Is $1.1 Billion Transaction in Bitcoin That Big of a Deal? - page 2.

tsaroz

legendary

Activity: 2982

Merit: 1069

Quote from: hatshepsut93 on January 18, 2020, 08:47:27 AM

Quote from: -Multivitamina- on January 17, 2020, 06:10:27 PM

Reports state that the transaction fee comprised 0.0096 BTC ($80), which is relatively high. Notably, the transaction data in the blockchain shows a fee of 0.00005578 BTC. For comparison, a SegWit transaction of 40 000 BTC ($230 million at the time) in May 2019 was worth 0.0001 BTC or $0.57.

BitFinex’s transaction prompted @Rhythmtrader to praise the “true power of bitcoin” that no bank could match.

Only newbies are astonished by big transactions and their small amount of fees, anyone who has at least basic understanding of Bitcoin knows that there's absolutely no difference how many coins you move, so there's nothing spectacular about such transactions.

As for "power that no bank could match", banks don't charge any huge fees on people who move billions, and such large transactions do happen frequently - large companies get bought, countries do transactions between each other, billionaires make donations and so on.

If the coins were of unknown origin, it could have been a issue of debate. This one is not. Exchanges do fill and distribute address with a large amount often. If you keep on looking at the 100 address with highest balances, many of them keeps changing everyday as the exchange keeps moving the coins.

hatshepsut93

legendary

Activity: 3024

Merit: 2148

Quote from: -Multivitamina- on January 17, 2020, 06:10:27 PM

Reports state that the transaction fee comprised 0.0096 BTC ($80), which is relatively high. Notably, the transaction data in the blockchain shows a fee of 0.00005578 BTC. For comparison, a SegWit transaction of 40 000 BTC ($230 million at the time) in May 2019 was worth 0.0001 BTC or $0.57.

BitFinex’s transaction prompted @Rhythmtrader to praise the “true power of bitcoin” that no bank could match.

Only newbies are astonished by big transactions and their small amount of fees, anyone who has at least basic understanding of Bitcoin knows that there's absolutely no difference how many coins you move, so there's nothing spectacular about such transactions.

As for "power that no bank could match", banks don't charge any huge fees on people who move billions, and such large transactions do happen frequently - large companies get bought, countries do transactions between each other, billionaires make donations and so on.

gentlemand

legendary

Activity: 2590

Merit: 3014

Welt Am Draht

The most important aspect of it is Bitfinex, a company that left its hot wallet security solution wide open for a 'hack', is putting that much in one again.

Other than that I find these stories boring and pointless. We know how much it can cost, or how little. I can also imagine if you're moving that much in dollars you're going to get some rather preferential treatment.

xZork

hero member

Activity: 1249

Merit: 506

This is a huge transaction with fast time and unbelievably cheap fees, bitcoin is proving to everyone about its superiority over the old financial methods.
I am sure no bank can handle such a large transaction with such time and fees.

Astvile

sr. member

Activity: 1484

Merit: 276

Actually it is a big of a deal if we will look at it.
It would affect on how other people look at bitcoin, no banks can move that kind of money in hours not even by one day. Plus the low fee that you will pay comparing on how much you will do in bank transfers as some banks charge transfer fees this will surely convince other people that hey bitcoin is safe and convinient to use compared to banks.

Wintersoldier

sr. member

Activity: 966

Merit: 274

If that is the case and the transfer is proven to be for the hot wallet, there is nothing to be feared of because these bitcoins will still circulate and will remain utilized by the people. We could be somehow afraid if the transfer is a withdrawal which will definitely put the market to dump at certain heights, though, more people will view it as an opening to re-enter the market again, and to start gaining profit in bitcoin.

As for the moment, 1.1Billion dollar for a bitcoin transaction will not affect the market too much but will provide lots of opportunities for the users of the new exchange, as their liquidity pool will enable them to trade bitcoin allot better.

-Multivitamina-

jr. member

Activity: 34

Merit: 1

As it became known, the mysterious party that had transferred 124 946.6 BTC proved to be BitFinex. According to the exchange’s CTO Paolo Ardoino, the transaction was but a part of transferring 150 thousand BTC to the company’s hot wallet.

The change of address means that nobody can spend funds stored there until the transaction is fully confirmed. It took 40 minutes to get 6 confirmations in the blockchain. This created the network’s second-biggest address topped only by Huobi’s cold wallet storing 255 502 BTC.

Reports state that the transaction fee comprised 0.0096 BTC ($80), which is relatively high. Notably, the transaction data in the blockchain shows a fee of 0.00005578 BTC. For comparison, a SegWit transaction of 40 000 BTC ($230 million at the time) in May 2019 was worth 0.0001 BTC or $0.57.

BitFinex’s transaction prompted @Rhythmtrader to praise the “true power of bitcoin” that no bank could match.

The transaction in question is, of course, large and noteworthy. But, although everything may seem fine, there are alarming conclusions to make.

Why bother?

https://forklog.media/is-1-1-billion-transaction-in-bitcoin-that-big-of-a-deal/

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