#CryptoFees101 Let's review the main types of fees you will encounter in the world of cryptocurrencies.

*Types of Cryptocurrency Fees*

- *Network Fees*: Also known as gas fees or transaction fees, paid to the network (miners or validators) for processing transactions. Examples include:

- *Ethereum (ETH)*: From $5 to $50 or more (varies greatly depending on network congestion)

- *Bitcoin (BTC)*: From $1 to $20 (rises during peak demand)

- *Solana (SOL)*: Less than $0.01 (very cheap and fast)

- *Polygon (MATIC)*: About $0.001 (suitable for low-cost decentralized finance projects)

- *Trading Fees*: Charged by centralized trading platforms (like Binance, Coinbase, or Kraken) for trading, withdrawal, or other services. Examples include:

- *Trading Fees*: Typically 0.1%-0.5% per transaction

- *Spread Fees*: Hidden fees where the platform raises the price

- *Withdrawal Fees*: Charged when transferring cryptocurrencies from the exchange

- *Protocol Fees*: Charged by decentralized applications (dApps) such as Uniswap, Aave, and Curve for services like:

- *Swap Fees*: Typically 0.3% per transaction

- *Borrowing/Lending Fees*: Varies depending on the protocol and demand

- *Gas Fees*: Still required to interact with smart contracts

To reduce fees, consider the following strategies ¹ ²:

- *Use Layer 2 solutions*