Stellar transaction fees

Like Bitcoin, Ethereum, and Bitcoin Cash, Stellar transactions involve fees. What’s different is how Stellar fees are determined, and how they are used. For each operation in a Stellar transaction, there is a base fee, which is a standard set by the network. The fee acts as a deterrent, ensuring that malicious actors cannot spam the network in a denial of service (DoS) attack.

The base fee per operation is currently set to .00001 XLM. The more operations your transaction includes, the higher your fee will be. For example, if all you’re doing is sending XLM from one address to another, your fee will be .00001 XLM. However, if your transaction was more complex, like an exchange between currencies, then a higher fee would be required.

Since Stellar does not rely on mining to add transactions to the global ledger, transaction fees are pooled and then redistributed in the form of inflation. In Stellar’s protocol, new lumens (XLM) are added to the network at a rate of 1% each year via a built-in, fixed inflation mechanism. The inflation funds are sent to an address chosen by the network to receive it each week. You can learn more about inflation here.

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