Bitcoin miners are experiencing their lowest transaction fee revenue in a decade, now only 0.69% of total earnings, with hashrate also declining significantly.
As of August 11, Bitcoin miners have seen their transaction fee revenue plummet to a ten-year low, contributing only 0.69% to total earnings. Rafael Schultze-Kraft, co-founder of Glassnode, highlighted this trend, noting that fee income has remained under 1% for nearly a year.
Currently, only 0.7% of miner revenues are derived from transaction fees, marking a significant drop since when Bitcoin traded below $400.
Security budgets are now almost entirely reliant on the block subsidy, which currently stands at 3.125 BTC, following the halving in April 2024.
— Rafael (@n3ocortex) August 11, 2026
The only lower level recorded was 0.52% in April. The heavy reliance on Bitcoin's price is underscored by the estimated cost of mining one Bitcoin, which stood at $78,254 as of mid-August, while the cryptocurrency was trading around $64,100.
Hashrate Experiences Significant Decline
The network's hashrate has also decreased significantly, dropping by 33% from its peak of 1.3 ZH/s in October 2025 to 898 EH/s today, according to the Hashrate Index.
Analysts, including Will Clemente, attribute this decline to reduced mining profitability, as some public companies shift resources toward AI and high-performance computing. Difficulty adjustments have so far failed to reverse this trend.
Charles Edwards, founder of Capriole Investments, emphasized the gravity of the situation, calling it one of the most concerning developments for Bitcoin in 2026, as the hashrate decline accelerates.
This is the least talked about, concerning Bitcoin development in 2026. And it's only worsened since. https://t.co/0yTO4a9FLk
— Charles Edwards (@caprioleio) August 11, 2026
At present, mining profitability remains low, with the hash price recorded at $31.6 per PH/s per day, down from $32.07 a week prior. The extended period of declining computational power has been noted by analysts from Bitcoin Magazine Pro as one of the longest in the network's history.
