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9 votes
Accepted

How can I cheaply consolidate P2PKH outputs?

There really is no better answer than "wait for fees to come down". That might not be the most satisfying answer, but fees were below 2 sat/vB only a month ago, and the vast majority of ...
Vojtěch Strnad's user avatar
8 votes

Do UTXO's ever get consolidated to avoid complexitity?

When you pay someone using a number of utxo's to fund your payment, the output being created is a new single utxo with the total amount of all those input (minus change and fees). Effectively, you ...
arubi's user avatar
  • 1,864
7 votes

I messed up? Am I saddled with a $2000 tx fee?

There's no feerate that you must use other than greater than the minimum of 1 sat/vbyte. You can choose to pay a lower feerate if you are willing to wait a bit. However, the feerates that you show are ...
Ava Chow's user avatar
  • 71.1k
6 votes
Accepted

How to cheaply melt many micro UTXOs?

There's no free lunch. You can spend all the UTXOs in one transaction to spread the output bytes across many inputs, but each input still needs a certain number of bytes. To my knowledge, there isn'...
Nate Eldredge's user avatar
6 votes
Accepted

How much blockspace would it take to spend the complete UTXO set?

TL;DR: Spending the whole UTXO set would take the blockspace of about 11 500 blocks. What follows is some very rough napkin math that is almost certainly off by a few percent points. I've roughly ...
Murch's user avatar
  • 76.1k
6 votes
Accepted

There are a lot of 100 input transactions in some blocks, what's the reason?

On 2022-05-11, someone dumped within an hour about 100 blocks worth of transactions on top of the mempool. The transactions you point out are part of that dump. If you look closely, you'll notice that ...
Murch's user avatar
  • 76.1k
5 votes
Accepted

Do UTXO's ever get consolidated to avoid complexitity?

Yes, they do. You're right, generally, the size of UTXO Set has been growing over the years. E.g. in May 2014 it was 11 million, in May 2015 it was 19 million, May 2016 it was 38 million, in May 2017 ...
Murch's user avatar
  • 76.1k
4 votes
Accepted

How can I measure cost savings from consolidation transactions?

You could simulate a wallet that did not perform the consolidations but kept the original UTXOs and see what you would have spent on fees sending and receiving the same payments at the same feerates ...
Murch's user avatar
  • 76.1k
3 votes

I messed up? Am I saddled with a $2000 tx fee?

To add to the other answer: the size (and, thus, the cost) of your transaction depends on the number of inputs. Even though you might have sent the mining rewards to the same address, those ...
C-Otto's user avatar
  • 452
3 votes

How do exchanges like binance or kucoin store user assets?

It depends but in the long run it doesn't matter if it's HD or not. Yes exchange has all the keys. IF the exchange decides to move funds from their hot wallet to cold wallet, yes they will need the ...
m1xolyd1an's user avatar
  • 5,666
3 votes

Confused about UTXO management and consolidation

Here is a brief outline on how to do UTXO management: You should consolidate your UTXO on weekends for whenever bitcoin network is less congested. This way you consolidate UTXO with lower fee (around ...
dark knight's user avatar
  • 2,017
2 votes

How to cheaply melt many micro UTXOs?

Depending on your time-restraints, you either have to pay the market's current fee rate, or wait until the block space demand is low enough to include your transaction at a much lower fee rate. Nate ...
Murch's user avatar
  • 76.1k
2 votes

How can I combine all the tiny amounts I've received to minimise transaction fees, and do I need to?

It is not directly answer for what the question asked but I wanted to give a tip for reducing bitcoin sending fees. Electrum allows to send bitcoin by selecting the inputs separately. Edit: ...
podcast's user avatar
  • 21
2 votes

Confused about UTXO management and consolidation

UTXO management is not a singular goal. instead, it's a method for balancing multiple priorities, including privacy, short-term fee savings and long-term fee savings. Having lots of UTXOs is probably ...
Sachin Meier's user avatar
1 vote
Accepted

How would I go about consolidating my UTXOs from DCA?

The best way to create a consolidation transaction depends on the tooling available to you. If your wallet has coin control, you can manually assemble an input set and decide exactly which UTXOs to ...
Murch's user avatar
  • 76.1k
1 vote

How should Bitcoin exchanges complete their UTXO consolidations and what factors should they consider?

Overview Exchanges tend to have a much higher transaction volume than other entities, both inbound and outbound. Since payment batching greatly simplifies liquidity management and reduces the overhead ...
Murch's user avatar
  • 76.1k
1 vote

There are a lot of 100 input transactions in some blocks, what's the reason?

We can only speculate. Maybe it's an exchange consolidating a lot of small change in batches of 100.
RedGrittyBrick's user avatar
1 vote
Accepted

Confused about input and output spending limitations and consolidation

I spent some time researching the problem and learned that all money in an address must be spent at once. This is incorrect. The concept of an address does not even exist at the protocol level. A ...
Pieter Wuille's user avatar

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