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Bitcoin payment system: The low payment model hits the digital world!

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Bitcoin payment has been an easy pick in the digital transaction system, and yes, it’s popular! Normally, nowadays “Bitcoin” is accepted as a payment option and the investors or the coin owners are happy to precede it as a premium option. Bitcoin price analysis shows the popularity of the coin from time to time, and most of the people around the globe own a Bitcoin as it’s one of the best investor choices.

Well, during a Bitcoin transaction, a set of fees is charged. As a Bitcoin holder, it’s a sad moment to be charged with more amounts of the fee rather than the usual charges. Normally, the payment includes – transaction fee, service charges, or even more.  

Epixel Solutions, a U.S based blockchain Development Company, developed a payout model to rule out such extra charges while making normal Bitcoin transaction. In a so-called transaction system, only “mining fee” is imposed on the transaction, and no extra penny to spend. The additional fees are omitted, and what left is the mining fee! And it’s inevitable to discard from the payment charges.

Even the mining fee can be a bit on the expensive side, and it’s the technical part that keeps this value high. To understand this concept, you need to know how the fee is calculated. Let’s see the calculation part works,

Fee = (n_inputs * 148 + n_outputs * 34 + 10) * price_per_byte

And the fee is calculated with the following parameters – inputs, outputs, and the price per byte (as you can see it in the equation). As per the research, there is a way to keep this fee down as far as possible. The n_inputs refers to the number of inputs made for a single transaction and this value must be kept to “1”, and the fee will crush down to a little value. Say, for example, consider that you are sending 5BTC, and at first, you’re sending 1 BTC then, 2 and finally, completing it with 2 more. So, in total 3 transactions occurred and this 3 is nothing but, n_inputs which is equal to 3 (n_inputs=3).

And the n_outputs cannot be controlled except the receiving output element i.e. the BTC amount to receive. Usually, in a single transaction, 2 outputs will occur, with respect to the example of 5 BTC, let there be 7 BTC in your address. Actually, the whole 7 BTC is used in the transaction and 5 goes to the receiver’s address and the rest 2 BTC in the unspent address which is available with the sender’s wallet itself. So, only the 5 BTC part can be controlled, the unspent part cannot be.

And the price_per_byte can also be controlled once the n_input is low. Thus the transaction fee can be limited down and the extra fee or charges are added up with this fee. As the proposed system from the Epixel research team used only the transaction fee (mining fee) and hence no other charges are levied on the transaction.

To make the n_input to a low value, different BTC addresses are used for every single transaction. “n_input” depends on the past transaction BTC addresses also, if a single address is used for the different transaction, it not only makes the satoshis/byte less, and it also keeps the wallet secure. Hence, the chances of hacking threat can be minimized. Well, the n_output value is also directly proportional just like the n_input value.

Call it as a new payout system based on Bitcoin cryptocurrency to enhance the existing transaction structure.

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