Wallet to Wallet basics

[ash_what]

Is it possible to move coins from a wallet account tied to an exchange in a specific country to a wallet account tied to a different exchange in a different country possibly and then trade on that? At which point would the transaction fee be levied in such a system?
Also, would like it if someone could shed light on the concept of digitally signing off on a wallet to show proof of solvency? Extending that, how do I create a cold wallet account? third party app/web app/paper?

[shorena]

Is it possible to move coins from a wallet account

To me a wallet is something I control and an account is something I have on a website. Thus it makes no sense for me to have a wallet account. I suspect you either use an exchange I have never heard of or you have a different understand of wallet and/or account.

tied to an exchange in a specific country to a wallet account tied to a different exchange in a different country possibly and then trade on that?

You should be able to withdraw form exchange A into the deposit address of exchange B. In which country the exchanges are makes no difference for bitcoin.

At which point would the transaction fee be levied in such a system?

This depends how the exchanges handle fees. For a bitcoin transaction the fees are allways paid by the sender, but an exchange might have additional rules that have nothing to do with bitcoin protocol.

Also, would like it if someone could shed light on the concept of digitally signing off on a wallet to show proof of solvency?

Usually you would need a wallet for that, but AFAIK an account on blockchain.info allows the same. You can sign a message with your private key. Thus everyone can verify that the address in question belongs to you or rather is in your control and check the balance on a blockchain explorer.

Extending that, how do I create a cold wallet account? third party app/web app/paper?

This makes even less sense than a wallet account.
A cold wallet is something offline, an account is something online. These two dont mix. Here [1] is one of many guides how to setup a cold wallet.

[1] https://en.bitcoin.it/wiki/How_to_set_up_a_secure_offline_savings_wallet

[ash_what]

I loved your disparaging comments. Thanks for the information though! I believe I have to get my terminology up to scratch real fast and soon. I do suspect slightly that they made sense to you, but I understand.
So, confirming once again, the exchange I use to buy btc from will have a certain fee policy and then moving money from one wallet(the one I obtain on opening an account with that exchange) to a different wallet(could be a stand alone/offline cold wallet or a different wallet with a different exchange) will incur the small blockchain transaction fee(0.0001 or higher? whats the general computation algorithm?) and then I can use arbitrage and the likes, less fees. Correct?

[Simon8x]

I loved your disparaging comments. Thanks for the information though! I believe I have to get my terminology up to scratch real fast and soon. I do suspect slightly that they made sense to you, but I understand.
So, confirming once again, the exchange I use to buy btc from will have a certain fee policy and then moving money from one wallet(the one I obtain on opening an account with that exchange) to a different wallet(could be a stand alone/offline cold wallet or a different wallet with a different exchange) will incur the small blockchain transaction fee(0.0001 or higher? whats the general computation algorithm?) and then I can use arbitrage and the likes, less fees. Correct?

Yes, each exchange has its own deposit fee, trading fee, or withdrawal fee.
For example, btc-e has a 0.001 btc for bitcoin withdrawal.

The standard bitcoin transaction fee is 0.0001 btc per KB.

[krishnavein]

Moving coins from wallet to wallet is a no no for me. I am a bit afraid of moving my hard earned coins I might move it and commit a mistake. I just let it sit there.

[ash_what]

Thanks for all the help you guys. Figured out besides the exchange levying its own fees, transferring from bitcoin wallet to bitcoin wallet across exchanges or otherwise will be charged according to the blockchain transaction fee we pay to the miners based on "block size" or some such which I don't really understand(do u guys know how it influences processing power? how was it coded keeping that in mind, if at all it's that?) and the transaction amount itself.

[shorena]

I loved your disparaging comments.

Sorry, that was not my intention. I was taught to use clear words when talking abut bitcoin it reduces confusion.

Thanks for the information though! I believe I have to get my terminology up to scratch real fast and soon. I do suspect slightly that they made sense to you, but I understand.

I guess(ed)

So, confirming once again, the exchange I use to buy btc from will have a certain fee policy and then moving money from one wallet(the one I obtain on opening an account with that exchange) to a different wallet(could be a stand alone/offline cold wallet or a different wallet with a different exchange) will incur the small blockchain transaction fee(0.0001 or higher? whats the general computation algorithm?)

Yes, assuming the exchange in question is not charging anything extra the fee would be 0.0001 per KByte and a "normal" transaction (single input and a single output) is ~225 byte so it costs you 0.0001 BTC in fees.

and then I can use arbitrage and the likes, less fees. Correct?

Once you move to coins to a wallet that allows to set the fees yourself you can choose to lower them for a transaction, yes.
There is something called "priority" [1] which depends one the age and the size of the input to spend. If the priority of your TX is high enough you dont need to add a fee. If you want to work arbitrage it would suggest you pay the 0.0001 fee though, since time is usually more important in that case and some exchanges (e.g. bitstamp) require not only 1, but 6 confirmation. So you want your TX in the next block. The best way to assure this is to pay the usual fees.

[1] https://en.bitcoin.it/wiki/Transaction_fees#Technical_info

Thanks for all the help you guys. Figured out besides the exchange levying its own fees, transferring from bitcoin wallet to bitcoin wallet across exchanges or otherwise will be charged according to the blockchain transaction fee we pay to the miners based on "block size" or some such which I don't really understand(do u guys know how it influences processing power? how was it coded keeping that in mind, if at all it's that?) and the transaction amount itself.

The idea is that -in the long term- the fees are the reward for the miners to keep producing blocks. Currently we have a reward of 25 BTC for each new block to make up for the lack of transactions (and thus fees). The fee has no influence on the processing power, but miners tend to ignore or give a lower priority to transactions without or with "not enough" fee. Basically every miner decides which TX to confirm and which not. The would code rules for their mining pool or follow the normal rules (the priority I linked above) from the bitcoin core client. I am not 100% sure on this, but apparently some pools do not accept transactions without fees.