Bitcoin Transaction Fees Surge 1250% Due to Airdrop Event

In the past 12 hours, the average Bitcoin mainnet transaction fee has surged from about 2 sats/vByte to 25 sats/vByte, with a short-term peak reaching 120 sats/vByte. This significant increase in fees is attributed to a large number of P2SH UTXO Bundling transactions that were concentratedly initiated. The surge in fees is directly linked to the Bitcoin Thunderbolt "Boostpad" limited-time airdrop event launched the previous night and the issuance of Alkanes Inscription.

On April 15th, an official press release revealed that Bitcoin Thunderbolt introduced UTXO Bundling and the OP_CAT opcode through a mainnet soft fork. This update supports on-chain native asset issuance, transaction acceleration, and smart validation. The measured network efficiency has improved by 100–200 times compared to the original chain. The introduction of these new features has led to a significant increase in the number of transactions being processed on the Bitcoin network, resulting in higher transaction fees.

The surge in transaction fees is a direct consequence of the increased demand for Bitcoin transactions due to the airdrop event and the issuance of new assets. The limited-time nature of the airdrop event has likely incentivized users to rush to complete transactions, leading to a temporary spike in fees. Additionally, the issuance of new assets through the Bitcoin Thunderbolt protocol has added to the overall transaction volume, further contributing to the increase in fees.

While the surge in transaction fees may be concerning for some users, it is important to note that this is a temporary phenomenon. As the airdrop event concludes and the initial excitement around the new assets subsides, the transaction volume is expected to return to more normal levels. However, the introduction of UTXO Bundling and the OP_CAT opcode represents a significant step forward for the Bitcoin network, enabling more efficient and scalable transactions in the future.