#CryptoFees101

**Crypto Fees 101: What You Need to Know**

Cryptocurrency transactions come with various fees that can impact your investments. Here’s a quick breakdown:

1. **Network Fees** – Paid to miners/validators for processing transactions on the blockchain. These fluctuate based on demand (e.g., Bitcoin fees average $1.54 but spike during congestion) .

2. **Exchange Fees** – Charged by platforms like Coinbase or Binance for trading. These often follow a "maker-taker" model, where makers (adding liquidity) pay lower fees (e.g., 0.1%–0.6%) than takers .

3. **Withdrawal/Deposit Fees** – Some exchanges charge for moving crypto to/from wallets, varying by asset and network .

4. **Gas Fees** – Ethereum’s term for computational costs, which rise during high traffic (e.g., DeFi activity) .

**Tips to Reduce Fees**:

- Trade during off-peak hours.

- Use Layer 2 solutions (e.g., Lightning Network).

- Batch transactions or opt for low-fee cryptos like Nano .

Understanding these fees helps optimize your crypto strategy! 🚀