So my service is skimming a tiny 0,001% (1/1,000) fee off every payment that gets through it. Most of the transactions are actually micro-payments so there are thousands of tiny unspent outputs accumulating in the service's wallet. I'm worried now that I will not be able to spent these outputs without having to pay a load of transaction fees and wait for eternity for this payment to clear.
The average btc value of my unspent outputs that come out of the commissions is 100 satoshis (0,000001 btc). That means that if I want to cash out 100 btc, I need to spend on average 100,000,000 of these outputs.
According to: How to calculate transaction size before sending the transaction size is: in*148 + out*34 + 10 plus or minus 'in', which makes my withdrawal equal to: 100,000,000*148 + 2*34 + 10 + 100,000,000 = 14,900,000,078 bytes = 14,9 GB ?! (am I missing something here?)
The maximum block size is 1 MB so I will need to split this transaction in more than 14,900 transactions of 1,000 kB each ?!
A transaction fee of 0.0001 btc per kB is required, so I will need to spend 0,0001 * 1,000 = 0,1 btc for each of these 14,900 transactions which means I will need at least 1,490 btc (to send 100 btc), which is roughly 15 times the amount I'm trying to send!
All these 14,900 transactions will need to be included on different blocks (since they would exceed the maximum block size otherwise) and since one block is found every 10 minutes on average, I will need to wait 14,900 * 10 minutes = 149,000 minutes = 2,483 hours = 103 days = 3 months and a half ?!
Please tell me I got this all wrong. I've really freaked out.
Edit1: Thanks to Nate Eldredge for pointing out an error in the calculations.