ADVICE - Selling Fee's when sending from Ledger Nano S ? Sewit/Segwit 2??

[BBitcoin92]

Hi All

I hold my BTC on a Ledger Nano S and have just sent approx £1000 and i manually adjusted fees to £5 to70 sat/Byte  (it shows  as 70 0.0001176 BTC (71.1 sat/vB) on https://blockstream.info ??)  -I man in NO rush for the transaction hence low fees and i used this link that monitors the current Blockchain traffic/how busy - https://bitcoinfees.earn.com/

Not sure what a vB is, never hears of it, it's always been satoshis per Kb to me from reading up?

I also had a this message -'SEGWIT FEE SAVINGS   This transaction saved 26% on fees by upgrading to SegWit and could save 13% more by fully upgrading to native SegWit-Bech32'

I did some googling and i'm confused, from reading i presumed i was using SegWit as the OLD version was Legacy and everyone updated years ago?

I'm not sure what Segwit-Bech32 is or how i would transfer to that??

How do i make sure i am using either of above to save on fees guys?

Thanks

[dkbit98]

Bech32 is one of the new address formats starting with bc1q

- P2PKH (Legacy, starting with 1)
- P2SH (starting with 3)
- P2WPKH and P2WSH (Native Segwit, starting with bc1q)

Not sure what a vB is, never hears of it, it's always been satoshis per Kb to me from reading up?

vB or vbytes are virtual bytes, and it is used to compare how much block weight needs to be allocated for transaction confirmation.
There is more explanation for units on wikipedia and I noticed people are often confused with this.

You should still reduce inputs/outputs using transaction size calculators and checking mempool.space to avoid fees overpaying.

[Charles-Tim]

It will be good not to make use of https://bitcoinfees.earn.com/ for bitcoin fee estimation, it is not good as it is a very poor bitcoin fee estimator. For ease, you can try https://mempool.space/. 71.1 sat/vB is not a small fee, the mempool is at 31 sat/vbyte now, the transaction would have been confirmed already.

How do i make sure i am using either of above to save on fees guys?

Clearly enough dkbit98 has differentiated the bitcoin addresses. To pay lowest fee, use native segwit (bc1). Nested segwit (3-prefix addresses) has low fee too native segwit has the lowest fee. But using Legacy (1 prefix addresses) has high fee, even more higher if the address is uncompressed legacy address.

[bob123]

"vB" means virtual Byte. That's a "new" method to measure the weight of a transaction since segwit got introduced.

It seems you are using "nested segwit". Segwit nested into P2SH (addresses are starting with 3..).
If you want to use the "real" segwit to save more on fees, you simply need to create a bech32 address (bc1..) and send your funds over there (or just receive future transactions to a bech32 address and let them now sit on the nested segwit one).

What wallet are you using as an interface for your nano s? Ledger Live or Electrum? Or something else?

Bech32 is one of the new address formats starting with bc1q

- P2PKH (Legacy, starting with 1)
- P2SH (starting with 3)
- P2WPKH and P2WSH (Native Segwit, starting with bc1q)

Small correction: Bech32 defines the first 3 characters to be: bc1.
The 4th char (q) defines the wittness version. Currently there is only one version and that's version number 0.
Since the 0 encodes to q according to BIP173, that's the reason all bech32 address currently start with bc1q. This will change in the future.

[BBitcoin92]

Cheers guys.

That explains it a lot, i recall the old legacy addresses starting with 1, all my transactions start with 3 but surely i can not dictate what the receiver address is to control/lower the fees?

With that Mempool calculator though is seems i was way overpaying even setting ait at 3/5 hours the transactions are getting there in approx 10mins if not sooner. but as you state it's decided my the Mempool/how busy the network is.

I'm currently using Ledger Live with my Ledger nano.

Would you guys change anything? I was using Electrum but persons on here directed me get a HW wallet/LL and good internet protection.

Thanks very much for a great explanation.

[dkbit98]

That explains it a lot, i recall the old legacy addresses starting with 1, all my transactions start with 3 but surely i can not dictate what the receiver address is to control/lower the fees?

Receiver address is not affecting how much fees you are going to pay, you can send coins to any other address format and you are going to pay the same fee.
Like we said previously, for lower fees use bc1 address.

I'm currently using Ledger Live with my Ledger nano.

Would you guys change anything? I was using Electrum but persons on here directed me get a HW wallet/LL and good internet protection.

I would use ledger wallet only with Electrum, and ledger live is better used only when updating ledger firmware is needed.
It's easy to connect Electrum with ledger following this guide.

[bob123]

[...] all my transactions start with 3 but surely i can not dictate what the receiver address is to control/lower the fees?

All your addresses start with 3 

What determines the total fee you pay is the fee rate (sat/vB) and size (vB) of the transaction.
It does not matter what kind of an output you create (-> receiving address), it matters which kind of output you spend (-> your type of address).