How to calculate bitcoin transaction size and fees - page 2.

RapTarX

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Quote from: bitmover on May 06, 2019, 11:22:06 AM

Take a look at LoyceV guide about it:
Fees are low, use this opportunity to Consolidate your small inputs!

I had once seen this article but never tried to understand it. Thank you for breaking it down. Until now, I had misunderstanding about this. I guess now why it's important to consolidate all the input into one when fee is lower.
Corrected the OP.

bitmover

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bitcoindata.science

There is one important thing you forgot to mention.

What matters for fees is not how many addresses you have, but how many inputs you have.

Let´s suppose you engaged in many sig campaigns and you received 0,0005 every week for 20 weeks. You earned 0,01BTC, however you will have more than 20 inputs on the same address.

Every transaction made from your address will now have cost based on every input, individually, when you want to move them.

That´s why it´s important to consolidate your small inputs when fees are low.

If you consolidate your 20 0,0005 BTC with 2 sat/byte, it will be much cheaper than making a transaction now for 20 inputs with 60 sat/byte.

Take a look at LoyceV guide about it:
Fees are low, use this opportunity to Consolidate your small inputs!

RapTarX

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Quote from: Bitcoin_Arena on May 06, 2019, 11:03:14 AM

I am a little confused on the output part.
Question is how do you come up with the output even before the transaction has been made since we are still trying to calculate the transaction fee?

Output means on how much addresses you are going to send. Generally, it should be 2 because if you send in one address, the change will be sent to another address of yourself. You may send 4 people at once (or more), the output will be 4+1=5 (if you send all the amount you have, no change will be made and total output will be 4 in that case). May be I'm wrong because I'm newbie in this space and trying to learn.
Edit-

Quote

The transaction output is the bitcoin address to which the money was sent.

Source- https://www.thebalance.com/how-does-a-bitcoin-transaction-work-391213

Therefore, it's known to us before transactions been made.

Bitcoin_Arena

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฿itcoin for all, All for ฿itcoin.

I am a little confused on the output part.
Question is how do you come up with the output even before the transaction has been made since we are still trying to calculate the transaction fee?

RapTarX

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Bitcoin fees depend on the size of the transaction. For a bigger size of transaction, you must have to pay higher transaction fee. Here bigger size don't refer to the amount of the bitcoin to be transacted.

How to calculate transaction size
Source

Input*180 + output*34 + 10 plus or minus input
Say, input is 2 and output is to 3 address. The size is-
2*180 + 3*34 + 10 + or - 2 = 474/470bytes.

Input= number of times received bitcoin on an address.
Output= number of addresses where you will send.

When input and output increase, the total size will also be increased which will cause you higher fee.

How to calculate fees
Now that the transaction size is calculated, check bitcoinfees and find out the current amount of satoshi per byte.
According to this site-

Quote

The fastest and cheapest transaction fee is currently 62 satoshis/byte

If someones pay 62 satoshi per byte, the transaction will likely to be listed in the next block, however, it's possible to pay less fee which will cause slow confirmation. If more fee is paid, the transaction process will be more faster.

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