#CryptoFees101 โ Understanding Crypto Transaction Fees
When you trade or move cryptocurrencies, you usually pay fees โ but what are they for?
๐น Network Fees (Gas Fees): Paid to miners or validators to confirm your transaction on the blockchain. Fees vary based on network congestion and blockchain type (Ethereum, Bitcoin, etc.).
๐น Trading Fees: Charged by exchanges (CEX or DEX) when you buy, sell, or swap crypto. Usually a small percentage of your trade value.
๐น Withdrawal Fees: When moving crypto off an exchange to a wallet, exchanges may charge a fixed fee.
๐น Slippage: Not a fee per se, but the difference between expected price and executed price during trading, especially on DEXs with lower liquidity.
๐ก Pro Tip: Check fees before trading! Using layer-2 solutions or off-peak times can save you big on gas fees.