BTC transaction fee calculationBitcoin is the leading cryptocurrency and its hard fork Bitcoin Cash is slowly gaining popularity as well. Bitcoin Cash was created because of a dispute over the block size limit of Bitcoin. Bitcoin Cash was developed to tackle the issue and increase bitcoin’s block size limit.
There are various websites that can give a median transaction fee for both of the aforementioned coins. These websites show data in the form of charts in a comparable format. Along with the current transactional fees, we can see the ones that were being charged before it as well.
What is a Transaction Fee?
If you have been a member of the crypto space for some amount of time, you would have definitely heard the word “transaction fees”.
A transaction fee is a cost paid by the crypto user to make the system process a transaction. The fee prices are not set in stone and each network and cryptocurrency has a different transaction fee.
Transaction fees are one of the first few thinks a crypto user should check in coin. It is wise to know the transaction fee of the coin you are choosing to transact or invest in.
How to find Median BTC and BCH transaction fee?
The current fee charts are updated with regular ten-minute intervals and previous price charts updated on a weekly basis. If we compare
Bitcoin and Bitcoin Cash’s transactional fees we notice that Bitcoin charges more than Bitcoin Cash. The current median transactional fee for Bitcoin is almost one dollar ($1.72) whereas Bitcoin Cash’s price is way less ($0.0011). This mean Bitcoin charges over fifteen thousand times higher transaction fee than bitcoin Cash.
This helps us understand the transactional fee difference. The answer to why they differ for each currency is because the transaction fee prices are decided by Orders of Magnitude.
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