Blurters Beware of Noise.Cash Fees

in cryptoblurt •  4 years ago 

Nice clickbait title :-) Potential real issue.

I'm not going to rewrite this excellent article, but just wish to summarise it for those Blurters who have only recently started using Noise.Cash. It's building up into a nice satellite community, but the issue of transaction fees may come to bite you in the rear at some point.

As you may have noticed, every tip on noise.cash is sent to your wallet as a small payment - this also generates transaction fees. One major selling point of BCH compared to BTC, and ETH, is that those fees are very small - normally.

But having so many microtransactions has created a problem. The way BCH works, each payment carries with it a history of where it comes from. Those small transactions are NOT automatically consolidated inside your wallet. Therefore, when you come to transfer your aggregated earnings, you are actually sending hundreds (or thousands) of microtransactions - and each one bears a fee. Ouch!!

Think of it as carrying around $100... in coins. What you really want to do is take that hoard to a bank and get a nice crisp (lightweight) bill.

I've scanned some of the comments and it really depends on which wallet you are using, or rather, whether your wallet is funding those fees in some other way.

One suggestion is to use the Celsius Network Wallet, as it currently appears to waives fees, but it is a UK company with strict KYC so you best first verify you are eleigible for an account from your country.

One other solution is to use an exchange account - this seems to work for Binance, where the tiny transactions accumulate and nothing beyond the usual trading fee appears if sold on market. You will need to check if this works with other exchangers. Also, ensure you are using the new "q address" and not the Legacy one. Binance also has a feature to turn any coin dust into BNB.

The Exodus wallet allows custom fees for BTC but not for other UTXO tokens, such as BCH, LTC and others.

Lastly, you could try consolidating your current earnings by just sending the accumulated tokens to yourself - most wallets will allow this. Not a huge advantage but, if you continue using the same wallet it will save you from future-shock.

So, apart from the specific issue here related to using the noise.cash platform, this is a known general issue with UTXO-based coins. It doesn't seem to matter what wallet you are using, those fees are baked into the protocol. Something for devs to think about when selecting a protocol for a social media blockchain that will inevitably have a huge number of small transactions.

One option is to use an internal token that can accumulate and can then be exchanged for BCH in larger chunks. That, however, raises issues of security and verifiability. The noise.cash team is aware of the issue without, it seems to me, offering any long-term solution - they are, after all, free coins from the platform.

If anybody knows of known solutions, then please share in a comment.

Now, doesn't that make you appreciate the Graphene protocol just a little bit more?


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I found about this issue the hard way, I was using Atomic wallet to accept my BCH rewards from Noise and tried to withdraw 1$ worth of BCH and it charged me $0.50 for the transaction... wtf!?!? That's the last time I used Atomic, hahaha

I moved the wallet recipient to Nexo, which boasts free transactions.

I tested and it works as per their claim.

  ·  4 years ago  ·  

Same here, I just blindly used Exodus, as it's also a good way to extract TRX without using tronlink ;-)
But fails for micro-BCH!
Some research coming up, and we should have a nice list of "good wallets" for noise.cash, so that some users may well not need to setup a new wallet.

  ·  4 years ago  ·  

I always tip 2 pennies... and get 1 penny sent to my wallet .....

I don’t see any fees on mine....

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I’ve made almost $80 USD since I joined a few weeks ago ....

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  ·  4 years ago  ·  

Like I said, try sending that whole total, and see what the fee generated is - then calc what it is as a %.

Incoming txns, you can see the fees on the blockchain explorer - just click on the link to the txn. I use Exodus but assume Atomic is similar.

  ·  4 years ago  ·  

No idea how to get $$$ of Atomic actually other than send to another wallet ? I would send to Coinbase then PayPal maybe ???? I selected exchange my BCH for Tether and it shows I would only get only $60 .... so yeah, very big fees to Convert to Tether.

  ·  4 years ago  ·  

Playing around with exchanging for different coins, the cheapest fees were... wait for it... TRX !!
Having said that, exchanging within wallets is sub-optimal; better prices and fees on actual exchanges. And that's when this fee issue manifests - sending BCH from your wallet to a different address in an exchange wallet.

Anyway, I'm going to experiment - looks like there may be a solution, although I dislike creating more and more wallets for specific tokens.

  ·  4 years ago  ·  

Yeah... well, actually, despite what all the people say I have earned the most Crypto from TRON, .... seriously. It’s a scam token blah blah blah...l earn so much TRX from staking and Steemit it’s ridiculous, and I convert to Bitcoin on Atomic and Klever. TRX is a well kept secret. If you want free crypto to convert to Bitcoin that is.

  ·  4 years ago  ·  

I agree, but just be aware of Jsun's MO - he creates "value" for himself by bloating coins at the expense of the price... and existing holders.

But his attack on ETH fees does need to be noted. And re Steem... ermm... sshhhh ;-)

  ·  4 years ago  ·  

Well, it's the same problem Bitcoin has and I'm grateful that you make us aware of it. And that's why I love the concept of Resource Credits with Hive - and I'm having a hard time to understand the bandwidth and energy concept of Tron, but I'm at it.

  ·  4 years ago  ·  

Yes, so we see a hierarchy of solutions. BCH solves the sending of $1, which is impossible with BTC, but BCH doesnt solve micropayments ;-)
something, as you say, already solved by Graphene chains.

  ·  4 years ago  ·  

Yesterday I was not sure whether BCH solved micropayments. Today I found new hope. You've probably already seen my comment at https://blurtworld.com/cryptoblurt/@rycharde/a-solution-to-the-noise-cash-high-fee-issue#@anli/qoq3af

Any concept on Tron is just about helping Justin

With that said, low fee usdt is nice.

  ·  4 years ago  ·  

Thanks for your reply @jacobgadikian. Good to "see" you.

Since I'm not into being con anyone, I'm pro community. I got to know the TRX community pre Steemsun through their involvement in Splinterlands and Telegram. And they manage to solve things at Telegram via TRX and smart contracts that I have not seen solved with anything else.

So I was never interested in Justin. Yet I am always open to ideas. Hope this helps.

  ·  4 years ago  ·  

Yes, I've been finding that. Many wallets don't seem to have implemented usdt-tron yet, but even TRX itself is proving to be a better "transfer coin" than others, I mean, USDT is an ETH token!
Swallow hard tho :-(

  ·  4 years ago  ·  

I posted a link back on noise.cash.
The only solution I can think of is to do fewer tips, each of higher value.
I don't know how much money other users have in their faucet - mine seems to hover around $0.75.

  ·  4 years ago  ·  

Wow... I didn’t notice any fees in my Atomic Wallet.

  ·  4 years ago  ·  

Have you tried doing a test transfer out, just to check the estimated fees before sending?

I tried it and fees came to about 20% - still way too small to bother processing but the effect is real.

  ·  4 years ago  ·  

Transfer out of my Atomic Wallet ? No... I’m just going to hodl forever .... maybe my kids can figure it out some day. Taxes will be too high to ever cash anything out.

  ·  4 years ago  ·  

Hahaha!! Greatly said. Well, you can do it. Let your kids solve their problems. ;-)

If you just HODL, everything's fine. But if you give out tips from your wallet, you might consider fees already in the now. Here's what I found, thanks to @rycharde! https://noise.cash/post/lm8n3v67

  ·  4 years ago  ·  

OK, some genuine solutions here: https://noise.cash/post/1jn4mk4n

clocking off for now

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