Bitcoin showed just how inexpensive it can be as a tool for transferring value this morning. A 51,511 BTC transaction, worth almost $450 million, was sent for a fee of under 25 cents.
Half a Ten Millionth of a Percent
The transaction was included in block 613644, and a total amount of 51,511.81741968 was moved. At the time the block was mined, the bitcoin price was $8680.51, meaning $447.15 million of value was transferred.
The fees for the transaction were pegged at 0.0000268 BTC, or just 23.26 cents. This gives an astonishing fee rate of just 0.00000005%.
Bitcoin Fees Could Have Been Even Less
According to the Blockstream block explorer, the fee level could have been even lower.
This transaction saved 30% on fees by upgrading to SegWit and could save 16% more by fully upgrading to native SegWit-Bech32
Of course, with fees already this low, what’s an extra 16%? Western Union and PayPal must be choking on their biscuits.
It seems likely that the transaction was a self-transfer, and the bitcoin didn’t actually change hands. This…