Also covering Batching

Payment batching is the technique of including multiple payments in the same onchain transaction. This splits the cost of creating a transaction, spending inputs, and creating a change output across all the payments in the transaction, reducing the average cost per payment.

It’s realistically possible to save 75% on transaction fees by batching just a small number of payments and with no degradation in confirmation speed or other changes required. Even using exactly the same inputs you’d use without batching, it’s possible to save more than 20%.

Plot of savings from payment batching

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