Can someone explain under what circumstances burn fees are applied to transactions. I'm using the same account, sending XTZ to the same destination. This morning I got no burn fees while testing, and now i've gotten 2, 5 minutes apart. These are very expensive, adding up to 0.5 XTZ + network fees, just for sending 2 XTZ.

Here are two operations not incurring a burn fee:

1). https://carthage.tzkt.io/oorG5SheP8kWLi7m37su8czgoxVba6nxRvMV8KTSy3fBbZFE3SG

2). https://carthage.tzkt.io/onzwAYLKbzcj8g4dfMhiWLKpoUbtYSwmby6Hoj6KsaBLkr4zf7q

Followed by two incurring a burn fee of 0.257 each

1). https://carthage.tzkt.io/op9auyWNTHkg4TMwWVh4bobnShXFSQ2StvDx7cYxTTUunciCVa4

2). https://carthage.tzkt.io/ooEL1BVWCtXRiYmLfxeP9tjijmnmURBgR1Ao2G7gx3Uhs7rc6Jm

1 Answer 1

  • When you transfer out of an address which has never revealed its public key, you must pay a burn to do this reveal operation. This was added back in, IIRC, 004 to prevent new address creation spamming.
  • If you transfer the entire balance out of a tz1/2/3, then you must again pay the burn fee to "reactivate" the account. The blockchain does a type of "garbage collection" on accounts which have exactly 0.000000 balance to save space. Thus, you must reactivate this address.
  • You also pay a burn to create a KT1 contract
  • 1
    Wait, if someone empties their account and I transfer to them. I, the sender, am charged more??? Even if the account has been previously revealed?
    – Simon McLoughlin
    Commented Jul 30, 2020 at 20:34
  • Unfortunately, yes. If you, the sender, don't include the "reactivation" burn, the transfer op will fail. You can either A) pay it, B) request a new address from the receiver. In the B) case, the new address will likely be unrevealed, free to transfer in to, but the receiver will have to pay the reveal burn to get the funds out, or C) let receiver know of this caveat and ask them not to empty the account.
    – utdrmac
    Commented Jul 31, 2020 at 15:17
  • Ok, tonne of new UI considerations for our app. Thanks for the info
    – Simon McLoughlin
    Commented Jul 31, 2020 at 15:56

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