How to avoid high bitcoin transaction fees

As of november 2017, bitcoin transaction fees grew to a staggering $8 – no matter what amount you’re sending. Send $2, you still pay $8 to do it. This just won’t work… so I’ve been trying to find a way around it, as I need to move BTC from my wallet (Exodus) to various exchanges to buy various other cryptocurrencies. I found this trick costs much less – assuming you have other cryptocurrencies in that wallet (= you should, even if smaller amounts). And your wallet should allow you to exchange cryptocurrencies. Or use Shapeshift.io

 

This is only worth doing if BTC fees stay very high compared to the amount you’re sending.

  1. pick whatever cryptocurrency has enough amount you need and low fees AND is accepted by the exchange where you want to spend it – like ETH (nowadays bit slower), LTC (faster)
  2. send it to the exchange (in my case, BTC fee was $8, ETH fee for the same amount was $0.07)
  3. then exchange the amount of BTC you just send in other coin into that coin (so I exchanged BTC into ETH) – Exodus I believe uses Shapeshift and the only fee was a miner fee of 0.001 ETH ($0.33)
  4. in the exchange where you send the alt coin (ETH) in my case – buy whatever you wanted originally with it or exchange it back to BTC / USD and buy with that
  5. there – you just saved yourself about $7.6 in fees 🙂

Another option is to use a wallet like Mycelium. There you can choose to pay a lower fee if you accept that your transaction will take longer. See how much longer here.

This site will tell you what fee is recommended – much lower than the usual default wallet fee.

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