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Transaction batching

Batching pays many recipients in one Bitcoin transaction, sharing fixed costs and saving block space. See how much it saves and who uses it.

Many payments, one transaction

Instead of making 20 separate transactions, a business can create one transaction with 20 outputs (plus change). The inputs, version and locktime are paid for once instead of 20 times.

One input paying five recipients plus changeinputs (spent)outputs (new UTXOs)1Transactionfee 0.0003 BTC0.10.10.10.10.10.4997amounts in BTC · fee = inputs − outputs
One input paying five recipients plus change

How much it saves

20 separate payments1 batched payment
Inputsat least 20as few as 1
Change outputsup to 201
Rough sizeabout 2,800 vBabout 900 vB

Rough figures for native SegWit; the real saving depends on the wallet's coins.

Who uses it

Exchanges processing withdrawals, mining pools paying miners, and payroll services. In MyBitcoinExplorer, explain_transaction labels transactions with five or more outputs as a likely batch payment.

Spot a batch on MyBitcoinExplorer

Open a recent block and look for transactions with one or a few inputs and many outputs: those are usually exchange withdrawals or pool payouts. The API and explain_transaction label them as likely batch payments.

Batching and fees for recipients

If a batch confirms slowly, every recipient waits. Recipients can still speed up their own payment with CPFP by spending their output.

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Key takeaways

  • Batching pays many recipients in one transaction.
  • It shares the fixed costs and saves a lot of block space.
  • Exchanges and pools batch payouts routinely.

Common questions

Does batching affect privacy?

Recipients in the same batch can see each other's outputs, and observers can tell it was a batch.

Can individuals batch payments?

Yes, many wallets let you add several recipients to one transaction.

How do I batch payments in my wallet?

Many wallets let you add several recipients to one send screen. Each becomes an output in a single transaction.

Does batching reduce fees per recipient?

Yes. Inputs and change are paid for once and shared across all recipients.