Let's say I want to make a large transfer to an exchange. I am sure to verify the receiver address. However, if the exchange made a mistake somehow, all the bitcoin would be lost forever. So does it make sense to send a small amount first, confirm that they receive it, and then send the rest?
It is not a good idea if you move your fund (assume all of it) with
- A single transaction because if you make mistakes with your transaction (wrong address, wrong chain, etc.), you lose your coin.
- It is good to make first small transaction to confirm all details given by your trade partner or friend is correct.
- If details are correct, you can use your second transaction to finish that trade
- If it is your own fund movements, I advise you to do it in different time. Why?
- It can help you to avoid issues with exchanges. Just in case if exchange is hack (like Hotbit weeks ago)
- To avoid anything bad suddenly occurs on the network
- This tutorial is a bit paranoid obviously