Tuesday, April 16, 2024
12.5 C
Los Angeles

Baffling Bitcoin Transaction: $2,100 Transfer Comes with a Record-Breaking $510,000 Fee

CryptoBaffling Bitcoin Transaction: $2,100 Transfer Comes with a Record-Breaking $510,000 Fee

A recent Bitcoin (BTC) transaction has garnered attention due to its extraordinary transaction fee. Here are the details:

  • The transaction involved a transfer of $2,100 in Bitcoin.
  • The user paid an exceptionally high transaction fee of $510,000, which is a record-breaking fee in Bitcoin’s history.
  • Chinese journalist Colin Wu reported this unusual transaction.
  • The user transferred approximately 1,982,108,632 satoshis to miners to process a transaction of 0.074 BTC.
  • The user paid a fee that was over 200,000 times the standard network fee at the time, with the average fee being around $2,176.
  • It remains unclear why the user paid such an extraordinarily high fee.

In Bitcoin, transaction fees can increase when the network experiences congestion to discourage users from overloading the network of nodes. While fees during periods of moderate congestion can rise to around $60, a sudden increase to over half a million dollars is highly unusual.

F2Pool, the Bitcoin mining group that received the fee, has temporarily frozen the funds. The miner who successfully processed the Bitcoin transaction block has three days to return the fee. If no one claims the assets, they will be distributed among all miners in the pool. The original payer of the fee must officially request a refund from F2Pool.

Notably, during the bear market, Bitcoin transaction fees tend to decrease. In 2020, a cryptocurrency company reported a transaction that charged only 0.00006520 BTC for a transfer of $165 million, with a fee of $1.20 at that time. Last year, Bitcoin’s transaction fees dropped to as low as $0.82 due to reduced market activity affecting BTC’s price and market capitalization.

By FCCT Editorial Team

Disclaimer: The views expressed in this article are independent views solely of the author(s) expressed in their private capacity.

Check out our other content

Ad


Check out other tags:

Most Popular Articles