How to save on transaction fees
1. Only buy each specific cryptocurrency on one exchange
The reason is simple, when moving cryptocurrencies you pay per transaction fees, not per volume, so it doesn’t matter how much you transfer. If you shop at multiple places because you end up transferring it to your wallet, you’ll pay the fee unnecessarily multiple times.
2. Send cryptocurrencies in larger chunks
3. Transfer at the weekend
The cost of transactions is based on network load, which is lowest on weekends. I find it most useful to send BTC on Saturday morning or Sunday afternoon.
4. Learn what fees a particular exchange has for moving
The differences are huge. While at Binance you pay about 500 CZK per bitcoin transaction, at Change invest you pay 130 CZK over the weekend.
5. Consider how long you need for the cryptocurrency to be credited
You can pay up to 400 Kč for an instant transaction in bitcoin, if you just need it to arrive the next day, you might only pay 60 Kč. Most wallets offer a variable rate option. The simple way it works is that whoever pays more for the transaction gets the transaction processed faster.
6. Convert to transfer crypto to Litecoin and back
The price of a transaction in Litecoin network is in the order of crowns the price of conversion in wallet also.
7. For smaller transactions, consider using a second layer
The second layer is, let’s say, another ledger that doesn’t work in classic blockchain, it’s not as secure, but transactions are made in it for penny fees. In bitcoin, for example, it’s the Lightning network.