Post
Topic
Board Bitcoin Discussion
Merits 1 from 1 user
Re: Small Transfers
by
20kevin20
on 24/11/2020, 16:55:27 UTC
⭐ Merited by DdmrDdmr (1)
My programmer already has the code to do this.
But I heard that to send any amount of bitcoin costs: 0.0004 BTC
In today's value that is $7.72 which is more than the $5.00 commission
and almost half of the first commission.

Is there a way to do it cheaper?
The transaction fees are not fixed. You can pay 1 BTC in fees or just a few cents, depending on how urgent the transaction is. Tx fees are calculated based on the amount of satoshis you want to pay per byte.

If you want to pay one person 1 BTC and have the owned 1 BTC coming from a single transaction (input), as the number of outputs and inputs is small (1 input which is your funds and 1 output which is the person you're paying to), the transaction's size is small so will the fees be.

But if you received a total of 1 BTC in your wallet through many transactions separately (so have many inputs), the tx's size will increase and the fees will as well.

The Bitcoin miners mine transactions based on fees, in descending order. So the higher the fees are, the higher the chances are to get your tx confirmed faster. The sad thing is, a lot of people just choose the default fees calculated by their wallet which most of the time is an amount way higher than it should be.

To do this cheaper, all you have to do is literally set a smaller sat/byte fee. I'd go for a 2 sat/byte fee if the tx is not urgent, and a 3-4 sat/byte one if you want it to be confirmed within like a day. Even at 5-7 sat/byte, you would not get even close to the $7.72 amount you've mentioned.