Why does the App say “Insufficient balance” when I send ERC20 tokens?

If you’re trying to send ERC20 tokens and app is displaying a message saying "Insufficient balance," it’s important to understand how transaction fees work on the Ethereum network and other blockchain

Understanding Transaction Fees

ERC20 tokens, such as USDT, are built on the Ethereum blockchain. When you send an ERC20 token, the transaction is actually processed as an Ethereum transaction. To complete this transaction, you need to pay a fee in ETH, which is referred to as "gas." Gas is required to cover the computational work that the Ethereum network needs to do to process your transaction.

Why You See "Insufficient Balance"

The "Insufficient balance" message typically means that, although you have enough of the ERC20 token you want to send (e.g., USDT), you don’t have enough ETH in your wallet to cover the gas fees required for the transaction. Without enough ETH to pay for the gas, the transaction cannot be processed. In conclusion, to successfully send your ERC20 tokens, ensure that you have enough ETH in your wallet to cover the gas fees.