#USChinaTradeTalks
#CryptoFees101
When using digital currencies like Bitcoin or Ethereum, you often encounter something known as "fees". These fees are not arbitrary; they play an important role in operating the network and incentivizing its participants. Here's a quick look at what you need to know:
✅ What are digital currency fees?
Digital currency fees are small amounts paid when sending or executing a transaction on the blockchain network. Fees vary by currency, network activity, and type of transaction.
🔍 Why are fees charged?
1. Compensate miners or validators who process transactions.
2. Prevent spam or attacks by reducing unnecessary transactions.
3. Improve execution speed – the higher the fee, the greater the priority of the transaction.
