Maybe don't opt in to the Phoenix update. Fees are ridiculous. Why use lightning if you can get better fees on chain?
Discussion
what happened🤔
thought fees were reduced
Oh shit
Agreed. I stopped zapping from Phoenix. 4 sats to send 69 sats. That's like a 5.8% fee.
Same with wallet of satoshi (8000sat withdraw fee)
And I paid a 2480 sat miner fee to receive a lightning payment from my wallet of satoshi.
yeah noticed a few weeks back with WoS… any thoughts as to why?
Yes, we did a warning about this a week or two ago. We immediately jumped ship to Zeus and increased our routing fees in our channel to ACINQ.
I noticed it. They take 4 sats on my zaps.
I need to go back and read more about how splicing works.
i dont know why people still using phoenix.
either create your own node and open 2 channels for daily payments or use wallet of satoshi.
Phoenix has been disappointing lately, in addition to the high fees the set up is uncomfortable to navigate
this was 0.3% fee right ?
managing your channels will always cost more in the first transaction …
No, that is just a regular lightning send.
Lightning works by leveraging payment channels with a UTXO locked up between two peers. Since this UTXO is the result of a transaction on the main blockchain, there is a cost associated with opening/closing channels.
If you do a splice in/splice out for when your payment exceeds your channels fixed capacity, or when you want to send more than you have on Lightning, you need to do another on chain transaction to update the channel.
Additionally, moving 1 or 2 million sats in one transaction through the lightning network is typically the upper range of what can be routed. Since nodes then need to rebalance their channels, Lightning fees are a direct proportion of the amount of Bitcoin moved.
I really like the model Phoenix has, and I’ll look further into their fee model, but this seems very normal to me. Keep big amounts of Bitcoin in UTXOs on chain, and use lightning as a checking account.
This was a regular lightning transaction, nothing on chain about it.
Those fees are ridiculous.
To be fair, it’s 0.4%. Definitely high but not absurd. The business I work at has a 3.5% fee on every transaction plus a flat rate, plus it’s fiat.
Does it tell you anywhere how many hops it had to go through to route it? Sending payments to a peer which is poorly connected to you can also at times result in higher fees.
they have a 0.5% fee to convert on-chain to lightning.
I buy BTC from binance and I can get lightning or onchain no fees , sending fee to my wallet is 100 satushi.