In the cryptocurrency space, transaction fees are a big topic of conversation. Digital transactions are designed to be cheaper in comparison to bank wires. If you look at Litecoin, a massive $62 million transactions were just processed for just fifty cents.
Over the past few years, there have been several cases of Bitcoin-related inquiries. Most of the concerns have something to do with the networks transaction fees. The average fee for sending Bitcoin is around $0.37 which is a big difference from the $25-$55 fees that we saw at the end of last year.
But back to Litecoin. Fees have always stayed quite low with Litecoin even for big transactions such as a recent occurrence when one user transferred over $60 million worth of Litecoin for just fifty cents! Fees can be as high as $45 with a bank wire, in some cases even more. Due to the vast amount of money being moved around. This makes digital currencies a cheap and acceptable option for global money transfers in the internet age that we live in.
As reported by Bitcoin News:
“The transaction itself is part of moving the funds to a multisignature account. Wallet security is critical in the cryptocurrency industry. This “upgrade’ confirms the funds’ owner wants to keep the money safe at all times. With such low transaction fees, there is no reason not to explore additionally secure options.”
Despite having numerous transactions inputs, the total costs didn’t exceed 45 cents. This is a positive sign of how efficient Litecoin can be when moving vast amounts of money over the network.
How possible are cheap transactions?
With this news in mind, several weeks a Bitcoin transaction which was worth over $190 million was processed for just ten cents. This makes Bitcoin more efficient than Litecoin in this context. Every transaction on this level only represents a snapshot of the actual transaction fees. If done right, money can be moved at nearly no extra cost.
The right for cheaper transactions is still occurring and overall costs have dropped for all currencies, aside from Bitcoin Cash, in recent weeks. That is a bit surprising since Bitcoin Cash is often seen as the better Bitcoin. Its larger block sizes and faster transaction times
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