions when traffic is low. Since miners select transactions based on profitability, offering a more competitive fee helps ensure faster confirmation.

How to track and optimize Bitcoin transaction fees

Checking fees before sending is essential. Going in blind can eat into a balance and slow confirmations. Fortunately, several tools provide real-time data so users can estimate costs before making a crypto payment: Mempool.space offers graphs and visuals on the network’s current state, including unconfirmed transactions and recommended fees by speed target. BitcoinFees.net provides a straightforward estimator with suggested fees based on live conditions.

According to YCharts, at the time of writing, the average Bitcoin transaction fee is $0.87, down from $4.88 on the same day last year. By comparison, on August 22, 2024, average fees surged by over 900% — from $0.74 to $7.68 in a single day — due to increased demand. A pseudonymous Bitcoin developer known as Mononaut reported a case where one user paid 0.5 BTC in fees to consolidate 0.55 BTC, a reminder always to check fees to avoid costly surprises.

For more on crypto trends or to learn how to integrate crypto payments into a business workflow via a crypto payment gateway, visit the ForumPay official website, or get in touch with the sales team to discuss any questions.

Disclosure: This content is provided by a third party. Neither crypto.news nor the author of this article endorses any product mentioned on this page. Users should conduct their own research before taking any action related to the company.



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Bitcoin Hashrate, Mining Difficulty Soar While Fees Sink: BlocksBridge

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In brief

  • Bitcoin network mining difficulty hit an all-time high of 129 trillion, making it harder than ever for miners to earn rewards despite Bitcoin’s recent price pullback.
  • Miner revenues are being squeezed as hashprice dropped to $60 per petahash and transaction fees fell below 1% of block rewards for the first time ever.
  • New tariffs up to 57.6% on mining equipment imports are creating additional financial pressure, with CleanSpark facing a potential $185M liability and Iris Energy $100M.

Even as Bitcoin cools off from its new all-time high, activity on the network has surged, pushing mining difficulty to fresh highs.

The Bitcoin network difficulty now stands at a record high of 129 trillion. That’s a 6.4% increase over the past 90 days, according to CoinWarz.

The difficulty was nearly this high in early June, when it inched past 126 trillion for the first time ever. The higher the difficulty the harder it becomes for miners to successfully add new blocks and earn rewards.

There may be some relief coming. The difficulty, which adjusts automatically roughly every two weeks, is set to lower 0.33% on Friday, August 22.

But for now, the all-time high difficulty is showing up in lower Bitcoin miner revenues, writes BlocksBridge Consulting founder and partner Nishant Sharma in his latest Bitcoin mining newsletter.

He wrote that the hashprice, or the amount of revenue earned per unit of computing power, has sunk to $60 per petahash per second. “This reflects ongoing compression in miner margins, as difficulty growth continues to offset gains from price appreciation,” Sharma added.

Meanwhile, transaction fees have slipped below 1% of block rewards for the first time ever. The revenue earned by miners comes from the static block reward, which is currently 3.125 BTC per block mined, and transaction fees paid by users.

“In July, fees accounted for just 0.985% of total monthly block rewards–the first time this share has fallen below 1%,” Sharma wrote.

The overall picture for Bitcoin miners hasn’t been helped by U.S. President Donald Trump, who has implemented punishing tariffs on imports from many of the countries that sell Bitcoin mining rigs. Imports from China are now subject to 57.6% tariffs, while Indonesia, Malaysia, and Thailand are all subject to 21.6% tariffs.

The tariffs have  already negatively affected two U.S. miners. U.S. Customs and Border Protection, which oversees tariff enforcement, has sent invoices to Iris Energy and CleanSpark—but for mining rigs that were imported in 2024.

“CleanSpark warned that if CBP’s position were upheld, its potential tariff liability could reach $185 million,” Sharma said. “IREN has also faced a $100 million dispute with CBP under similar circumstances. Both companies are challenging CBP’s claims.”

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