Fees come in many shapes and sizes in the crypto space, and it’s important to understand just what it is you’re paying.
If you’re sending cryptocurrencies like Bitcoin, Ethereum, and Dogecoin to someone else’s wallet you’ll need to pay a fee to the miners, those that run expensive computers to validate transactions and keep the blockchain going.
Go deeper into the crypto space, and you’ll encounter a fee called ‘gas’ which you’ll pay anytime you interact with a smart contract. A smart contract is an automatic agreement that executes when certain conditions are met, and while it’s cheaper than your lawyer, it will still charge you for usage. Different blockchains will have different gas costs, with Ethereum always showing up on the more expensive side and Binance Smart Chain coming first in cost effectiveness.
Then you’ll have fees involved when you buy and sell your crypto into fiat currencies like the US Dollar or the Thai Baht. On top of that, some exchanges will charge a fee for withdrawing cryptocurrencies into your personal wallet.
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Crypto assets are highly volatile and largely unregulated. There is no guarantee that any crypto asset will have at any time in the future certain value (if any) or market liquidity.
Crypto assets are at risk of losing substantial (or all) value within a short time period.
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