In the past few days, transaction fees on the Bitcoin (BTC) network have increased by 10 times, prompting investors and cryptocurrency users to seek alternatives for decentralized payments against the crypto king. In an environment where high transaction fees prevail, there seems to be a narrative of cheapness for altcoins that have a competitive advantage over Bitcoin. As a result of this narrative, significant gains can be seen in altcoins that stand out in this regard.
According to data from Mempool.space, the average transaction fees on the Bitcoin network have risen from $1.13, recorded by BitInfoCharts on October 29, to an average of $12.12 in the last 144 blocks (24 hours) on November 9-10. Specifically, users paid over $4.3 million in fees during the 24-hour period between November 9-10.
This significant increase in transaction fees on the Bitcoin network occurred after reaching $6.08 for the first time in months on November 7. The doubling of transaction fees in these two days indicates that transactions could become even more costly without a clear peak level. At the time of writing, transaction fees are averaging $1.50.
In the past, the scenario of high transaction fees has directed demand and liquidity towards altcoins that offer lower transaction fees similar to Bitcoin. In this context, the viral artificial intelligence chatbot ChatGPT shared 3 altcoin recommendations that could stand out for users seeking cheapness.
The first altcoin chosen by ChatGPT’s artificial intelligence was Nano (XNO). The AI noted that Nano stands out in the cryptocurrency sector with its zero-fee transactions and is an excellent choice for a payment-focused cryptocurrency. Nano uses a block lattice structure that allows users to transfer money without relying on miners for transaction verification. This structure not only enables instant transactions but also eliminates transaction fees. The absence of transaction fees in Nano is an important advantage for both individuals and businesses who want to maximize the value of their transfers.
The second choice of the AI, Stellar (XLM), stands out as a strong competitor for low-cost payment transactions. Stellar is designed to facilitate fast and cost-effective cross-border payments. Stellar’s network charges a very low fee per transaction, which helps prevent spam while remaining negligible for users.
The final altcoin chosen by ChatGPT is the XRP Ledger used by Ripple’s XRP. The AI noted that Ripple is specifically designed for corporate use and aims to enable high-speed cross-border transactions with minimal fees. Ripple is known for its ability to facilitate near-instant transactions, and the infrastructure of XRP and its partnerships with financial institutions emphasize its practicality for large-scale payment transactions.
Furthermore, the AI mentioned that other factors such as security, scalability, decentralization, and adoption should also be taken into account when evaluating these projects.