I learn and get knowledge that in transaction size and fee, Legacy address is most expensive. Nested Segwit saves transaction fee but Native Segwit saves the most. Taproot is better than Nested Segwit but worse than Native Segwit.
Exchanges provide different address types for users: Legacy, Nested Segwit and Native Segwit and some have Taproot address.
They charge same withdrawal fee on all users and they do not mind what are types of address from deposit, receiving address.
Why they do not take into account address type and give users better withdraw fee?
Exchanges provide different address types for users: Legacy, Nested Segwit and Native Segwit and some have Taproot address.
They charge same withdrawal fee on all users and they do not mind what are types of address from deposit, receiving address.
Why they do not take into account address type and give users better withdraw fee?
You should know they are called exchanges for a reason and that fixed withdrawal fee is one of them, they are also centralized to some extent otherwise this thing can be done in a way that as soon as you insert your wallet address, their app should be able to detect the wallet address you are using and since most of the time they don't use junks of input to pay withdrawals, the withdrawals fee should be less than what they charge as a flat rate.
The exchange companies are milking users with this fee, most of their transactions are done in the range of 2-5 sats/vbytes and they are mostly done by batch transactions helping them reduce the fee instead of paying fees every time on a single transaction.
