Because exchange wants to give users best experience. Not many customer want to receive their bitcoin slower than 24 hours and thus, exchange have to boost their transaction speed by increasing the fees.
Binance fees are very high compare with others. Coinbase might be the cheapest. I transfer my bitcoin from coinbase and it charged only $1.5
Topic: Bitcoin high fees - page 3. (Read 547 times)
@pooya87. Thank you for the explanation, however, you do not speculate that some of those transactions are also sending to the exchanges? There are 2 coincidences already if we are in the beginning of the bear market. CME futures for bitcoin was listed on December of 2017, COIN was listed April 14 and the fees have never been higher since December of 2017.
Bitcoin’s “digital gold” narrative may be getting stronger, as investors in the cryptocurrency are more incentivized than ever to hold rather than spend it. Making a Bitcoin transaction is now the most expensive it’s ever been: the average cost of sending the cryptocurrency is now $59.87, according to the latest BitInfoCharts data.
That’s more expensive than the last bull run, in December 2017, when the average cost hit $55.17.
Source https://decrypt.co/68680/bitcoin-transaction-fees-all-time-high
Bitcoin’s “digital gold” narrative may be getting stronger, as investors in the cryptocurrency are more incentivized than ever to hold rather than spend it. Making a Bitcoin transaction is now the most expensive it’s ever been: the average cost of sending the cryptocurrency is now $59.87, according to the latest BitInfoCharts data.
That’s more expensive than the last bull run, in December 2017, when the average cost hit $55.17.
Source https://decrypt.co/68680/bitcoin-transaction-fees-all-time-high
This is not really good especially for those who only have a few BTC left for their transaction fees. they cannot make fast transactions just like what happened to us last week when it got stuck because of that kind of strange fees in the blockchain network. I thought this kind of problem only happened on Ethereum, I never thought that it could sometimes happen in the Bitcoin blockchain network as well.
This might be transactions from exchanges or going to exchanges, however, why the hurry?
Isn't it obvious?When the user makes a withdrawal request, they want to receive their bitcoins in whatever destination it has, as soon as possible. So the exchange has to pay high priority fee or their support staff are going to be flooded with angry tickets and their reputation is screwed.
Similarly when the user makes a deposit, they want the coins to be confirmed as soon as possible so that they can use them right away.
When there is less space compared to users (low supply, high demand) the fee (cost of that space) goes up due to the intense competition for that space.
This is why we need to scale main-chain more and we need exchanges to move to LN sooner.
Who is paying for high fees and why are they doing this? I am quite certain this is not holders hurrying to buy a Tesla with bitcoins hehe. This might be transactions from exchanges or going to exchanges, however, why the hurry?
Once upon a time the liars said "You can use BITCOIN to buy a cup of coffee"
Let's see, if I transfer 0.001BTC they charge me $20, by the way 0.0005 BTC is $30
So what's it good for? I'm not talking about buying a Tesla. Even a $1,000 purchase at $20, is still more than Visa; Where VISA only charges the merchant, not the customer.
What is BTC good for? You can't keep it, you can't use it for normal transactions. The GOV tracks it. It's NOT private. It's NOT fungible, meaning that there are three different kinds of BTC, virgin, pristine, and mixed, and most is mixed ( coin-joined ), which makes it worthless.
Tell me again, what's BTC good for?
Oh, yep its good for day trading and gambling on the exchanges, but like the guy here say's. It's $30 on each ingress/egress; and most people only hold 0.05 BTC, so all their 'investment' gets eaten up on fee's, which is why 90% of all BTC traders lose 100% of their cash within the first 30 days of playing BTC.
This might be transactions from exchanges or going to exchanges, however, why the hurry?
Exchanges don't lose anything when they use overkilling transaction fee. Why they don't lose anything? They always pass the transaction fee to the customers that is hidden in the withdrawal fee.They charge every customer with every withdrawal request with an expensive withdrawal fee. They are totally free when they use over killing fee for batch withdrawal transactions they broadcast on the bitcoin network. All costs are charged on the side of customers, not exchanges.
When the network is crazy like this, it will take about 4 weeks to be resolved and back to normal. It even can last longer than 1 month.
A notable example is Binance which charges 0.0005BTC per withdrawal.
With this withdrawal fee rate for each withdrawal request, Binance and other exchanges can use a transaction fee rate at 300 or 400 sat/vbyte and they won't lose anything. 
Some exchange actually has a fixed withdrawal fee. There is thus no difference between withdrawing at 10sat/vbyte or 100sat/vbyte for the user. Since the transactions can always be batched, the TX fees paid by the exchange can still be greater than the TX fee paid by the user to the exchange.
A notable example is Binance which charges 0.0005BTC per withdrawal.
There are also probably a smaller proportion of scheduled payments which cannot be delayed. Given that the high fees has persisted for some time, I imagine that there is no recourse for this.
A notable example is Binance which charges 0.0005BTC per withdrawal.
There are also probably a smaller proportion of scheduled payments which cannot be delayed. Given that the high fees has persisted for some time, I imagine that there is no recourse for this.
Who is paying for high fees and why are they doing this? I am quite certain this is not holders hurrying to buy a Tesla with bitcoins hehe. This might be transactions from exchanges or going to exchanges, however, why the hurry?
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