How does Tether Wallet-to-Wallet Free of charge transaction works?

achow101

staff

Activity: 3458

Merit: 6793

Just writing some code

Quote from: derby911 on December 05, 2017, 04:03:18 AM

Now i couldn't understand it at all

When I going to Bitfinex or Bittrex I am able to generate my own address to Transfer Tethers..So, this is not database only..

Those are different services. It is database only for the same service. So Tether.To wallet to Tether.To wallet is database only. But Tether.To to Bitfinex or Bitfinex to Bittrex is not a internal service transaction, so there are fees there.

derby911

newbie

Activity: 9

Merit: 0

Quote from: HCP on December 05, 2017, 12:07:22 AM

Without actually looking into it... Probably the same way that "Xapo wallet to Xapo wallet" or "Coinbase wallet to Coinbase wallet" transactions are free... That is to say, they are not actually blockchain transactions.

Instead, they are just the service provider moving some numbers around in their database. All of these services seem to work on the fact that you don't actually have control of the private keys... so the coins in your wallet are really just a number in a database. When you want to send some coins from your wallet to your friends wallet on the same service, they just deduct the number from your account balance and add it to theirs. It does not require a transaction to be broadcast or confirmed by a miner... so no transaction fees are required.

Thank you!

Now i couldn't understand it at all

When I going to Bitfinex or Bittrex I am able to generate my own address to Transfer Tethers..So, this is not database only..

HCP

legendary

Activity: 2086

Merit: 4363

Without actually looking into it... Probably the same way that "Xapo wallet to Xapo wallet" or "Coinbase wallet to Coinbase wallet" transactions are free... That is to say, they are not actually blockchain transactions.

Instead, they are just the service provider moving some numbers around in their database. All of these services seem to work on the fact that you don't actually have control of the private keys... so the coins in your wallet are really just a number in a database. When you want to send some coins from your wallet to your friends wallet on the same service, they just deduct the number from your account balance and add it to theirs. It does not require a transaction to be broadcast or confirmed by a miner... so no transaction fees are required.

derby911

newbie

Activity: 9

Merit: 0

Hello,

Tether declared free of charge transactions from Tether Wallet to Tether Wallet - https://tether.to/fees/.

How does it actually works?
How could it be free?

Thank you!

Topic: How does Tether Wallet-to-Wallet Free of charge transaction works? (Read 251 times)