$60+ in fees for a single withdraw. Could exchanges survive this? - page 2.

yogg

legendary

Activity: 2464

Merit: 3158

Quote from: Dutchyyy on February 04, 2021, 05:25:57 PM

For how long do you think exchanges could continue and survive this way before they start blocking or impose cosmic fees over ERC-20 withdraws?

For as long as people use Ethereum, and it will get worse if the price of 1 ETH gets higher and higher.
ETH / it's ecosystem / "DE-FI" is somehow in the same situation as BTC regarding the scalability : everyone bids with fees to make sure his transaction gets included in the blockchain.

I believe this is one of the reasons as to why DOGE gets some interest.
It's not only because of some tweets, but the underlying tech is Bitcoin, plus a couple of tweaks.

OP, if you want to pay lower fees, you should switch to another chain to make your transactions.
Sure, they won't offer the same services than the ones including ETH, but the fees will be lower.

carlfebz2

hero member

Activity: 2926

Merit: 722

Quote from: BitMaxz on February 04, 2021, 06:37:19 PM

I think most of the exchanges if you are going to withdraw or send from your exchange to another wallet or other exchange they used the "batch send" you are not the only one who withdraws from the exchange and they pay the transaction fee of all users who also withdraw/transfer their coins at the same exchange and at the same time.

Just like on Coinbase you will notice from your transaction it has many inputs and outputs and one of the outputs should be the address where you should receive the coin/token. They don't just pay the fee for a single user based on what I experienced on some exchanges.

This is correct!

When making up a transaction then trying to check out on said or specific withdrawal or transfer will really be showing off lots of addresses that had been
doing the same stuff as yours or simply they do sent out by batch which means they arent really getting hurt that much of fees since they do sent out in
one go.Its just dumb for them to make out single transactions specially now that fees are on the roof or even into those normal days
they do really operate this way.

BitMaxz

legendary

Activity: 3472

Merit: 3217

Playbet.io - Crypto Casino and Sportsbook

I think most of the exchanges if you are going to withdraw or send from your exchange to another wallet or other exchange they used the "batch send" you are not the only one who withdraws from the exchange and they pay the transaction fee of all users who also withdraw/transfer their coins at the same exchange and at the same time.

Just like on Coinbase you will notice from your transaction it has many inputs and outputs and one of the outputs should be the address where you should receive the coin/token. They don't just pay the fee for a single user based on what I experienced on some exchanges.

jackg

copper member

Activity: 2856

Merit: 3071

https://bit.ly/387FXHi lightning theory

There may be cheaper dexes even for moving erc20 tokens so they may try to use those as well as exchange networks preplanned (maybe like how central banks hold a lot of coins, if crypto takes off, an insurance company could act like this).

Dutchyyy

legendary

Activity: 1197

Merit: 1001

A few moments ago, I had a withdraw from one exchange to another.

I paid ~90c in fees. The sender (Exchange 1) paid ~$40 in fees and >400 gas. Then Exchange 2 (auto) moved the coins through a contract for another $20 in fees.

This transaction costs $60+ in fees.

While some of you may goat that exchanges deserve it, this is not sustainable for a long period. And in the end, the user is always paying the expenses.

For how long do you think exchanges could continue and survive this way before they start blocking or impose cosmic fees over ERC-20 withdraws?

Topic: $60+ in fees for a single withdraw. Could exchanges survive this? - page 2. (Read 158 times)