#CryptoFees101

🔍 What Are Crypto Fees?

Crypto fees are the transaction costs you pay when:

Sending crypto (like BTC, ETH)

Swapping tokens (DEXs like Uniswap)

Interacting with smart contracts (DeFi, NFTs, etc.)

🧾 Types of Crypto Fees

1. Network/Blockchain Fees (aka Gas Fees)

Paid to miners (Proof of Work) or validators (Proof of Stake)

Vary by network congestion

Example: On Ethereum, sending ETH or using DeFi apps costs gas fees

2. Exchange Fees

Charged by centralized (e.g., Coinbase, Binance) or decentralized exchanges (DEXs like Uniswap)

Can include:

Trading fees (e.g., 0.1% per trade)

Withdrawal fees

3. Wallet Fees

Some wallets (like Trust Wallet, MetaMask) may charge a service fee for swaps

💡 Tips to Minimize Fees

✅ Use Layer 2 solutions (e.g., Arbitrum, Optimism) for lower gas

✅ Schedule transactions during low congestion times

✅ Choose exchanges with lower fees

✅ Consider fee tokens (e.g., BNB on Binance for discounts)

🧮 Real-World Example

Say you're swapping tokens on Uniswap (Ethereum Mainnet):

You pay a gas fee (varies—can be $5 to $50+)

You also pay a 0.3% fee to liquidity providers

That’s two fees in one transaction.

🛡️ Watch Out For:

Hidden fees in swaps or bridges

Slippage – the price change during execution (especially on DEXs)