Cryptocurrencies, work through the utilization of a digital ledger that is distributed across computers on a global scale, one we know and call the blockchain. However, if you ever wondered how long does it take for Bitcoin to transfer, today, we will be diving deeper into the world of Bitcoin and its blockchain to teach you everything that you need to know.
The main point of appeal for cryptocurrencies, at the time of their initial dominance and mainstream appeal, was due to the fact that they allowed, and to this day, allow anyone to transfer a digital currency from one part of the world to another, all without a central authority controlling it or taking a fee. Now you have people asking things like “what time do Bitcoin options expire?” and much more advanced problems for this simple network.
By default, if you were to transfer FIAT currencies, such as USD, AUD, or any other government-issued ID, you would have to do it through either a bank or any other kind of payment processor, all of which have their own fee associated with the transfer which can be high.
How Long Does It Take for Bitcoin to Be Sent From One Wallet Address to Another?
To get the elephant in the room out of the way, when you want to utilize the Bitcoin network as a means of transferring value from one wallet to another and want to send BTC to another user, you will need to conduct a transaction.
This transaction can take about 10 minutes to process on the Bitcoin blockchain network. However, keep in mind that the transaction times can widely vary based on a multitude of factors.
These factors include the network activity, the hashrate, and the transaction fees.
If the Bitcoin network, due to high activity, gets extremely congested, then there will be a backlog present full of transactions within what is known as the mempool. What this would result in is the fact that users would need to pay more in transaction fees as a means to get transactions to process quicker.
- Bitcoin Mempool Explained
Before we dive too deep, you need to be aware of what a Bitcoin Mempool actually is. You can think of this Mempool as a record of all of the Bitcoin transactions which have yet to be processed and validated by the miners and ones which have yet to be added to the next block within the blockchain. This is a pool, which gets temporarily stored on each individual node within the network, and as such, is called a mempool.
These transactions get periodically cleared every time a new block gets added to the blockchain, where pending transactions which are waiting in mempools can only be processed once they meet the minimum fee threshold for the transaction.
What this results in is the fact that transactions with low fees will have to wait a bit more than one block within the mempool until they get ultimately processed and confirmed.
- Confirmations Required for a Bitcoin Transaction
Once a new transaction ends up getting verified and included within a new block, it will end up counting as a single transaction.
So far, the average time frame has been around 10 minutes, after which another block will end up getting created with that transaction, which will count two confirmations. There are services, however, which will only end up requiring one confirmation, while some exchanges will require three or more BTC confirmations, so keep this in mind.
- Bitcoin Transaction Confirmation Length
When we look at bitcoin transactions, they can go through several confirmations on the blockchain before they get fully cleared.
This is due to the fact that there exists the risk of unconfirmed transactions getting reversed or for the cryptocurrency to be spent twice. Confirmations take place whenever a new block gets created as a result.
What this means is that if you are a cryptocurrency trader that wants to transfer a high number of cryptocurrencies to a company, these transactions would require up to six confirmations in order to pass fully.
Given the fact that each confirmation takes around 10 minutes, this specific transaction could result in around 60 minutes. Every single time you send a transaction, you are making a transfer, and you need to wait until the transfer gets fully confirmed by the miners in order to get executed.
- Checking Bitcoin Transaction Times and Transaction Verification
There are numerous tools out there that exist today which will give you an estimation as to exactly what the average time to complete a BTC transfer or transaction is, including Blockchain.com or even Statista.
If, on the other hand, you seek to see if your Bitcoin transaction has been verified by miners, you can utilize a blockchain explorer to do so. Typically, within these blockchain explorers, you would need to input the Bitcoin transaction hash, after which you will be fully able to see the status of your Bitcoin transaction and if it has been validated or not. Keep this in mind when you buy Bitcoin OTC.
Making Transactions on Bitcoin Quicker
Hopefully, now you know a bit more about the benefits and drawbacks of Bitcoin transactions and their time for completion. You can speed up your Bitcoin transaction by transferring crypto during off-peak periods as a means of avoiding the daily congestion that occurs throughout the peak periods.
Through the utilization of blockchain explorers, you can essentially figure out when the number of unconfirmed transactions is at its lowest and conduct the transfers then. Make sure that you always use a safe and secure cryptocurrency wallet, one that you have full control over, including the private keys.