Why a 0.5 ADA Fee Needs 0.75 ADA:...

Why a 0.5 ADA Fee Needs 0.75 ADA: collateral_percent

Lido Minute by 2 Lovelaces & Lido Nation
S1 · E33
Feb 23, 2026
06:52

Episode notes

Ever notice your wallet asking for more ADA than the actual transaction fee? You’re not actually being charged extra.... so what is it? In this episode, let's check out collateral_percent, the parameter that requires temporary ADA “insurance” for smart contract transactions. It’s not a penalty. It’s protection, and it helps keep Cardano secure and spam-resistant.

Keywords

Cardano
Blockchain
Blockchain Parameters
ada
UTXO