Quick Poll

Ethereum users wary as gas fees skyrocket

Ethereum (ETH) is experiencing an unprecedented surge in inactivity. From institutional adoption to increased traction, and so on. Given the demand, Ethereum (ETH) network participants raised $2.48 billion( R37.7bn) in fees last year, up from $1.7 ( R27.2bn) billion the previous year.

The bullishness of Ethereum during 2022 resulted in a significant increase in trading and transaction volumes, as well as significant inflows from investors. The accumulation trend was strong, resulting in a positive month for Ethereum miners as well. In fact, as shown in the graph below, the revenue of Ethereum miners has reached an all-time high.

What prompted this hike? Apecoin holders received Otherdeed NFTs, which resulted in additional ETH getting burned. This indicated an increase in demand. APE owners had to submit their cryptocurrency to the necessary smart contract via the Ethereum (ETH) network, which encountered a massive load during those hours.

Participants got into a gas battle because they were so desperate to get their hands on an Otherdeed NFT. This increased transaction costs, earning Ethereum miners more than $87 million( R1.4bn) in less than an hour.

Consider this: they made $87,664,337, around (R1.4bn) in one hour. They were, indeed, pleased with the revenue.

In this perspective, an additional $172 million( R2.8bn) in transaction expenses would have been paid during the gas war. At the time of publication, the average gas price for ETH was 52.55 GWEI.

From one war to the next?
Obviously, the increase in the gas fee would enrage a certain segment of the crowd. Following this occurrence, ETH users paid a median charge of $4,830( R77 386) per transaction over a one-hour window.
Several ETH users expressed their discontent with the situation. 

Related

Rateweb

South Africa’s primary source of financial tools and information

Contact Us

admin@rateweb.co.za

Disclaimer

Rateweb strives to keep its information accurate and up to date. This information may be different than what you see when you visit a financial institution, service provider or specific product’s site. All financial products, shopping products and services are presented without warranty. When evaluating offers, please review the financial institution’s Terms and Conditions.

Rateweb is not a financial service provider and should in no way be seen as one. In compiling the articles for our website due caution was exercised in an attempt to gather information from reliable and accurate sources. The articles are of a general nature and do not purport to offer specialised and or personalised financial or investment advice. Neither the author, nor the publisher, will accept any responsibility for losses, omissions, errors, fortunes or misfortunes that may be suffered by any person that acts or refrains from acting as a result of these articles.