Earlier today, I read a post by @rycharde highlighting the potential issue to be faced when receiving micro-payments through Noise.cash. I was alarmed by it since I'm actively participating in Noise. After going through the posts and the links attached to it, I realized that it's a valid issue.
In fact, I encountered this issue when using Atomic wallet as the recipient address of my BCH earnings from Noise. After accumulating about 1$ worth of BCH, I tried to withdraw from Atomic wallet to an exchange. To my surprised the fee is about $0.50; the Tx fee is 50% of the amount that I'm sending?
This issue specifically applies to BCH holders who are receiving tokens through several transactions with tiny amounts.
Who are these BCH holders? The ones who are actively earning cents through Noise.cash, a microblogging platform that earns you BCH tokens. Normally the number of tokens I receive for my activities is around $0.001 to 0.05 worth of BCH tokens. It's really amazing to learn that these micro-payments are made possible and they are coming at a relatively acceptable speed... comparing to BTC & ETH; BCH is truly the crypto for the masses.
However, there is a potential "major" issue for these micro-payments that are made through the BCH network. I found this article authored by noise.cash, here's an excerpt:
Basically, the multiple transactions with tiny amounts made by Noise.cash will potentially subject you to a relatively high fee.
That may not sound good however there's a workaround that process and it could be the best solution in this case.
It's Nexo!
I put this to a test.
Let's see how much I spent sending $1.40 worth of BCH from Nexo to Probit. Here are series of screenshots of the whole process.
Here's a note within the withdrawal dialogue in Nexo. Really? 0 fee?
Status... "pending"
It took 5 minutes to activate the process in Probit exchange.
The 6 confirmations took about 2 hours to process. IMO, the procedure is quite fast in comparison to BTC & ETH using the minimum settings.
The amazing thing about it is that I received the same 0.002 BCH without any network fee!
Now, if you think that it's the best deal that you can get... let me tell you that while your BCH is safely stored in Nexo, it's also earning 5% interest while it stays liquid!
That's why I'm more than convinced that this solution is perfectly suited for Noise users who are earning BCH tokens through micro-payments.
Cheers!
Excellent post ... i have earned $80 usd of BitcoinCash so far on Noise.Cash. I intend to hodl it forever to give to my kids some day ... I think Rycharde is doing some experiments on which crypto to exchange your BCH ... so far TRX is the best. We will see what else he discovers. I stake my TRX on Klever and earn 8%
That was an experiment trying to exchange tokens within a multi-wallet - Exodus in my case.
Huge differences in fees - and yes, of those I tried TRX was cheapest, yet still too small amount of tokens to actually process, but means I can scrape up those tokens at a later date.
TRX on Klever? I haven't heard about it, I will go check it out.
Right now, my TRX is stored in Nexo also, earning me a 5% APR. But of course, I prefer 8% hahaha
Thanks for this suggestion.
That's great! Yes, others have suggested Nexo.
Did you go through their Proof of Funds process? lol
I didn't :D
I'm already happy with the Base level ;)
I notice it's UK based and uses GBP - that might be a big plus for me, as Coinbase is useless - they all seem to hate expats, even tho my actual bank doesn't care. oh the deep irony!
erm... their earning rate of 12% is higher than their loan rate of 6%! huh?!
so.... borrow and stake??
didn't look deeper, so could be one of those annoying "up to" rates.
Hahaha, true.
In order to earn that extra %... there's a catch ;)
5% is good enough for me.
You found the loophole... surprisingly, many that I talked to say that they haven't used the Borrow feature.
If you do the maths, the system IS circular. You borrow your own bonded money. lmao. But the real beauty is that you need to buy 10% of NEXO coins!! That's the whole aim ;-)
Yes, looks like a complex coin-pump mechanism.
Interesting.
It does have a safety-valve in that NEXO payouts are dividends, so can ... be used to further pump the coin before the smart-money leaves!
Steem and its forks are much better platforms for microtransactions. The issue of inflation makes BCH (and BTC) a good option for saving once you have accumulated a certain amount, you can keep SBD and then convert those to say BCH once you have say a full dollar.
I know that doesn't help you on Noise but it might help you decide where to do your blogging. :)