Ok so then explain this situation to me, and I would really like to know how you handle it.

User withdraws a small fraction of a BTC... say it's .0003 BTC. We charge a percentage - lets say that percentage is .1%

So his withdrawal fee is .0000003

The blockchain charges us .0001 plus our .00015 fee we add so that you people don't wait around forever for your BTC. We remove .00030003 BTC from his account, and he gets .0003 BTC in his wallet. We, however, pay .00025 BTC to move the transaction. So we lose the entire .00025 fee, minus the .0000003 we "charged".

2000 of these withdrawals and our BTC wallet is insolvent by half a bitcoin. Thats $300 we should pay?

And now we have mid-sized trader who sells 3.5mil JPC at 32 satoshi, and he goes to withdraw his 1.12 BTC and sees a withdrawal fee of .00112, more than DOUBLE what we're charging now. Or the bigger guy who wants to withdraw 7 BTC - and wants a goddamned explanation NOW about why us assholes are holding his BTC hostage with an absurd you-cheating-assholes .007 BTC withdrawal fee THIRTY FIVE TIMES what mintpal and bittrex charge?!?!

See - what I'm seeing here is a lose lose lose situation. If we charge a percentage, the small BTC withdrawal people (which is you, otherwise you wouldnt be arguing for a system that NO ONE DOES because IT DOESNT WORK) bleed us dry, and - if there's a real asshole out there who REALLY wants to fuck us over, deposits 1 BTC then does 10,000 .00001 BTC withdrawals, costing us 2.5 BTC in fees in the process.

Or there's the guy who withdraws more than .51 bitcoin, who is now pissed because we raised the withdrawal fee.

So, since it's such a revolutionary idea where either the exchange itself, or the person who trades more than pennies - ONE of the two -  is getting screwed - I'd love to hear the answer on how that setup works and how we keep from going bankrupt, and keep from making anyone who trades more than half a bitcoin avoid our site like the plague.

Because putting in a system that says "Hey, if you want to trade in volume, don't deposit here, because our withdrawal fees are insane!" seems like the absolute worst way to get volume.

I'm not being an ass here - honest question: Do you actually understand how BTC transaction fees work? Do you realize that they are NOT a percentage, and it's a fixed rate - based on the data size, NOT the BTC size - of the transaction? That if I send you .00008 BTC, it will charge me a .0001 fee anyway, the fee being MORE than the amount I sent?

We are charging what WE are charged, based on a rolling average, plus a small percentage to cover losses we incur when the fee is actually larger than what we charged, plus the .00015 we add as miner incentive to prioritize our deposits.

And, I'm dead serious, let me know how us charging 18 cents more than mintpal or bittrex, and absolutely moving your BTC faster than them, is so absurd. You'll spend $65 on a video game, $9 on a pack of cigarettes, $5 for a shitty bottle of lite beer at a bar (that is less than a buck at the liquor store), but 18 cents to move your Bitcoin is reason to not use a website that performs better than the competition.

I'm... at a loss...