ETH fees

Following a Brief Fee Spike, Gas Prices to Move Ethereum Drop 76% in 12 Days

17/04/2022 by Idelto Editor

Transaction fees on the Ethereum network are dropping again after average fees saw a brief spike on April 5 jumping to $43 per transfer. 12 days later, average ether fees are close to dropping below $10 per transaction and median-sized fees have slid below $4 per transaction. Moreover, layer two (L2) transaction fees have also dropped in recent times as the lowest L2 rate today is $0.03 per transfer.

Average and Median Ethereum Fees Drop

From mid-March up until the first week of April, Ethereum’s average network fees rose from a low of $5.98 per transfer to $43.41 on April 5, 2022. That’s an increase of 625% but after April 5, the average ether gas fee started to drop once again to much lower levels. Today, April 17, 2022, Ethereum’s average network fee to simply send ETH onchain via layer one (L2), is 0.0034 ETH or $10.32 per transfer.

The average network fee is dynamic, not an exact science, and it always changes. It’s also not a hard mandate as the average fee simply represents the average amount of ether users are currently willing to pay to get their ethereum transactions confirmed. The median-sized ethereum transfer fee reflects the fact that network users are paying less than the average to get their ethereum transactions confirmed. On April 17, the median-sized ethereum gas fee is currently 0.0011 ETH or $3.47 per transaction.

Ethereum users paying median-sized network fees are paying 66.37% less than those willing to pay the average gas fee. Similar to the average fee 12 days ago, the median-sized ether fee spiked to $10.31 per transfer on April 5. Again, as mentioned above, the average and median fee is simply the cost to send ether as sending an ERC20 token or swapping a token and interacting with a smart contract will cost a lot more.

Ethereum L2 Fees Slide Lower, Bitcoin Fees 88-90% Lower

Statistics on Sunday indicate that layer two (L2) fees have dropped much lower in recent times as well. Currently, the L2 rollup solution Metis Network is the cheapest on Sunday and will cost $0.03 per transfer. Essentially that means transactions on the Metis Network are 99.70% cheaper than the average onchain transaction fee. In order to swap ERC20 tokens, it will cost $0.16 per transaction using Metis today.

Loopring is the second least expensive L2 rail to use this weekend as it costs $0.05 to send ethereum (ETH). The cost to swap tokens using Loopring is $0.76, at the time of writing. Zksync currently charges $0.05 per transaction as well to send ether and swapping coins will cost around $0.13 per transfer. L2 participants can also leverage Boba Network, Optimism, Polygon Hermez, Aribitrum, and the Aztec Network as well. The optimistic rollup solution Aribitrum One currently costs $0.45 to send ether per transaction and to swap coins it costs $0.62 per transaction.

While onchain fees on Ethereum are lower today, bitcoin (BTC) transfer fees are much lower onchain in comparison. At the time of writing, the cost to send BTC on average is 0.000000084 BTC per byte, which equates to 0.000028 BTC or $1.15 per transaction. The average-sized BTC fee is 88.85% lower than the average ETH fee. Median-sized fees on the Bitcoin network are only 0.0000082 BTC or $0.332 per transfer on Sunday, which is 90.43% cheaper than median-sized fees on Ethereum.

What do you think about the current cost to send ethereum? Let us know what you think about this subject in the comments section below.

Average Ethereum Gas Fee Jumps to $20 per Transfer, L2 Fees Follow Rise

03/04/2022 by Idelto Editor

While Ethereum network fees to transfer data dropped significantly in recent times, tapping a low of $5.98 per transaction in mid-March, gas fees are rising once again on the second-largest cryptocurrency network in terms of market valuation. On Sunday, April 3, the average transaction network fee is around 0.0056 ether or $19.58 per transfer.

Ethereum Network Fees Spike

Last month was one of the best times to cheaply move ethereum (ETH) without it costing a fortune in network fees. On March 12, 2022, Ethereum’s network fees dropped to a low of $5.98 per transaction after reaching a high on January 10, at $52 per transfer.

The transaction fee data highlights that between mid-January to mid-March, ethereum fees decreased by 88.49%. However, since the low 22 days ago, Ethereum (ETH) network fees increased to $19.58 per transfer on average.

At the time of writing, Ethereum’s average network fee is 0.0056 ether per transaction and median-sized ETH fees can cost 0.0021 ETH or $7.47 per transaction. Median-sized fees (MSF) on Ethereum reached a low of $2.39 per transfer on March 11, 2022. On January 10, MSF on Ethereum tapped a high of $29 per transfer.

While both average fees and MSF on Ethereum have risen via layer one (L1), layer two (L2) fees have also increased. Loopring currently offers the lowest L2 fee at $0.15 per transfer. To swap a token via Loopring the cost is $0.87. On Sunday, April 3, the current L1 cost to swap a token is $25.67 per transaction.

Zksync offers common ethereum (ETH) transfers for $0.21 per L2 transfer, while token swap transactions will cost $0.52 per swap. Polygon Hermez is $0.25 to simply move ethereum and Boba Network will charge $0.79 per transfer. Boba Network costs $1.27 to trade an Ethereum-based token.

Arbitrum One L2 fees are currently $0.81 per transfer and the cost to trade tokens via Arbitrum is $1.12. Optimism fees are $1.28 per ETH transfer and it’s currently $1.89 to swap a token via Optimism’s L2 infrastructure. Users can also leverage the Aztec Network which will cost $2.48 per ETH transfer, which is much cheaper than the $7.47 MSF per transaction.

What do you think about Ethereum network fees starting to rise again after last month’s low? Let us know what you think about this subject in the comments section below.

$5.8 Billion Burned: Second Largest Crypto Network Records 2 Million Ethereum Destroyed in 7 Months

21/03/2022 by Idelto Editor

This week, the Ethereum network’s burn rate reached a milestone by surpassing 2 million ethereum burned worth $5.81 billion since August 5, 2021. Metrics show the crypto network has a 24-hour burn rate of 1.74 ether per minute, which equates to roughly $5K worth of ether destroyed every 60 seconds.

2 Million Ethereum Burned, More Than $5K in Ether Destroyed Every Minute

During the last year, the Ethereum (ETH) network has seen a slew of changes and seven months ago the network implemented the Ethereum Improvement Proposal (EIP) 1559 on August 5, 2021.

Ever since then, the network has been destroying ether at an extremely rapid rate, as EIP-1559 transformed the algorithm tethered to the base fee per gas in the protocol and it burns the base fee per gas. Ethereum advocates like the idea because it makes the crypto network’s supply deflationary.

At the time of writing, and since the August 5 introduction of EIP-1559, Ethereum has destroyed approximately 2,001,495.6 ETH. Using current exchange rates on March 21, 2022, the amount of ethereum burned is equivalent to $5.81 billion in USD value.

While more than 2 million ether has been burned, the speed of burn per day has been coasting along at 1.74 ether per minute or roughly $5,059.05 per minute using current ether exchange rates. Measuring the burn rate by hour shows the network destroys 1.51 ETH per minute.

On March 21, the non-fungible token (NFT) marketplace Opensea is the largest ether burner as the NFT market has destroyed 229,922 ether worth $790 million. Average, everyday ethereum transactions represent the second-largest burner as ETH transfers have destroyed 185,920 ether worth $674 million using today’s ETH exchange rates.

The decentralized exchange (dex) platform Uniswap v2 is the third-largest burner with 126,576 ether burned, and tether (USDT) transactions represent the fourth-largest burner with 92,325 ETH destroyed.

Other notable burners include Swaprouter, Uniswap v3, Metamask, and the stablecoin USDC. At the time of writing, ethereum has gained 59% during the last 12 months against the U.S. dollar and 13.6% over the last two weeks. In terms of market dominance among the 13,311 crypto assets in existence valued at $1.9 trillion, ethereum’s $348 billion market cap represents 17.8%.

On Monday, the average transaction fee on the Ethereum network is 0.0028 ETH or $8.15 per transfer. The current median-sized transaction fee on the Ethereum network is 0.0012 ETH or $3.60 per transaction.

What do you think about the 2 million ethereum burned so far? Let us know what you think about this subject in the comments section below.

Ethereum Network Fees Continue to Drop — Transfer Fees Hit Lowest Rate in 6 Months

28/02/2022 by Idelto Editor

Ethereum Network Fees Continues to Drop — Transfer Fees Hit Lowest Rate in 6 Months

It’s getting cheaper to send ethereum these days as the gas price to push a transaction is more than 80% less expensive than it was to transact with ether 48 days ago on January 10. On that day, Ethereum network fees were around $52 per transaction and today, the average transaction fee is $10.26 per transfer. While on-chain fees are cheaper, layer two (L2) transactions have followed suit dropping significantly during the last seven days.

Ethereum Gas Fees Continue to Slide

It’s a lot less expensive to transact with the Ethereum (ETH) network on February 27, as average size fees are down to 0.0039 ETH or $10.26 per transfer. The last time Ethereum network fees were this low was six months ago, back in late-August 2021.

Currently, with average fees at $10.26 per transfer, it’s 80.26% cheaper than it was transferring ETH on January 10, 2022. At that time over a month ago, the average transaction fee was $52 per transaction.

Ethereum fees have been sliding downward ever since that day and median-sized gas fees have followed. While the median-sized gas fee was $29 in ether 48 days ago on January 10, today it’s down 84.31% lower at 0.0017 ETH or $4.55 per transfer.

L2 transactions are also cheaper than on-chain transactions since gas fees have plummeted. Currently, the lowest L2 fee to send ethereum is by leveraging Loopring for $0.13 per transfer. To swap tokens with Loopring, the gas fees will cost $0.66 per swap at the time of writing.

Loopring is followed by Zksync ($0.16), Polygon Hermez ($0.25), Arbitrum ($0.56), Boba Network ($0.99), Optimism ($1.24), and Aztec ($4.23) in order to push an ethereum (ETH) transaction via L2.

The cost to swap tokens through these L2 platforms is $0.39 using Zksync, $0.78 leveraging Arbitrum, $1.66 via Boba, and $1.83 Optimism.

On-chain fees on the Bitcoin (BTC) network are also lower at 0.000000086 BTC per byte on February 27, 2022, which equates to 0.000032 BTC or $1.20 per transaction. Moreover, the median-sized bitcoin fee on Sunday is roughly 0.0000078 BTC or $0.29 per transaction.

What do you think about average transaction fees on the Ethereum network dropping? Let us know what you think about this subject in the comments section below.

Ethereum After 1559: Network Nears 2 Million ETH Burned Worth Over $6.9 Billion

26/02/2022 by Idelto Editor

Approximately 205 days ago, the Ethereum network upgraded via the London hard fork which implemented the packaged Ethereum Improvement Proposal (EIP) 1559. Since then, the EIP-1559 upgrade made it so a fraction of gas is destroyed during the transaction process and to date, 1,915,220 ether has been burned worth over $6.9 billion using today’s exchange rates.

Ethereum Burn Rate Inches Closer to 2 Million Burned, 3.57 Ether Is Burned Every Minute

The Ethereum (ETH) network has burned approximately 1,915,220 ethereum and the metric is nearing the two million mark. Since the EIP-1559 improvement was added on August 5, 2021, the community has been observing how much ether is being burned on a daily basis. At the time of writing, the 24-hour burn rate is 3.57 ether per minute or around $9,809.16 every 60 seconds.

EIP-1559 essentially changes the algorithm tethered to the base fee per gas in the protocol and it burns the base fee per gas. Ethereum advocates have been fans of the idea because it makes ethereum (ETH) deflationary over time. When the London hard fork was implemented, Ethereum co-founder Vitalik Buterin told Bloomberg that EIP-1559 was the most important part of London.

“Now it gets much easier to send a transaction that will get included in the next block and that’s very important to user experience,” Buterin explained at the time.

Gas Fees Remain Dynamic, Opensea the Largest Ether Burning Entity

Weeks after the London upgrade, EIP-1559 did not seem to affect the high gas fees users dealt with while trying to send on-chain (layer one) transactions. In fact, the very next month after the London upgrade, ETH’s average gas fees skyrocketed to $59 per transaction. The average gas fee to push an ethereum (ETH) transfer today is much lower, at 0.006 ETH ($16.61) per transaction or 31.3 gwei.

Meanwhile, as the network has destroyed $6.9 billion in ether via EIP-1559, the biggest on-chain gas burner is the non-fungible token (NFT) marketplace Opensea. At the time of writing, the leading NFT market has burned approximately 229,916 ether worth $790,499,348 across 14,635,232 ETH transfers.

Ordinary ethereum transactions make up the second-largest gas-burning entity with 178,166 ether destroyed to date. Large ETH-burning entities following Opensea and ordinary ethereum transfers include protocols and platforms like Uniswap v2, Tether (USDT), Swaprouter 2, Uniswap v3, and Metamask.

What do you think about the Ethereum network steadily approaching 2 million ether burned? Let us know what you think about this subject in the comments section below.