Bitcoin fees may be cheaper depending on time zone

Diar, a cryptocurrency company focused on data resource analytics and digital assets, reported on Feb. 11 that Bitcoin fees are highly dependent on the time zone users live in.

Bitcoin fee depends on time zone

According to the latest edition of Diar, the startup studies analytical data for January 2019 to understand why Bitcoin fees vary at different times of the day. The analytics firm found that to make a Bitcoin transaction at around 1 p.m. UTC, a user would have to pay a significantly higher fee than other users would make the same transaction at night.

Also, users who make a transaction at 1pm UTC can complete the transaction a lot faster but they will also have to spend more.

As Diar’s chart shows, users who make Bitcoin transactions at night pay less than 15,000 satoshis. On the other hand, a user who makes and confirms his/her transaction at 1pm UTC will have to pay a much higher fee, close to 30,000 satoshis.

But since this happens in different time zones, the opposite is also true for people living in Australia. On the other hand, a transaction will be more expensive at night. In Japan, Bitcoin users will also have higher fees after 10pm.

Transaction fees are low

Diar also reports that Latin America, Africa, and Southeast Asia currently dominate half of the world’s remittance corridor, representing about $240 billion in annual cash flows.

Fees currently stand at an average of 9% according to the global analysis while in developed countries the average is a bit smaller at 6%. This means that there are regional variations, and smaller remittance corridors will have high costs. Lower fee transactions will typically take longer to be confirmed but overall, the average cost of a Bitcoin transaction is currently at its lowest level in four years.

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