They say blockchain is one step forward in dealing with transactions and investments. Unlike cash payments that can show an instant reflection in the figures of your bank amounts and their related changes, bitcoin transactions are different. Their process and reflection are different for each transaction.
When you take your first step towards being a part of a bitcoin translation, you will come across many figures and ideas related to the same. One such thought is regarding the time needed to complete a bitcoin trade. You might have heard that the average confirmation time regarding the completion is 10 minutes when you are on the bitcoin network.
However, there is no hard and fast rule. The trading times can vary. There are many reasons behind it.
Period For A Bitcoin Trade
The usual time stands at 10 minutes. But, the period can be affected by many factors. Some of the common factors affecting the period of a transaction are as follows:
- The total network activity in the area
- The prevailing hash rate
- The included trade fees needed to complete the process
Also, it would help if you saw whether there is congestion on the Bitcoin network. If there is, there is a higher probability of a backlog of the transactions that are a part of the mempool.
When anything of such a nature happens, it will result that the users will begin paying more attention to the transaction fees so that they reach the completion stage at a good speed. The prominence of the same can be seen back to the bitcoin trends of April 2023. During that time, the transaction fees for the bitcoin trading process reached $59.
Now, if you are a beginner, you might not be well-versed with the concept of a mempool.
What does that mean?
Mempool works as a store that keeps a record of all the bitcoin transactions that the miner has not yet validated. If they don’t get validation, the transaction will be added to the next block belonging to the blockchain technology. Hence, the mempool works as a source of temporary storage on each trader’s node as a part of the network.
Here comes another doubt what happens to the transactions that become a part of the blockchain block?
Whenever you are trading through a reliable App, you will know that the trading request, which is a part of the mempool are subject to periodic cleaning from time to time. The clearance happens whenever there is a new transaction that makes an entry to the blockchain block. The pending transactions that wait for their decision in the mempool. They are subject to clearance only when the minim transaction fee threshold is met.
The trading request that have low fees tend to wait for long and in more than a single block until they are allowed to process and confirmed.
Process And Verification
Sometimes, the trade completion can take more time. It can be 24 hours or even more. Hence, it indicates that you can wait for long hours before the blockchain trading buys and sell is updated as completed.
There are many ways in which using a cryptocurrency like bitcoin can make you feel like you are driving on a freeway. If there is an increase in the BTC transactions, you can expect a greater degree of congestion; hence, all of it will slow everything down to a degree you cannot even expect.
So, what is the solution for such an instance?
Whenever you are paying a higher amount of fees, it works as the much-needed push that can help the trade to jump and reach on top of the queue. It will help you in cutting short the waiting time.
Transaction Confirmation Time
The translation attains the completion state after the transaction has undergone various confirmations. The idea is to cater to the risk tagged along the unconfirmed trade process. If there is any chance of absence of confirmation, there are changes that can be reversed. In other cases, the crypto can also be spent more than a single time. The confirmation will take place only when there is a creation of a new block.
Let’s take an example to understand it. When you are planning to transfer a huge amount of cryptocurrency to any company, says ABC Ltd., it can require about six confirmations. Such a transaction will require about 60 minutes to confirm and reach the completion status.
It would help if you remembered that whenever you send a transaction and the transfer(s) come into the picture, you will be waiting for a heads-up from the miners’ end.
Why Does The Transaction Take More Time
Whenever you are trading in any cryptocurrency, specifically bitcoin, there can be many experiences related to delaying the status update regarding the confirmation. Sometimes the period can complete within minutes, and in other cases, it can last for 24 hours or more.
The transaction takes more time because of the confirmation status. They can be grouped into basic categories like the following:
These refer to incomplete transactions that are in the processing stage. The unconfirmed transactions can be because of the following reasons:
- There is a high volume of traffic which results in slow speed.
- You are paying a low amount of fees. It is a common issue that arises amongst many traders waiting for the status confirmation.
- You might be using any old network or architecture for the trading process.
Failure Of Transactions Or Incompleteness
The incompleteness or failure of transactions happens because something has gone wrong. Some possible reasons behind this are as follows:
- The straightforward issue is that the internet fails to function at the desired speed or breaks down in the middle of the trade request.
- There is another common issue in that you end up entering the incorrect details.
- The trade request can get rejected if the fee is lower than a certain level.
- If there is an issue with the receiver’s wallet, it can harm the process.
So, if your transaction takes time, it does not mean it has gone down the drain. The trading can complete in 24-48 hours. Hence, you need not panic. But you should take the necessary steps while waiting for the confirmation notice.