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Author Topic: How much transaction fee does a transaction cost?  (Read 674 times)
lucky60 (OP)
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December 18, 2013, 04:11:42 AM
 #1

Hi, guys

I am quite confusion about bitcoin transaction fee.

On FAQ of official site, it says that "it may seem extremely low (0.0005 BTC for a 1,000 BTC transfer) or unfairly high (0.004 BTC for a 0.02 BTC payment)". Assume I want to transfer 0.00001 BTC to my friend, Does it mean I need to pay 0.004 BTC of transaction fee? If it is, the transaction fee will be 400 times of transaction value itself.

Is there any document showing the exactly rules of BTC transaction fee? Or the transaction fee is random which depends on the mood of BTC server Roll Eyes?




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December 18, 2013, 04:37:38 AM
 #2

If you pay a too low fee, your transaction might take longer to be processed. But even fee-less transactions have been processed (though there have been a few rare cases where it took a few days until a charitable miner managed to mine a block with it).

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December 18, 2013, 04:41:06 AM
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Bitcoin transaction fees
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December 18, 2013, 04:49:59 AM
 #4

en.bitcoin.it/wiki/Transaction_fees#Sending

Currently, any transaction sending less than BTC0.01 absolutely requires a transaction fee of at least BTC0.0001. Assuming you want to transfer BTC0.00001 to your friend, not only will you have to pay this fee, but your friend will also have to pay an additional BTC0.0001 to send his coins anywhere else. Since the required fee is more than he has, he will not be able to spend his coins at all, and the whole situation is entirely your fault. Bitcoin is not suitable for microtransactions, and anyone who told you differently is a liar.

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lucky60 (OP)
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December 18, 2013, 05:12:17 AM
 #5

Thanks foxpup, helpful Grin Grin Grin
lucky60 (OP)
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December 18, 2013, 05:23:41 AM
 #6

en.bitcoin.it/wiki/Transaction_fees#Sending

Currently, any transaction sending less than BTC0.01 absolutely requires a transaction fee of at least BTC0.0001. Assuming you want to transfer BTC0.00001 to your friend, not only will you have to pay this fee, but your friend will also have to pay an additional BTC0.0001 to send his coins anywhere else. Since the required fee is more than he has, he will not be able to spend his coins at all, and the whole situation is entirely your fault. Bitcoin is not suitable for microtransactions, and anyone who told you differently is a liar.

So it means the minimum fee of transaction is BTC0.0001? Did I get it rightly?
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December 18, 2013, 09:54:48 AM
 #7

en.bitcoin.it/wiki/Transaction_fees#Sending

Currently, any transaction sending less than BTC0.01 absolutely requires a transaction fee of at least BTC0.0001. Assuming you want to transfer BTC0.00001 to your friend, not only will you have to pay this fee, but your friend will also have to pay an additional BTC0.0001 to send his coins anywhere else. Since the required fee is more than he has, he will not be able to spend his coins at all, and the whole situation is entirely your fault. Bitcoin is not suitable for microtransactions, and anyone who told you differently is a liar.

Bitcoin-Qt version 0.8.6 final is now available from:

http://sourceforge.net/projects/bitcoin/files/Bitcoin/bitcoin-0.8.6/

0.8.6 Release notes
===================

- Default block size increase for miners.
  (see https://gist.github.com/gavinandresen/7670433#086-accept-into-block)

- Remove the all-outputs-must-be-greater-than-CENT-to-qualify-as-free rule for relaying
  (see https://gist.github.com/gavinandresen/7670433#086-relaying)

- Lower maximum size for free transaction creation
  (see https://gist.github.com/gavinandresen/7670433#086-wallet)

To answer the OP's question:

The minimum fee is 0.0001 per kB of transaction size. The amount of data you send determines the minimum fee. If you send to many recipients, or you are using many payments you previously received to fund the transaction, you may be creating a transaction larger than a kilobyte. Bitcoin-Qt will calculate the appropriate fee based on the transaction size; other wallets often do not do this in strict compliance with the rules.

If you do not include the 0.0001 per kilobyte bitcoin fee when required, your gonna have a bad time. For transactions that qualify to be free, you should still add this as a voluntary fee, as it may take hours or days if your transaction includes no miner incentive for inclusion in a block.
Fotyer
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December 18, 2013, 01:20:52 PM
 #8

en.bitcoin.it/wiki/Transaction_fees#Sending

Currently, any transaction sending less than BTC0.01 absolutely requires a transaction fee of at least BTC0.0001. Assuming you want to transfer BTC0.00001 to your friend, not only will you have to pay this fee, but your friend will also have to pay an additional BTC0.0001 to send his coins anywhere else. Since the required fee is more than he has, he will not be able to spend his coins at all, and the whole situation is entirely your fault. Bitcoin is not suitable for microtransactions, and anyone who told you differently is a liar.

Bitcoin-Qt version 0.8.6 final is now available from:

http://sourceforge.net/projects/bitcoin/files/Bitcoin/bitcoin-0.8.6/

0.8.6 Release notes
===================

- Default block size increase for miners.
  (see https://gist.github.com/gavinandresen/7670433#086-accept-into-block)

- Remove the all-outputs-must-be-greater-than-CENT-to-qualify-as-free rule for relaying
  (see https://gist.github.com/gavinandresen/7670433#086-relaying)

- Lower maximum size for free transaction creation
  (see https://gist.github.com/gavinandresen/7670433#086-wallet)

To answer the OP's question:

The minimum fee is 0.0001 per kB of transaction size. The amount of data you send determines the minimum fee. If you send to many recipients, or you are using many payments you previously received to fund the transaction, you may be creating a transaction larger than a kilobyte. Bitcoin-Qt will calculate the appropriate fee based on the transaction size; other wallets often do not do this in strict compliance with the rules.

If you do not include the 0.0001 per kilobyte bitcoin fee when required, your gonna have a bad time. For transactions that qualify to be free, you should still add this as a voluntary fee, as it may take hours or days if your transaction includes no miner incentive for inclusion in a block.

Indeed, nearly all of my high-priority tx get included within 3 blocks (except 1 tx takes about 6 blocks).
Anyway, 0.0001 BTC is very low for a payment to anywhere on the Earth and with very fast clearing.
lucky60 (OP)
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December 19, 2013, 03:22:22 AM
 #9

Thanks all of u, my friends, Learn a lot! Grin Cheesy
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