Tron Network withdrawal costs for all popular cryptocurrencies increased. Consequently, Binance, the world’s largest cryptocurrency exchange, is adjusting withdrawal fees.
Withdrawal Fees Increase on Binance
Binance’s decision to increase the withdrawal fee comes in response to Proposition 83, which sought approval from the Tron community to change the power charging models of smart contracts from static to dynamic.
However, following a advertisement On February 10, Binance will modify the withdrawal fees on the Tron network in light of Proposition 83, which the community passed last month.
Proposition 83 introduces a system to run dynamic power regulation on contracts provided on the Tron Network to balance power allocation between contracts. Depending on the resources used during execution, the power consumption of a contract will change dynamically.
Currently, some low-value or even malicious contracts account for around 85% of the CPU execution time on the Tron network. As a result, the dynamic power model increases transaction costs for fraudulent and low-value transactions without impacting other dApps.
Stablecoins like USDT, USDC, and TUSD have a 2.6 percent withdrawal fee, which has more than doubled. The withdrawal fee for the BUSD stablecoin has been adjusted from 0.8 BUSD to 2.2 BUSD.
Meanwhile, to withdraw TRX, users will need to pay 15 TRX, versus 1 TRX under the previous fee regime. Users who withdraw Tron tokens such as BTTC, JST, NFT, SUN, and WIN will pay withdrawal fees equal to 40 TRX.
The community has proposed the Dynamic Energy Model to Adjust Future Contract Energy Consumption in Light of Actual Contract Energy Consumption, or TIP-491.
This strategy will avoid over-concentration of grid resources on a few select contracts and will result in a more sensible distribution of energy resources along the chain.
The Binance wallet for the Tron Network was held for two hours, five days before this announcement was made.
Would this affect the activity and on-chain trading of the Tron Network?
The amount of exchange of crypto tokens on the Tron network could be affected by the increase in withdrawal costs. Prices could also be affected, no doubt.
Crypto Twitter is disappointed that Tron is moving away from its goal of removing fees and making things easier.
The price of TRX is trade to $0.06308, a drop of more than 3% in the last 24 hours.
