#CryptoFees101

Crypto fees are charges users pay when performing transactions or trades on a blockchain or exchange. These fees serve different purposes depending on the platform. On blockchains, like Bitcoin or Ethereum, fees (often called gas fees) are paid to miners or validators who process and secure transactions. Gas fees can fluctuate based on network congestion—higher demand means higher fees. On centralized exchanges (CEXs) like Binance or Coinbase, users pay trading fees (for buying/selling), withdrawal fees, and sometimes deposit fees. In DeFi (decentralized finance), smart contract interactions—like swapping tokens or adding liquidity—also involve gas fees. Fee structures vary: some are fixed, while others depend on trade volume, token type, or platform tier. Understanding fees is crucial for managing costs and maximizing profit, especially for active traders or those operating on high-fee blockchains. Choosing low-fee platforms or transacting during off-peak times can help reduce costs significantly.