Quote from: tranthidung on Today at 06:27:20 AM

It was still expensive in Jan. 2021

Ever since I know Binance since 2020 even before the bull run, the fee was static and it was 0.0005 BTC, also not change up till now, but probably the dynamic fee would be some time in the past, maybe when Binance was created.

Quote from: 20kevin20 on Today at 09:15:01 AM

What happens is quite natural then however: as long as people consider the fees are too high, they stop transacting and fees decrease. If you feel like .10c is too low and you afford to pay .12c, you will help with the increase of fees.

OP is topically relating the high fee to exchange withdrawal fee which is not the right estimate of bitcoin transaction fee because exchanges charges more than usual.

Also, what I have noticed to decongest the mempool more is the bear market when the price of bitcoin decreased, some people will sell their bitcoin at the time and bitcoin transaction will be reduced unlike the bull market that transaction will increase and the mempool will be congested just as you commented.

Quote from: Lucius on Today at 09:22:42 AM

I understand that this is cruel capitalism where everyone takes advantage of the other to the extreme, but I still think it is very unfair to have such a large withdrawal fee for BTC.

Highly unfair to me as well, but some people will not mind but prefer excellent service. Some people will also be discouraged to transfer their bitcoin to noncustodial wallet all because of the high fee while exchange users have no full control, also is the threat of exchange hack.

Quote from: Lucius on Today at 09:22:42 AM

However, users may start using other crypto exchanges now that Binance has KYC for all users - which was not the case until recently.

It will be good for people to go for noncustododial exchange, but the noncustododial exchange volume is lower which might discourage some people. Also if we notice something, the people that are now using bitcoin nowadays are not that privacy concerned while many of them now do not even know the difference between wallet and exchanges. Binance had the intention to gain as much as possible customers before making stringent terms of service concerning kyc, but very possible few people might not make use of Binance again, but the exchange will later likely have more growth as people are ignorant of many things.

quote author=KingsDen link=topic=5362606.msg58046470#msg58046470 date=1632822942]
That is why Lightening Network and the use of Segwit (Segregated Witness) addresses should be encouraged in order to battle the BTC high transaction fee.
[/quote]
The upcoming P2TR will also help in reducing bitcoin transaction fee, especially transactions of multisig, transactions involving many inputs will be lower if also compared. Lightning network is one of the ways bitcoin can be transferred to other users with very low fee and fastest transaction, it will be good if bitcoin wallets and exchanges begin to support it.