Why can 100 tiny Bitcoin deposits cost more to spend than one large deposit?

Bitcoin fees depend heavily on transaction data size. Spending many separate UTXOs adds inputs, potentially making a future withdrawal more expensive even when the value transferred is modest.

The answer

Bitcoin fees depend heavily on transaction data size. Spending many separate UTXOs adds inputs, potentially making a future withdrawal more expensive even when the value transferred is modest.

What to do next

Review your UTXO count and current sat/vB fees. If appropriate, consolidate selected outputs when fees are lower, while accounting for the privacy cost of merging origins.

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Related crypto questions

Frequently asked questions

Does the amount of bitcoin sent directly determine the fee?

Not usually. Input/output count and transaction weight are more important than the coin value.

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