@dannydiekroeger post on X

The post discusses a clever tactic employed by #MagicEden in their transactions with #Coinbase. Instead of using their own address to receive tiny outputs for marketplace fees, they use their Coinbase account address. As a result, Coinbase is left with the responsibility of paying the fees to consolidate these small outputs, leading to significant losses due to inefficient handling. The post suggests simple fixes for Coinbase, such as excluding small outputs from normal withdrawal selections and implementing a separate process for consolidating small outputs. It highlights a transaction as an example, demonstrating how the issue of bad fee estimation is compounded by poor coin selection, ultimately costing Coinbase substantially more in fees. The post urges Coinbase to address these issues promptly to avoid further financial losses.