How to Pay Zero Transfer/Gas Fees with this Simple Trick?
If you have at least once transferred crypto between two exchanges, you might have noticed the withdrawal fees and high network fees associated with some coins. Withdrawal fees are the amount charged by the exchange to withdraw the currency, and network fees are the fees paid to miners to validate and add your transaction to the blockchain. And since exchanges also have to run their business, and miners need to be paid for their work, the fees are also unavoidable.
Really? Let’s find out.
There does exist a cheaper, faster alternative. There was one coin that was founded with the sole purpose of avoiding the high fees associated with cross-border transactions. Stellar Lumens or XLM, Stellar is the network and Lumens is the token.
Don’t want to transfer XLM, Transfer BTC, or ETH, what then?
Key, XLM intermediary, and use its network.
For example, transferring Ethereum from Binance to Coinbase.
Also supported by all networks.
But why XLM?
Near Zero transfer fees
Extremely fast transfers - a matter of seconds
Ease of access
Founded in 2014
Widely popular
Supported across many exchanges
Stable
Explain with charts
Short fluctuations during long periods. But ok in the transfer window, no surprises
https://www.coinbase.com/price/stellar
How is it done?
Easy and involves 6 steps
Do watch it till the end, I’ll be explaining some key points that you shouldn’t forget.
Normal Way- Show the fees and the minimal amount and the money credited to the account for 0.01 ETH, Around 35$
Now let’s do it, the better way.
Convert ETH to XLM in Binance - Trade, Convert, ETH to XLM.
Initiate a transfer of XLM from Binance to Coinbase
Get the address & Memo from Coinbase
MEMO - an additional address feature necessary for identifying a transaction recipient beyond a wallet address
A wallet address is kind of the building you live in, memo is the apartment number.
Sometimes optional, but yeah, if provided enter the memo.
Provide address in Binance
Show the fees
Receive XLM in Coinbase
Convert XLM to ETH
Buy/Sell, Go to the convert tab.
Show a Comparison between how much money ends up in coin base the normal way and the cheaper faster way.
Things to keep in mind
As good as it looks, we need to keep some things in mind.
Expect slippages, the Difference between prices you buy and sell,
XLM stable, slippage less than network fees.
Living in the U.S., the tax perspective of converting from one crypto to another.
And finally don’t forget the memo. Sometimes don’t need it, But if it’s there just put it.
XLM is not the only token available, algo Tron, nano. Use because of the benefits I said above.
Don’t just use it as a medium of transfer, hodl a bit, great project focused on global financial literacy and inclusion. Support in a way you can.
If you find this to be too much effort, you can also do it the easier way by watching this here.
Disclaimer: The Content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. It is important to do your own analysis before making any investment.
