[2018-03-05] Bitcoin.com Cryptocurrency Exchanges Slash Withdrawal Fees

[theCoinMaestro]

In the past week, three of the most popular cryptocurrency exchanges have cut bitcoin withdrawal fees by up to half. While the average price of sending bitcoin has been falling for weeks, these savings had yet to be passed on to exchange customers. Now Binance, Bitfinex, and Kraken have all reduced their fees amidst a backdrop of increased Segwit adoption and transaction batching.

Bitcoin is pretty cheap to send right now – cheaper than ethereum in some instances. It’s currently around 10 satoshis per byte to send BTC, which works out at approximately 30 cents for a typical transaction. Many bitcoin users only send cryptocurrency when withdrawing it from an exchange, however, to a wallet they control or to another exchange. And with cryptocurrency exchanges setting their own fees, the recent cost savings haven’t filtered through to users. Up until last week, it still cost around $10 to withdraw BTC from an exchange such as Kucoin or Binance. While the former has yet to lower its fees, Binance has.

Cryptocurrency Exchanges Slash Withdrawal FeesIt now costs 0.0005 BTC, or around $5.70 at current prices, to make a BTC withdrawal from Binance. Bitfinex, meanwhile, has slashed a third off its fees, which now stand at 0.0004 BTC, with the exchange citing Segwit as the reason behind the saving. Finally, Kraken has dropped its fees to 0.0005 BTC and has cut bitcoin cash withdrawals to 0.0001. As a consequence, it costs around $5.70 to withdraw BTC and 13 cents to withdraw BCH.

For more details, kindly click on the following link:

https://news.bitcoin.com/cryptocurrency-exchanges-slash-withdrawal-fees/?utm_source=OneSignal%20Push&utm_medium=notification&utm_campaign=Push%20Notifications

[1714181502]

1714181502

[1714181502]

1714181502

[1714181502]

1714181502

[buwaytress]

Not sure if it's just me but I noticed the subtle Bitcoin Cash shilling there: only 13 cents to withdraw BCH! It's a tenth of Bitcoin's price, so it's a relative $1.30, that's how I see it.

Fees are still far too high, however which way you look at it. Exchanges are supposed to make money from commissions, not transactions fees. I wonder if these exchanges will "pass on the savings" to customers if they somehow get on board with LN in time. Funny that they're only crediting SW when the underlying reason for raising fees in the first place was simply mempool spikes and rising Bitcoin price.

They've got to get a bit more creative in implementing dynamic fee structures, I think. Or even consider levying deposit fees for small amounts.

[Lucius]

Not sure if it's just me but I noticed the subtle Bitcoin Cash shilling there: only 13 cents to withdraw BCH! It's a tenth of Bitcoin's price, so it's a relative $1.30, that's how I see it.

Fees are still far too high, however which way you look at it. Exchanges are supposed to make money from commissions, not transactions fees. I wonder if these exchanges will "pass on the savings" to customers if they somehow get on board with LN in time. Funny that they're only crediting SW when the underlying reason for raising fees in the first place was simply mempool spikes and rising Bitcoin price.

They've got to get a bit more creative in implementing dynamic fee structures, I think. Or even consider levying deposit fees for small amounts.

If exchanges set proper fees for withdraw,then BCH and BTC would not have any significant differences in fees.But even with this fees changes we still need to pay 5 to 7 times more then when we send BTC from our desktop/mobile/hardware wallets.I really do not understand why is it so hard for exchanges to set normal actual fees-if transaction can be confirmed in next block for less then 1$,why set fee to 5$ or more?Only miners profit from such
strange decisions,or exchanges profit also in a way miners send them some % back-it seems like a good deal for both sides.

[1Referee]

They've got to get a bit more creative in implementing dynamic fee structures, I think. Or even consider levying deposit fees for small amounts.

If Coinbase can work with dynamic fees, then other exchanges can do so too, but they don't want to for obvious reasons. One of the main things that comes to my mind is that they want to make users pay for their internal fund moving structure. Exchanges are known to split deposits into smaller wallets, move them back and forth a few times as well, which all costs them a certain amount in fees, but that's not something the user should be paying for. Exchanges offer a convenience service to serve their customers, not to have them pay for something that isn't their problem. At this point sending a transaction from one Segwit address to another Segwit address, literally costs me 0.00002BTC at most. Paying 10 or 20 times that amount is just insane and completely unnecessary.