Post
Topic
Board Bitcoin Discussion
Re: where does transaction fees go to
by
shyich03
on 15/11/2016, 16:08:16 UTC
There are two rewards going to miners to reward them for their hashing power they are using to process your transactions. The one is the

miners reward and the other the fees. I always compare this to the waiters in a restaurant. The miners reward, is the waiters's salary and the

fees are the tips. In future the miners reward will fall away and the fees will be the only reward. ^smile^ So, pay your tips, it's actually not as

much as you might think... a few cents.  Grin
that's clear and simple, Thanks!

so fees are basically money for miners, and miners earn that money by putting in the computing power that makes this cryptography works. And the tip size is completely irrelevant to the transaction size. no matter how much money you are sending, the more tips you pay, the faster the transaction will be confirmed, in general.