#CryptoFees101 When you send or trade cryptocurrency, you’ll often pay a transaction fee — but what are these fees, and why do they exist?

🔹 What Are Crypto Fees?

Crypto fees are charges paid to miners or validators who process and confirm transactions on a blockchain.

🔹 Why Are Fees Required?

Fees help prevent spam, prioritize transactions, and compensate those securing the network.

🔹 Types of Fees:

1. Gas Fees (Ethereum & similar networks): Paid in ETH, gas fees vary based on network congestion and computation.

2. Trading Fees (Exchanges): Centralized exchanges like Binance or Coinbase charge a percentage per trade.

3. Withdrawal Fees: Fixed or variable fees when moving crypto off an exchange to a wallet.

4. Network Fees (Bitcoin): Paid in BTC to miners for including your transaction in a block.

🔹 Tips to Reduce Fees:

Use Layer 2 solutions (like Arbitrum, Optimism)

Trade during low network activity

Choose exchanges with low fee structures

For Ethereum, use EIP-1559 wallets that optimize gas settings

💡 Pro Tip: Always check the estimated fee before confirming a transaction — and remember, cheaper isn't always faster.