Bitcoin is known for its large transactions at reduced fees.
One user just sent $165 million worth of Bitcoin with fees totaling approximately $1.20.
Bitcoin may be the simplest and most efficient way to send large sums of money.
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Most Bitcoin evangelists know that two of the main advantages of crypto-money are its ease of use and the fact that there are no restrictions on transfers.
On December 8, a user made a gigantic $165 million Bitcoin Aussie System transfer in a single transaction. The transaction fee was 0.00006520 BTC, or approximately $1.20.
Someone just transferred $165,000,000 in #bitcoin and paid a fee of 0.00006520BTC or about $1.20.
One dollar and twenty cents.
This is a transaction fee of 0.00000072%.
No third party is required to achieve this.
No one could stop it.
No one could relive it.
Most Bitcoin evangelists know that one of the main advantages of encryption is that it is easy to use and has no restrictions on transfer.
Earlier in the day, a user sent a gigantic $165 million Bitcoin transfer in a single transaction. The transaction fee was 0.00006520 BTC, or approximately $1.20.
Decentralization prevents the network from being directed and abused by a single party, but the ability to transfer large amounts of money quickly and cheaply is perhaps one of its most important use cases.
Bitcoin versus other value transfer platforms
Although Bitcoin is rapidly becoming a dominant global asset, there are other platforms that offer much more value. How do the pricing structures compare then?
At the retail level, if you want to send money to someone, you may be charged a flat fee or a proportional fee (or both) for sending money to another user.
For example, if you want to send money via PayPal, they will typically charge specified users a fee of 3.5% on the value transferred. If this rule had been applied to the Bitcoin transfer above, that user would have spent $5.7 million in fees.
On another platform, such as MoneyGram, a popular international retail money transfer platform, users are charged fees ranging from US$5 to US$20 depending on how quickly they wish to receive their money. If you choose the $5 fee, the transfer of your money can take 3-5 business days.
Although some people complain that Bitcoin transactions are not instantaneous like cash or credit cards, they can still be completed in minutes if the network is not busy.
No one knows who this mystery user is or to whom he is sending the money, but it is easy to move value across borders with Bitcoin.
One of the biggest drawbacks of physical assets is the lack of portability. If someone has $165 million and needs to move it to another country, doing so physically would probably be a considerable burden.
Going through border controls with $165 million in cash, precious metals or other durable assets would most likely result in you being reported and possibly confiscated.
Other assets, such as real estate, are obviously not transferable at all. If an emergency occurs and real estate must be liquidated, this cannot usually be done so quickly. If this were the case, then a substantial amount would likely be lost in the transaction.
Bitcoin is the antithesis of these assets, with the ability to carry billions of dollars of value in portfolios the size of a flash drive.