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Bitcoin miners rely on fees at a decade low, less than 0.7%
Transaction fees were 0.69% of miner revenue, down from 0.52% in April, leaving miners more dependent on the fixed 3.125 BTC block subsidy as profits face pressure.
Bitcoin miners are earning a very small share of income from transaction fees, with fees accounting for 0.69% of miner revenue, according to data highlighted by Cointelegraph citing on-chain analytics. The outlet described the level as a new 10-year low, with fees as a proportion of miner revenue remaining near decade lows after falling to 0.52% in April.
Cointelegraph said miners are facing profit pressure as declining Bitcoin prices and rising electricity costs squeeze margins. When fee revenue falls, miners increasingly rely on the fixed block subsidy, which is currently 3.125 BTC per mined block.
The outlet added that Bitcoin has lost nearly 50% of value since its October 2025 all-time high, reducing the US dollar value of that block subsidy. It also cited Checkonchain estimates showing the average cost to produce one Bitcoin at $78,254 as of Tuesday, roughly 23% above the spot price.
Cointelegraph further noted that the Bitcoin network hash rate has dropped from an October 2025 peak of 1.3 zettahashes per second to 861 exahashes per second, a 33% decline. The outlet said miners appear to be shifting toward AI-related computing as mining becomes less profitable, amid difficulty readjustments.
Cointelegraph also referenced an observation by independent analyst William Clemente that the mining downturn is consistent with falling hash rate, while noting automated difficulty readjustments could encourage more mining activity.
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