Bitcoin Payment Processor BitKassa Suspends Services due to High Transaction Fees

It is evident Bitcoin is not in the best of places right now. High fees, transaction delays, and the lack of scaling are all pressing matters. Sadly, this situation is affecting all services which promote the use of Bitcoin. Arnhem Bitcoinstad, the Dutch Bitcoin-oriented initiative, is made possible thanks to BitKassa. Unfortunately, this company has halted all Bitcoin transaction processing due to high transaction fees. It is the latest victim in the growing list of companies struggling to keep the Bitcoin hope alive.

BitKassa is a very popular company in the Benelux area. The team specializes in processing Bitcoin payments, similar to how BitPay works. This company made a major name for itself due to being part of the Arnhem Bitcoinstad event. Over one hundred retailers accept BTC payments thanks to their services. That will not be the case for the time being, though. Due to mounting network fees, BitKassa decided to halt all Bitcoin payment processing for the time being.

BitKassa Makes a Tough Call

It is important to note the team is working on a solution. It is possible customers will be forced to pay transaction fees themselves. Again, this would be similar to how BitPay introduced additional fees not too long ago. It is far from an ideal situation for all parties involved, though. Given the issues Bitcoin is suffering from, that will be the only logical course of action. It is unlikely Bitcoin will get its act together in the coming days or weeks.

The Arnhem Bitcoincity has been active since 2014. Over the years, it has become a big success. Even the local Burger King restaurant accepts Bitcoin transactions, courtesy of BitKassa. None of these participants will be able to accept BTC payments through the normal channels until further notice. It is unclear if and when this situation will be resolved. Creating a Bitcoin economy is one thing, but the current network conditions don’t allow for it whatsoever.

Whether or not this means BitKassa will flock to alternative solutions, remains to e seen. Integration of Bitcoin Cash would make a lot of sense due to lower fees. At the same time, it makes things slightly more confusing for novice enthusiasts. It is unfortunate to see such a prominent company have to deal with issues like these. They are not the first and won’t be the last either, though. Bitcoin is not a currency right now, as it is far too slow and expensive to use.

Header image courtesy of Shutterstock

Article Original

Добавить комментарий