When I send money to someone using the bitcoin network, I have to pay fees for converting my dollers to bitcoins in an exchange market, then I have to pay the miner fees then the Wallet fees to receiving my bitcoins and the Wallet fees to sending the bitcoins to the other person. Why do people say that using the bitcoin network in transfering money is less fees than banks?


I for sure cannot answer, why other people say, that transferring money with bitcoin has less fees. Your picture is correct, everywhere are fees.

For specific cases, fees might be lower than bank transfers. I usually send money to Africa. I was doing it with banks, with WE and Moneygram, and with bitcoins. With bitcoins the advantage is, that the fees are independant of the amount. So I can send the equivalent of 1 mio Euros in bitcoin to Africa, and pay just the transaction fee. Try this with the 7 or 8% fees of the best banks or money transfer agencies. You will never ever end up at 5 Euros tx fee. So in these cases, bitcoin is far cheaper than traditional, old-style money transfers.

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