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Bitcoin User Shells Out $500,000 in Fees for $200 Transaction: Unraveling the Mystery

CryptoBitcoin User Shells Out $500,000 in Fees for $200 Transaction: Unraveling the Mystery

A Bitcoin user recently broke a record by paying an astonishing $500,000 in transaction fees to send just $200 worth of BTC over the weekend. This user, known for numerous Bitcoin transactions, is suspected to be an exchange or payment provider. They made this costly transaction on September 10th, significantly overpaying with fees, as typical Bitcoin fees range between $1 and $2.

The Bitcoin community speculated on the reason behind this exorbitant fee payment. Some suggested money laundering, but this theory seems implausible. Jameson Lopp, Casa’s CTO, and a prominent Bitcoin enthusiast, proposed a more plausible explanation. He suggested that the transaction likely originated from an automated payment system with buggy software, leading to incorrect calculations in change outputs. Remarkably, the sender might not have even noticed the mistake yet, as they continue to send transactions.

This high transaction fee went to the major Bitcoin mining pool, F2Pool, which mined the block containing the transaction. F2Pool’s co-founder, Chun Wang, mentioned that they would hold the 20 BTC fee for three days. If unclaimed, it will be distributed among the pool’s miners.

 

By FCCT Editorial Team

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

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