Bitcoin transaction fees over 30%?

[KetchupMakesItBetter]

I decided to try Exodus, a desktop wallet (and looks pretty good). I downloaded, installed, and did a trial transaction as they recommended.

Trial transaction:
1. Went to Coinbase. Used debit card to buy $10.00USD of bitcoin. Was charged $10.99 for 0.0036855 bitcoin valued at $10.00USD.
2. Sent all to Exodus. Was charged 0.0010584 to send to Exodus.
3. Exodus received 0.00264578 BTC valued at $7.11USD.

So, to get $7.11 into Exodus via Coinbase cost $3.88.

Why are the transaction costs so high? Is this typical for small amounts?

[pooya87]

1. this is not transaction fee it is trading fee that exchanges take from you becaue you used their platform and services. all of them have it and it is a percentage-wise fee. for example if you bought $1000 worth of bitcoin you would have paid $1099. (although buying on other exchanges seems to be cheaper coinbase seems to be charging a lot more)

2. this is the network fee and again coinbase seems to be charging more. the regular fees for a trasnaction are a little less than that around 0.00081000BTC. and nothing we can do about it at this point because blocks are full. however this fee is fixed which means if you bought $100,000 worth of bitcoin you would have still paid the same amount of fee.

[HabBear]

I'd start with Exodus, have you contacted them yet? When you do reference this page fro their website: http://support.exodus.io/knowledge_base/topics/how-does-exodus-calculate-fees

A larger operation like Coinbase has less need to charge a premium for the transaction, they make better revenue with lower transaction fees across a larger volume of transactions. Exodus, if new, likely isn't in the position to have the scale of transactions that coinbase does.

 

2. this is the network fee and again coinbase seems to be charging more. the regular fees for a trasnaction are a little less than that around 0.00081000BTC. and nothing we can do about it at this point because blocks are full. however this fee is fixed which means if you bought $100,000 worth of bitcoin you would have still paid the same amount of fee.

How do you know it's being charged by Coinbase and not Exodus or both?

Is it possible both Exchanges are getting on the action, each charging a fee?

[klf]

Many of these exchanges are charging very high fees for outgoing transactions compared to the blockchain. I didn't use coinbase for many days already but I'm using xapo for the last couple of years and recently they started to charge an outgoing fee which is very high compared to blockchain. So I have stopped using exchanges to send money. Generally, fees are high and we can't do much on it unless you use other altcoins for transactions.

[Kakmakr]

The exchanges are cashing in on the excuse that miners fees are higher than usual, so they ride the wave to charge more fees to get people's transactions confirmed faster. To top that, the transfer of all Blockchain transactions <prices> are also hiked up with wallet providers. So we are being fucked by greedy miners and third party service providers like exchanges and wallet providers. < evil greedy trend > Until some kind of scaling solution are being implemented, we will be exploited by the miners and these service providers. ^grrrrrrr^

[romero121]

Few wallets too using this an opportunity and making the users suffer a lot, as we cannot make a fee based on our requirement. Recently tried to make an transaction around $100 in terms of bitcoin and the fee for the transaction is 0.002658 btc. If this is the case what's the use of bitcoin compared with the banking system.

[bitcoin199]

That's just due to the over-exertion of the network and pending unconfirmed payments, you can send using lower fees but might have to wait for a long time to get a confirmation in the transaction.
For larger amounts, the fees would be the same (if the size of bytes is), hence the cost isn't progressive.

[KetchupMakesItBetter]

I'd start with Exodus, have you contacted them yet? When you do reference this page fro their website: http://support.exodus.io/knowledge_base/topics/how-does-exodus-calculate-fees

A larger operation like Coinbase has less need to charge a premium for the transaction, they make better revenue with lower transaction fees across a larger volume of transactions. Exodus, if new, likely isn't in the position to have the scale of transactions that coinbase does.

 

2. this is the network fee and again coinbase seems to be charging more. the regular fees for a trasnaction are a little less than that around 0.00081000BTC. and nothing we can do about it at this point because blocks are full. however this fee is fixed which means if you bought $100,000 worth of bitcoin you would have still paid the same amount of fee.

How do you know it's being charged by Coinbase and not Exodus or both?

Is it possible both Exchanges are getting on the action, each charging a fee?

Exodus claims they do not charge a fee for incoming transactions, and they link to Blockcypher which breaks down the chain. Exodus got nothing. It was all Coinbase.

[shield132]

I decided to try Exodus, a desktop wallet (and looks pretty good). I downloaded, installed, and did a trial transaction as they recommended.

Trial transaction:
1. Went to Coinbase. Used debit card to buy $10.00USD of bitcoin. Was charged $10.99 for 0.0036855 bitcoin valued at $10.00USD.
2. Sent all to Exodus. Was charged 0.0010584 to send to Exodus.
3. Exodus received 0.00264578 BTC valued at $7.11USD.

So, to get $7.11 into Exodus via Coinbase cost $3.88.

Why are the transaction costs so high? Is this typical for small amounts?

Really, do you know a little things about fees? Because you paid 30% od your teansaction doesn't means that fee is same for any amount, if that would be like that, believe me no one would use bitcoin, imagine sending 1000$ btc when 300$ is cutted in fees, no one would use. This is for only small transactions, bitcoin's fees changed and bitcoin is nearly useless for small transactions, for higher transactions it's ok. Fee depends on transaction size.

[magneto]

I decided to try Exodus, a desktop wallet (and looks pretty good). I downloaded, installed, and did a trial transaction as they recommended.

Trial transaction:
1. Went to Coinbase. Used debit card to buy $10.00USD of bitcoin. Was charged $10.99 for 0.0036855 bitcoin valued at $10.00USD.
2. Sent all to Exodus. Was charged 0.0010584 to send to Exodus.
3. Exodus received 0.00264578 BTC valued at $7.11USD.

So, to get $7.11 into Exodus via Coinbase cost $3.88.

Why are the transaction costs so high? Is this typical for small amounts?

As shield said, the fees are not dependant on your amount sent but rather on your transaction size.

Coinbase actually does not take any sort of cut on your transaction, which means that the fee that they charge you is the actual transaction fee they pay on your transaction. I know this because i use them on a daily basis, and you can verify that on the blockchain as well.

Bitcoin is incredibly useful for sending large amounts of money overseas or just storing your wealth in something that nobody can really control. It's currently not very feasible for people to send dust amounts across the blockchain. Why is it so high? Because blocks are full and transactions are currently taking up a lot of space, therefore everyone is competing to get their transaction into a block, driving up the price of transactions. This should be solved via Segwit temporarily at least though.

[Humanxlemming]

It's in coinbase because their charging high fees to accumulate your transactions (TXID) to confirmed fast. Blockchain now aren't not actually like before that can confirmed our transactions fast evem we put small fees. Anyways just a tip why not you use poloniex as  to withdraw man because their just charging 10k sats fees

[mudboy93]

now is not the time of micro transactions like how it used to be before, with both the rise in price of btc for around 5-6 times and the increase in fees to a default of at least 0.0003 the value became awful.
even faucets are all using off-chain transfer system because in-chain is becoming more and more expensive.

[justspare]

Many of these exchanges are charging very high fees for outgoing transactions compared to the blockchain. I didn't use coinbase for many days already but I'm using xapo for the last couple of years and recently they started to charge an outgoing fee which is very high compared to blockchain. So I have stopped using exchanges to send money. Generally, fees are high and we can't do much on it unless you use other altcoins for transactions.

well bitcoin charges are not so much high its income is increasing day by day and 30% increament is not so much to decrease its values  large programs needs small amount of transaction fees for over amount transaction fees is accordingly .xoducks and coinbase are using high amount of bitcoin with less transaction .

[xypos]

I decided to try Exodus, a desktop wallet (and looks pretty good). I downloaded, installed, and did a trial transaction as they recommended.

Trial transaction:
1. Went to Coinbase. Used debit card to buy $10.00USD of bitcoin. Was charged $10.99 for 0.0036855 bitcoin valued at $10.00USD.
2. Sent all to Exodus. Was charged 0.0010584 to send to Exodus.
3. Exodus received 0.00264578 BTC valued at $7.11USD.

So, to get $7.11 into Exodus via Coinbase cost $3.88.

Why are the transaction costs so high? Is this typical for small amounts?

This is one of the biggest misconceptions that newbies have about bitcoin. But don't feel too bad about it, because honestly we have all thought about this too when we were newbies in the bitcoin world and had no idea what is what.

The thing with bitcoin is that it does not calculate fees based on your transaction amount, but rather on how much space your transaction is going to take up in a block. You can check out the latest fees recommended at https://bitcoinfees.21.co/.

Each input will add around 200 bytes to the transaction approximately, each output, around 20 i think iirc. And the transaction itself will be around 30-40 bytes per transaction. So use that formula to very roughly calculate your transaction cost.

But yes, bitcoin network is very congested right now, so the fees are way higher than it used to be. In 2008-16 you could send any transaction essentially with a 0.0001 BTC fee.

[DoublerHunter]

I decided to try Exodus, a desktop wallet (and looks pretty good). I downloaded, installed, and did a trial transaction as they recommended.

Trial transaction:
1. Went to Coinbase. Used debit card to buy $10.00USD of bitcoin. Was charged $10.99 for 0.0036855 bitcoin valued at $10.00USD.
2. Sent all to Exodus. Was charged 0.0010584 to send to Exodus.
3. Exodus received 0.00264578 BTC valued at $7.11USD.

So, to get $7.11 into Exodus via Coinbase cost $3.88.

Why are the transaction costs so high? Is this typical for small amounts?

The fees now are very crazy because it is not that fair for us to pay because if we don't have big amount of bitcoin to cover those fee then it is really a big loss for us and those small amounts of bitcoin that is wasted because of the fee will cost a lot after a few years in bitcoin because we all know that the bitcoin has a great future and this is what we need to fix to be sure that bitcoin will have a great future because if this over priced fees will not be corrected then expect some users of bitcoin that will transfer to other coin.

[Wendigo]

My BitPay app shows that in order to buy a Big Mac for exactly $5 I need to pay 30.50% in fees of the total sum. That is the Normal fee setting. Fuck that I don't foresee getting rid of my bank account any time soon.

[UCHCHILD]

Yes, the fee now is getting higher actually it sucks because when I try to withdraw my money and exchange it from coinbase my money is deducted too much so I cannot transfer money even in small amount because I feel wasted because of the transaction fee. Sometimes I think what if I send small amount of coin and it pop in to my mind that oh my the fee is higher than the amount that I am going to send on.

[mayax]

use other e-currency ! it's so simple .  how can you pay 30%?  LOL  

you can rather use Paypal... Now, it has much lower fees.

BTC wasn't made to be a payment system.

[Kprawn]

use other e-currency ! it's so simple .  how can you pay 30%?  LOL  

you can rather use Paypal... Now, it has much lower fees.

BTC wasn't made to be a payment system.

Hugh? So why did Satoshi Nakamoto call it a "A Peer-to-Peer Electronic Cash System" <--- What do you cash for? People use cash as a

daily payment option. The hoarders turned this into a speculative store of Value system and I doubt if Satoshi wanted this to happen. I think

Bitcoin's use is multi-functional {Currency & Store of Value } and people just need to accept this and scaling should adapt to cater for that. 

[mayax]

use other e-currency ! it's so simple .  how can you pay 30%?  LOL  

you can rather use Paypal... Now, it has much lower fees.

BTC wasn't made to be a payment system.

Hugh? So why did Satoshi Nakamoto call it a "A Peer-to-Peer Electronic Cash System" <--- What do you cash for? People use cash as a

daily payment option. The hoarders turned this into a speculative store of Value system and I doubt if Satoshi wanted this to happen. I think

Bitcoin's use is multi-functional {Currency & Store of Value } and people just need to accept this and scaling should adapt to cater for that.  

You can call yourself Yoda. It doesn't mean you really are  

BTC wasn't made for daily use payments. Everybody can see that now when you are waiting hours for a ....confirmation and you have to pay 20-30% as fees. Why would you use it for shopping, bills or other payments when there are plenty of payment processors on market with instant transactions or much lower fees or even zero?

The hoarders and the black market are the majority so...they give the meaning of this e-currency.