The One Problem That Could Haunt Kaspa (KAS) and Bitcoin Long Term

KAS1,44%
BTC2,27%
XRP1,19%

Kaspa and Bitcoin often get discussed from opposite angles, yet a recent conversation surfaced a challenge that quietly links both networks. In a video from Finance Freeman, the host sat down with Zach Humphries to talk through a question that rarely gets center stage. What happens to proof of work networks when block rewards fade and fees must carry the weight.

The discussion moved past price talk and focused on structure. That shift revealed why this issue matters far beyond short-term BTC price or KAS price movements.

  • Bitcoin And Kaspa Share A Long Term Miner Incentive Challenge
  • Why Kaspa Is Forced To Confront The Problem Earlier
  • What This Means For BTC Price And KAS Price Over Time

Bitcoin And Kaspa Share A Long Term Miner Incentive Challenge

Bitcoin works because it is simple. Many view BTC as digital gold, something to hold rather than spend. That design has worked for years, largely because miners still receive block rewards. Once issuance slows and eventually stops at 21 million BTC, fees become the main incentive keeping miners online and securing the network.

Finance Freeman explained that this challenge is not unique to Bitcoin. Kaspa faces the same reality, only on a different timeline. Kaspa supply trends toward roughly 28 billion KAS, and more than 95% has already been mined. Fee generation on the base layer remains limited, which places pressure on miners sooner rather than later.

Why Kaspa Is Forced To Confront The Problem Earlier

Timing creates the key distinction. Bitcoin can delay the fee conversation for decades. Kaspa does not have that luxury. According to Finance Freeman, miners already feel that pressure today, which forces Kaspa to think about throughput and usage much earlier in its lifecycle.

This early pressure can become an advantage if the network succeeds in driving activity on chain. Fees only matter when transactions exist, and transactions require a base layer capable of handling them without relying heavily on external systems.

The conversation with Zach Humphries touched on whether scaling solutions are even necessary. Bitcoin has leaned on external approaches such as Lightning, which supports payments without stressing the base layer. That keeps BTC simple, yet it also shifts activity away from where miner fees are earned.

Kaspa approaches the issue differently. Developers like Jonathan Sompolinsky and Michael Sutton are working on solutions designed to increase throughput directly on the network. Finance Freeman framed this as an attempt to solve the scalability and security balance without fragmenting liquidity across layers.

XRP Price to $100? Burned Supply and Bank-Grade Design Are Changing the Math_**

What This Means For BTC Price And KAS Price Over Time

This discussion does not suggest Bitcoin is broken. BTC price remains supported by adoption, scarcity, and institutional interest, with mining costs estimated near $60K. Kaspa operates in a more experimental phase, where success depends on whether increased usage can translate into sustainable fees.

The shared problem sits quietly beneath both networks. One can postpone it, while the other must solve it early. Curiosity now centers on whether confronting the challenge sooner gives Kaspa an edge in structure, even as Bitcoin continues to dominate in trust and recognition.

Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to Disclaimer.

Related Articles

Goldman Sachs Files for Bitcoin Premium Income ETF with SEC

Goldman Sachs has applied to the SEC to launch a Bitcoin Premium Income ETF, marking its entry into the Bitcoin ETF market. This follows Morgan Stanley's recent launch of a similar product, highlighting growth in institutional Bitcoin yield-focused investments.

GateNews5m ago

BTC 跌破 74000 USDT

Gate News bot 消息,Gate 行情显示,BTC 跌破 74000 USDT,现价 73999.9 USDT。

CryptoRadar10m ago

BTC drops 0.75% in 15 minutes: quick pullback triggered by short-term position trimming and capital outflows

2026-04-14 16:45 to 17:00 (UTC), the BTC market saw a clear ups-and-downs move, with a 15-minute return of -0.75%. The price quickly dropped from the 74529.4 to 75233.4 USDT range, with an amplitude of 0.94%. During this period, trading volume increased by about 12% compared with the average of the prior hour; market attention rose, and volatility significantly intensified. The main drivers of this sudden move were short-term holders collectively cutting positions and a large outflow of exchange funds. From 16:45 to 17:00, the net outflow of BTC was approximately 4,800 BTC

GateNews1h ago

Bitcoin Reclaims $76,000 as US March PPI Misses Forecasts

Bitcoin surged past $76,000 following lower-than-expected US Producer Price Index data for March 2026, which indicated a 4% year-over-year increase. The rise reflects strong market support despite declining leveraged positions.

GateNews3h ago

BTC 15-minute rise of 0.64%: a technical breakout of key resistance combined with weak liquidity amplifies volatility

2026-04-14 15:30 to 15:45 (UTC), BTC saw short-term fluctuations within the 74,795.5 to 75,319.3 USDT range, with a return of +0.64% and a range of 0.70%. During this period, market attention warmed up, volatility intensified, trading volume rose slightly compared with the previous hour, and short-term buy orders pushed the price upward quickly. The main driver of this unusual move was BTC’s short-term technical breakout above the 74,000 USDT key resistance, which generated a long signal and triggered rapid responses from quantitative and programmatic buy orders. At the same time, because the order book depth has been rising since 2025

GateNews3h ago

Bitcoin Reclaims $75,000 for Second Time Since US-Iran Conflict, Up 7% in 24 Hours

Bitcoin surged to $75,000 amid rising U.S.-Iran tensions, adding $98 billion to its market cap and causing $500 million in liquidations. Technical analysts suggest that holding support above $67,000 could lead to an increase toward $80,000, despite highlighting $50,000 as a critical level if support fails.

GateNews3h ago
Comment
0/400
No comments