The transaction fee is just ridiculous.

[nelruk]

The transaction fee is very small (less 10 cents) and yet you still yelling? Man!

[1714645734]

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[1714645734]

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[1714645734]

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[bluemountain]

Some guy sent about 1,000 BTC and he included a 0.005 tx fee.

This is that transaction:
https://blockchain.info/tx/72bec59c7649d4527d8d7848ebc36840c89f5d36d18db9a91afd34d800826722

This is what it means:
Output $ 376,352.59
Fees $ 1.79

That kind of transaction fee for that kind of money sent is indeed ridiculous! He just sent over $376,352 over the internet to what may eventually end up being over a thousand different people, without opening an account anywhere or asking anybody’s permission. That transaction was completed and confirmed in about six minutes, and it cost about fifty cents in transaction fees at that time.

Ridiculous!

I find it very interesting that all of the addresses this person sent BTC to started with '1Ag'; I somewhat suspect that this person has hashed several addresses and sent this bitcoin to himself.

I would agree that, if you did have this many 'accounts' with various banks then it would cost more then the ~$2.00 from buying checks in order to write this many checks to yourself

[teukon]

Some guy sent about 1,000 BTC and he included a 0.005 tx fee.

This is that transaction:
https://blockchain.info/tx/72bec59c7649d4527d8d7848ebc36840c89f5d36d18db9a91afd34d800826722

This is what it means:
Output $ 376,352.59
Fees $ 1.79

That kind of transaction fee for that kind of money sent is indeed ridiculous! He just sent over $376,352 over the internet to what may eventually end up being over a thousand different people, without opening an account anywhere or asking anybody’s permission. That transaction was completed and confirmed in about six minutes, and it cost about fifty cents in transaction fees at that time.

Ridiculous!

I find it very interesting that all of the addresses this person sent BTC to started with '1Ag'; I somewhat suspect that this person has hashed several addresses and sent this bitcoin to himself.

You suspect well.  This was one of Casascius' coin-loading transactions.  This particular transaction corresponds to a stock of silver rounds (note that the chemical symbol for silver is Ag).

[bluemountain]

Some guy sent about 1,000 BTC and he included a 0.005 tx fee.

This is that transaction:
https://blockchain.info/tx/72bec59c7649d4527d8d7848ebc36840c89f5d36d18db9a91afd34d800826722

This is what it means:
Output $ 376,352.59
Fees $ 1.79

That kind of transaction fee for that kind of money sent is indeed ridiculous! He just sent over $376,352 over the internet to what may eventually end up being over a thousand different people, without opening an account anywhere or asking anybody’s permission. That transaction was completed and confirmed in about six minutes, and it cost about fifty cents in transaction fees at that time.

Ridiculous!

I find it very interesting that all of the addresses this person sent BTC to started with '1Ag'; I somewhat suspect that this person has hashed several addresses and sent this bitcoin to himself.

You suspect well.  This was one of Casascius' coin-loading transactions.  This particular transaction corresponds to a stock of silver rounds (note that the chemical symbol for silver is Ag).

Ahhh, at first I thought it was some kind of pool like payout (or some other similar payout), then I started to notice that all of the addresses were somewhat similar. (LOL).

IMO it would have been realistic for them not to have included a TX fee at all as they should not have been in any kind of rush to get the TX confirmed (they likely had days before the BTC "had" to be confirmed), and could have split up the transactions into smaller TXs as necessary

[Dabs]

Here is a more recent transaction:

https://blockchain.info/tx/32110c84009bcc3cd77ba4535f7e86813a54747fe9c1e9176dc83961e9ea8a5e

In bitcoin:
Total Output: 1,906.98281757 BTC
Fees: 0.0005 BTC

In USD:
Total Output: $ 702,990.15
Fees: $ 0.18

Confirmed and included in a block in 4 minutes.

[bluemountain]

Here is a more recent transaction:

https://blockchain.info/tx/32110c84009bcc3cd77ba4535f7e86813a54747fe9c1e9176dc83961e9ea8a5e

In bitcoin:
Total Output: 1,906.98281757 BTC
Fees: 0.0005 BTC

In USD:
Total Output: $ 702,990.15
Fees: $ 0.18

Confirmed and included in a block in 4 minutes.

They overpaid for their TX fee (although the TX did have a "lot" of inputs) by a factor of ~5. It is less clear in this case, however many use cases of bitcoin do not require a 10 minute (or a 4 minute) confirmation, as many uses only need a TX to be "eventually" confirmed after a much longer time (hours or a day)

[Dabs]

I once had a small transaction. Took about less than 48 hours to confirm. Still, it bothered both me and the receiver. We just waited it out. I no longer make "free" transactions, I just include a small fee almost all the time now.

[bluemountain]

I once had a small transaction. Took about less than 48 hours to confirm. Still, it bothered both me and the receiver. We just waited it out. I no longer make "free" transactions, I just include a small fee almost all the time now.

It would not bother me as long as you know the counterparty is not going to be receiving the goods/services they are to receive for several days. If for example you sent a TX to bitpay to pay for an order on amazon (both of whom I would trust to "send first") without a TX fee, most of the time they will not be able to send the goods for a couple of days so the fact that it takes 48 hours to confirm would mean nothing because if one of the inputs is double spent then amazon could simply cancel the order

[Cryptlexity]

If you look at the fees percentage wise, it is pretty cheap. It's large enough to reduce dust transactions without making micro transactions too expensive.

[Etanllah]

I have no issues with fees if they help the protocol or the services. Sometimes the fees are too much though. I have like .0001 BTC at certain places but can move them because that's just how much the fee costs.

[odolvlobo]

I have no issues with fees if they help the protocol or the services. Sometimes the fees are too much though. I have like .0001 BTC at certain places but can move them because that's just how much the fee costs.

I probably have a few pennies and nickels scattered around the house but i don't feel the need to gather them all up.

[MadGamer]

What ridiculous transaction fee , it's just for helping the protocol  , and it's a very low amount comparing to other payment methods if not zero.

[deluxeCITY]

A question about transaction fees: after 2040 - when Bitcoin mining will end - are we going to pay the same fee?

Mining will never stop, but the subsidy (currently at 25 BTC) will go to 0 around the year 2140. As long as the subsidy is high enough, the transaction fee is primarily used to prevent DOS attacks. Eventually, the fees will replace the subsidy and the minimum fee will become market-driven so it could go up or down.

The goal/theory is that transactions fees will make up a larger percentage of the total block reward over time, so as the block subsidy decreases, the miners will still have sufficient incentive to continue to mine.

[Loophole]

A question about transaction fees: after 2040 - when Bitcoin mining will end - are we going to pay the same fee?

Mining will never stop, but the subsidy (currently at 25 BTC) will go to 0 around the year 2140. As long as the subsidy is high enough, the transaction fee is primarily used to prevent DOS attacks. Eventually, the fees will replace the subsidy and the minimum fee will become market-driven so it could go up or down.

The goal/theory is that transactions fees will make up a larger percentage of the total block reward over time, so as the block subsidy decreases, the miners will still have sufficient incentive to continue to mine.

So we will either have a higher and higher bitcoin price or a higher and higher transaction fee in unit of btc, as block reward halves, right?

[DannyHamilton]

So we will either have a higher and higher bitcoin price or a higher and higher transaction fee in unit of btc, as block reward halves, right?

Or unprofitable miners shut off their mining equipment, and we have lower mining difficulty (resulting in higher revenue for those that continue mining).

[sobitcoin]

We are FORCED to pay a tax upon every transaction, and they say Bitcoin doesn't have any taxes? That's just pure crap. Taxation is unconstitutional theft via armed extortion. In Bitcoin's case, it's unavoidable, and is without the armed extortion (YOU ARE FORCED TO PAY).

You are not FORCED to pay anything.

You are not even FORCED to use bitcoin.

You are welcome to use bitcoin if you like, and you are welcome to pay any fee (or no fee at all if you like).

Equally, the peers on the network are not FORCED to relay your transaction if they don't want to.

They are welcome to relay your transaction if they like, and they are welcome to ignore your transaction if they like.

Equally, the miners are not FORCED to include your transaction in their blocks.

They are welcome to include your transaction if they like, and they are welcome to leave your transaction for some other miner to include in their block if they like.

Isn't it great how NOBODY is FORCED to do any of these things with bitcoin.

The same plugs that
are forced to get fat because Mcdonalds food is unhealthy
and forced to eat it because their marketing is too convincing
and the ones who have 6 kids, that the government doesn't do enough to support
and the same ones who protest their shitty paying jobs because they are forced to work there
Ugh, they are everywhere.

[deluxeCITY]

So we will either have a higher and higher bitcoin price or a higher and higher transaction fee in unit of btc, as block reward halves, right?

Or unprofitable miners shut off their mining equipment, and we have lower mining difficulty (resulting in higher revenue for those that continue mining).

You forgot to point out that the network difficulty is much higher then it needs to be right now in order for the network to be sufficiently secure so miners shutting off their equipment in semi-mass would not be a huge problem for network security

EDIT: another scenario is that we see a higher overall level of bitcon transactions so more people pay the same fee, resulting in overall higher revenue for the miners (this is what satoshi envisioned)

[bitkilo]

One of my first transactions was some dust from one wallet to the other and the fees did seem expensive at the time but since then i've learnt that dust transactions have so many outputs which adds to the fee.
Now when you start hearing stories like 700k being sent for a $0.18 things look a little better.
You could probably send $10 or less to 1000 people for a total of about $1 in fees, try doing that with a bank or wire transfer company.
No one is forced to pay any fees actually.

[awesome31312]

I absolutely HATE paying 0.001 BTC

Pay taxes? What am I? Poor?

This is NOT what Lincoln was shot for

[ScreamnShout]

I absolutely HATE paying 0.001 BTC

Pay taxes? What am I? Poor?

This is NOT what Lincoln was shot for

You are actually off by a factor of 10 as to how much you will generally need to pay for a TX fee. The "standard" TX fee stands at .0001 BTC not .001 BTC.

Either way the "fee" is very small when compared to the alternatives.