Costs to send Cryptocurrency: Comparison of transaction costs between Bech32 and Bitcoin Legacy addresses
The cryptocurrencies have evolved significantly since their creation. Two of the most popular space platforms are Ethereum (ETH) and Bitcoin (BTC), both using different blockchain protocols to provide transactions. A key difference between these two networks consists of how they store, check and manage public keys. In this article, we will deepen the subject of the transaction costs between the Bitcoin Ethereum and Legacy addresses.
Bech32 Bitcoin hereditary addresses: What is the difference?
The Bech32 address is a type of address designed by Andreas Antonopoulos, which is specially optimized for data storage in the Ethereum network. Instead, a bitcoin address, whether it uses Segwit or Classic, follows the traditional Bitcoin protocol.
Ethereum Segwit: Future of transaction processing
Segwit is a modernized version of the Segwit (Segwit) protocol introduced by the Ethereum team. One of its main advantages is the ability to divide transactions into smaller parts, reducing general processing time and taxes associated with sending cryptocurrency.
Bitcoin Legacy addresses: Traditional paradigm
Bitcoin addresses of Bitcoin this leads to a higher tax structure than the Ethereum bech32 addresses, mainly due to several factors:
1
- Network congestion
: The high tape width of the Ethereum network means that transactions have a longer waiting period, which in turn reduces the number of blocks to be extracted for a certain address.
- The size restrictions of the block
: Legacy Bitcoin has a tough 1 MB cap on the block, limiting the amount of data that can be stored on the blockchain.
Comparison of transaction costs: Bech32 vs. Bitcoin Legacy addresses
When we compare the transaction costs between the Bitcoin Ethereum and Legacy addresses, we see:
* Lower fees : Bech32 transactions usually have a lower fee between 0.0001 and 10 ETH per transaction.
* Faster transaction processing : Bech32 addresses allow more transaction processing, as they allow more data storage and reduced block size.
Conclusion
In conclusion, the costs of sending cryptocurrency between the addresses bech32 and Legacy Bitcoin of Ethereum are determined by a combination of factors, including:
- Transaction fees : Taxes associated with each network.
- Network congestion : Total search for transactions in both networks.
- Block size restrictions : Hard covers placed on the size of the block in each protocol.
As Ethereum continues to develop and improve their protocols, the costs of sending cryptocurrencies will continue to decrease, which makes it more accessible to consumers worldwide.