While sending Bitcoin it is important to bear in mind the transaction fees and possible currency rate differences.
Let’s imagine you need to send 0.05 BTC to another wallet.
Sending BTC between Paxful wallets.
If you send this amount to a Paxful wallet, it means that you are making an internal Paxful transaction. There is no fee for the first five transactions every month. After this, a fee of - 1 USD or 1% of the amount sent, whichever is greater, is charged. So the amount deducted from your wallet will be exactly 0.05 BTC (0.05 BTC + 1 USD starting from 6th transaction per month). Currency rate differences will also stay the same. So if while sending 0.05 BTC it is equal to 100 USD, the recipient will see the same rate after receiving the transaction. This is due to the fact that transactions within Paxful are instant. So the effect of currency fluctuations is eliminated in such internal wallet transactions.
Sending BTC between Paxful and external wallets.
Sending funds to an external wallet will have a fixed Paxful transaction fee of 0.0005 BTC. So in our example, if you are sending 0.05 BTC to an external wallet, a total of 0.0505 BTC will be deducted from your wallet. The currency rate will also be different from the one the recipient will see in their wallet. Why?
- Paxful may use different rates from those used by the recipient's wallet service. So while 0.05 BTC in a Paxful wallet may be equal to 100 USD, in another wallet service it may be equal to 101 USD or 99 USD, for example.
- External transactions may take some time. During this timeframe, the Bitcoin value may change. This is out of control of any cryptocurrency service. So if in your Paxful wallet, 0.05 BTC appears as 105 USD, in the recipient's wallet it may appear to worth less or more, for example, 100 USD or 115 USD, due to a drop or increase in the value of Bitcoin. Remember that you are sending Bitcoin and not fiat amount. So the recipient will still receive 0.05 BTC in this case.
- Some other wallet services may have a deposit fee. In other words, from your 0.0505 BTC deducted from your Paxful wallet 0.05 BTC will be sent to the recipient. However, only 0.0495 BTC will be credited to the recipient's account due to a deposit fee of 0.0005 BTC. Paxful does not charge any deposit fee.