Last Updated: 8 May 2023
Binance, one of the world’s largest cryptocurrency exchanges, has resumed bitcoin (BTC) withdrawals after a second pause due to congestion on the Bitcoin network. The pause lasted for just over two hours and occurred shortly after the first pause, which lasted for a similar duration.
Adjusted Fees and Lightning Network Integration
In a tweet, Binance announced that it has adjusted its fees to prevent similar occurrences in the future. The exchange has also been working on enabling BTC Lightning Network withdrawals, which will help alleviate network congestion.
Unconfirmed Transactions Approach 500,000
The number of unconfirmed transactions on the Bitcoin network was approaching 500,000 when the second pause took place, up from around 400,000 during the first pause. The number has since declined to just over 430,000 over a 12-hour period.
Bitcoin Price Continues to Decline
The price of bitcoin has continued to drift downward and is now at $28,240, representing a 2.6% decline over the last 24 hours. This is due in part to the congestion on the Bitcoin network, which has caused transaction fees to rise.
Binance Slides in Bitcoin Trading Volume
According to CoinGecko data, Binance has significantly slid in its position for bitcoin trading volume and is no longer in the top 10 exchanges for bitcoin trading pairs. This may be due in part to the issues with bitcoin withdrawals and the associated congestion on the Bitcoin network.
Overall, the pause in bitcoin withdrawals by Binance highlights the ongoing challenges faced by the cryptocurrency industry in scaling its infrastructure to meet increasing demand. While the integration of Lightning Network and other solutions may help alleviate some of these issues, further work is needed to ensure that the network can handle the increasing transaction volume.
Investors looking to trade bitcoin and other cryptocurrencies may want to consider platforms such as Bitcoin Miner or Bitcoin 360 AI, which offer a range of investment options and tools. As the cryptocurrency industry continues to grapple with challenges around scaling and network congestion, it is important for investors to stay informed and choose reliable platforms for their investments.