Nostr Web Client

Replying to

Lyn Alden

Fedwire processed over $1 quadrillion in gross settlement volumes in 2022.

There were approximately 196 million transactions, averaging $5.41 million each.

This is an average of 6.2 transactions per second.

https://void.cat/d/EcVWHmzP1kinp8XdAEv25b.webp

Marks 2y ago

Any way to estimate the cost per transaction? With overhead of the institutions involved, I’m gonna guess the fees are much higher than on-chain Bitcoin transactions. And way higher than Lightning.

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Discussion

Lyn Alden 2y ago

Less than a buck each, last I checked. But it is centralized and the Fed doesn’t need to be profitable from this activity.

Marks 2y ago

Marginal cost of transactions is small, but like you said, government institutions are okay subsidizing the real cost

David 2y ago

Interesting. This is what I wanted to ask. Seeing this answer makes me wonder: does fedwire have a fee market or it is first-come-first-served?