Let's talk UTXO management.
Where things are likely heading with #Bitcoin going well past 1 million per coin.
What do you think minimum #satoshis per utxo should be?
All opinions welcomed!
#asknostr #plebchain
Discussion
I feel most comfortable with 8 or 9 figure UTXOs.
I agree with 8 figures. I feel like bare miminum would be 1 million, but I dont practice that lol
I consolidated up all my 100k UTXOs to 1 million minimum. Although considering how valuable sats will be, I'm not quite sure I follow the logic behind the crowd that foresees a high fee future.
I see the contrary.
I’m not sure either, but I think it’s wise to keep utxo addresses above 1 mill as a practice to avoid dust addresses. It’s just good management
Tell me more about dust addresses, I just wonder whether we underestimate how much 100k sats would be valued at as well.
It’s not that 100k sats won’t be valuable, it’s the idea that fees may be alot higher so you’ll incur those on moving your 100K sats. It’s all a balance really. If you feel 100K is fine then make that your minimum. Personally I manage my addresses differently.
You just don’t want tiny amounts stuck due to rising fees if that happens. Also managing addresses is just a good way to know what you’ve got where
For Bitcoin to get that high, the assumption is that adoption will be far higher than it is now, and with that, more demand for block-space.
However, most folks who buy Bitcoin already aren't transacting much on chain. They usually keep their coins with custodians. I think that trend will, unfortunately, continue and grow. Fees will be higher in dollar terms, but fee rates in sats/vbyte will always have high and low demand periods where we will still see single digit fee rates at times.
I feel better with 1 milli or greater but sometimes I’ll do 100k or 500k as it may be used for smaller larger purchases like a lawnmower or something
1M
If possible, 1M sats is a good minimum number, but it's fine to do less if you want to.
1M
Free and open source software is my larger concern. Those who know me IRL understand why. Hugs 🫂
As big as you are able to afford while balancing you privacy/security priorities
I hear all the time of this privacy talk, but what really are they talking about. Is this pertaining to purchases etc? Like what are some real world examples and why would it matter for some and not for others?
kk, will take a look.
Quick summary: onchain it’s usually fairly easy to see which KYC exchange your sats came from and only gets easier to identify you if you combine say sats from Coinbase at XYZ time with from Kraken at ABC time. Then you become trivial to track, know how much coin you have, etc. Up to you to decide what that means for you. If you’re law abiding, pay taxes, and live in a stable country it probably means nothing. In Mandibles the government or a robber could show up at your door and point a gun at you and demand your sats knowing exactly how much you have and at least high level probably vaguely how it’s stored.
When you say it like that - makes ton of sense like that. I thought people were more concerned that their transaction were accessible to the public. I like staying paranoid so ya this is important..
Maybe an example of what they could mean is the unspent change output when making a transaction. Extreme example: if you’re an OG with 100 BTC and it’s all in one UTXO, you buy some swag online and give them your home physical address for shipping, they now see you have $10M and could show up to your door with a gun. There’s many ways this can go sideways. Just one example.
Most of my wallets have just one utxo. I won't mention how many this are minimum. But it's more that 100k per utxo.