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Author: Admin | 2025-04-28
Than others.The fee most strongly depends on the transaction's data size. Fees do not depend on the BTC amount of the transaction -- it's entirely possible for a 0.01 BTC transaction to require a higher fee than a 1000 BTC transaction.Basic intro to how Bitcoin transactions work: If you receive BTC in three separate transactions of (say) 1, 5, and 10 BTC, then you can think of your wallet as containing three gold coins with sizes 1, 5, and 10 BTC. If you then want to send 6 BTC, you can melt the 1 & 5 BTC coins together and recast them as a 6 BTC coin, or melt the 10 BTC coin and recast a 6 BTC coin for the recipient and a 4 BTC coin as change for yourself. In Bitcoin's technical vocabulary, these objects are literally called input and output coins. (In the rest of this section, when we say "coin" we mean these objects, not the amount of BTC value.)Transaction data sizes, and therefore fees, are proportional to the number (not value) of input and output coins in a transaction. Input coins are about 5x larger / more expensive than output coins.If your wallet estimates a very high fee, it is most likely because your wallet is full of a whole bunch of tiny coins, so your transaction will need to take very many coins as inputs, increasing the cost. On the bright side, fees will go down once you make a few transactions, since you will end up "melting down" these many small coins into a few larger ones. Sometimes you can significantly reduce the fee by sending less BTC: if you have like 1000 tiny faucet payments totaling 0.5 BTC and then 16.5 BTC from other sources, then you'll find that sending ~16.5 BTC
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