Addressing Blockchain Congestion (2024)

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Published on: Jan 12, 2024

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In Brief

With crypto markets warming up and Bitcoin drawing a lot more attention, congestion on the network is causing issues for some users.

Addressing Blockchain Congestion (1)

Bitcoin dust issues & network congestion. Here’s what you need to know:

The rise in congestion, led by inscriptions and other network activity, has resulted in what are called ‘Dust’ errors. In short, these Dust errors are affecting some users’ ability to send funds.

Given Bitcoin’s decentralized nature, Trust Wallet does not have direct control over these issues. However, we want to address this matter more thoroughly to:

  1. Clarify why some users are experience issues in the app.

  2. Things you can do to potentially avoid Dust errors.

Understanding 'Dust' Errors:

'Dust' refers to small, unspent amounts of cryptocurrency in a wallet and impacts all UTXO chains like Bitcoin. When sending funds, these small amounts can result in 'Dust' errors, preventing the transaction from proceeding. Trust Wallet 2.0 did not introduce this issue, but rather, it is a common challenge inherent to blockchain transactions.

Bitcoin Congestion and Transaction Fees:

Bitcoin congestion occurs when the network experiences high demand, leading to delays and increased transaction fees. During periods of congestion, fees can spike, sometimes exceeding the transaction value. Trust Wallet does not control these fees, as they are determined by the broader network.

With an increased congestion on the BTC chain from inscriptions and user adoption, the UTXO issues get exaggerated, especially in instances when users are sending amounts which are less than the required fee to operate on the chain.

What Can I Do to Avoid Dust Errors

  1. Avoid sending very small transactions with a high fee. Since the network will attempt to create a UTXO (UTXO is dust) from a small transaction, the transaction will fail.

  2. Send what is possible using Max Amount, with default fee setting. This will leave the small UTXOs, but send out the non-dust ones.

  3. If nothing more can be sent with default fee setting (only dust UTXOs exist), try sending with lowered fee. You canadjust the feefrom the transaction confirmation screen.Warning:with a low fee a transaction will take longer, sometimes even multiple days!

We understand the frustration this may cause and assure you that we are actively exploring solutions to enhance user experience during congested periods. Your understanding and patience are highly appreciated as we work towards providing the best possible service.

You can learn more here: https://community.trustwallet.com/t/unable-to-send-due-to-dust-error/1188

Thank you for your continued trust in Trust Wallet.

Best regards,The Trust Wallet Team

Addressing Blockchain Congestion (2)

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Note: Any cited numbers, figures, or illustrations are reported at the time of writing, and are subject to change.

Addressing Blockchain Congestion (2024)

FAQs

Addressing Blockchain Congestion? ›

One notable strategy for addressing congestion on blockchain networks is sharding, which is exemplified by its implementation on the Ethereum blockchain. By partitioning the blockchain into smaller sections, distinct shards are generated, each of which is capable of independently processing transactions.

What is a network congestion fee? ›

Network Congestion: When there is high demand for transactions on the blockchain, the network becomes congested. This leads to higher fees as users compete to have their transactions processed more quickly. Transaction Size: The size of the transaction, measured in bytes, is a major determinant of the fee.

Is there a way to fix network congestion? ›

To improve your company's bandwidth, consider the following options:
  1. Update routers to the latest settings;
  2. Change router locations;
  3. Use broadband accelerators to boost signal speeds;
  4. Purchase routers with additional bandwidth lanes;
  5. Use wireless repeaters to boost reception;
  6. Use VPNs to optimize traffic flow.

What is blockchain congestion? ›

Congestion of the blockchain network occurs when the volume of transactions exceeds the capacity of the network, leading to delays in transaction processing. Congested blockchain networks occur when the volume of pending transactions exceeds the capacity of the network.

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