Blocktoq

    Will Bitcoin protect your savings from inflation?

    18 November 2021

    How to create nft art?

    12 November 2021

    USA – the top destination for bitcoin miners. Why China gave away the title?

    11 November 2021
    Facebook Twitter Instagram
    Facebook Twitter Instagram
    Blocktoq
    • Crypto News
    • Explained
    • Reviews
    • After Hours
    • Market Tools
    • Igaming
    • English
      • Polish
      • Russian
    0 Shopping Cart
    Blocktoq
    Blocktoq»Crypto News»The transaction fees for Ethereum miners exceeded those of Bitcoin
    Crypto News

    The transaction fees for Ethereum miners exceeded those of Bitcoin

    KonradBy Konrad8 June 2020Updated:15 March 2021No Comments3 Mins Read
    Facebook Twitter Pinterest LinkedIn Tumblr WhatsApp VKontakte Email
    Плата за транзакции Ethereum|Индикатор сборов за транзакции Ethereum для более высоких цен ETH|Почему плата за транзакции в сети Ethereum всегда высока|Плата за транзакцию Glassnode ethereum против биткоина
    Share
    Facebook Twitter LinkedIn Pinterest Email

    Ethereum’s transaction fees are constantly increasing and exceed the level of fees in the Bitcoin network by 60%. What does this mean for ETH traders?

    In short:

    • Exceptional event 
    • Reasons for increasing transaction fees
    • Upward trend Ethereum
    • The solution to the scaling problem

    Exceptional event 

    For the first time in months, Ethereum miners have raised the level of transaction fees higher than Bitcoin miners. Analytical firm Glassnode released data showing that Ethereum’s daily network charges were $498,000 and Bitcoin’s $308,000. To date, there were only 141 days (8%) when this situation occurred.

    Glassnode ethereum transaction fees vs Bitcoin

    Ethereum’s transaction fees have risen sharply over the last three months. Fees increased on average by 90% compared to just three months ago.

    Reasons for increasing transaction fees

    There are several reasons for increasing Ethereum transaction fees. The first is the increased demand for sending Ethereum between exchanges due to cryptocurrencies fluctuations. Another reason is the growing popularity of the Ethereum-based Ponzi schemes. Thirdly, stablecoins are increasingly being adopted in the financial world.

    Why transaction fees from Ethereum network are all time high?

    Analysts and cryptographic specialists claim that the trend of rising transaction fees has many positive and negative effects on the Ethereum network.

    Upward trend Ethereum

    The increasing use of the Ethereum network is a positive catalyst for the ETH price. According to many analysts including the founder of Mythos Capital, the ETH price was closely correlated with the transaction fees paid by Ethereum users over the past 4 years. If the increases continue, Ethereum is able to increase its price by tens of percent.

    Ethereum transaction fees indicator for higher prices of ETH

    The solution to the scaling problem

    High transaction fees also have their disadvantages for Ethereum users. If someone wants to interact with some decentralized financial contracts like MakerDAO or Uniswap, transactions can be as high as $1. For some operations, these fees can be as high as a few dollars, especially if you care about the speed of transactions. 

    This means that if you are an Ethereum user, trading or spending a small number of your resources on DeFi contracts, you will spend a relatively large part of your crypto on the fees themselves. Hence the emphasis on scaling solutions.

    A user who tries to trade or spend small amounts of ETHs on DeFi contracts spends a relatively large part of his resources on the fees themselves. This is why there is such a strong emphasis on scaling solutions.

    Should @Ethereum miner increase block limit size?#DeFi

    — 1inch.exchange (@1inchExchange) June 4, 2020

    Representatives of the crypto exchange 1inch.exchange suggested that ETH miners should increase the block limit to hold more trades every 14 seconds. There is currently a gas limit of 10 million, although it can be increased by up to several dozen percent to accept more trades.

    Share. Facebook Twitter Pinterest LinkedIn Tumblr WhatsApp Email
    Previous ArticleНовая Blockchain платформа для голосования
    Next Article Celo is supposed to be like an improved PayPal with its own currency
    Konrad

      Start with crypto today

      Leave A Reply Cancel Reply

      Search

      Will Bitcoin protect your savings from inflation?

      By Blocktoq Team18 November 20210

      Recently, a record increase in inflation has been recorded – both in Poland and in the USA. In Poland, inflation is close to 7%, in the USA it is 6.2%.

      How to create nft art?

      12 November 2021

      USA – the top destination for bitcoin miners. Why China gave away the title?

      11 November 2021

      Solana, the man(ETH)er

      3 November 2021

      Address: Blocktoq LTD, Kemp House 160 City Road, EC1V 2NX, London
      Email: [email protected]

      Facebook Twitter Instagram
      About us
      • Who we are
      • Submit press release
      • Advertise
      • Privacy Policy
      • Contact us
      • Shop
      • Cart
      Categories
      • After Hours
      • Crypto News
      • Crypto Projects
      • Explained
      • Finance
      • Igaming
      • Market Tools
      • Press Releases
      • Reviews
      Design by Blocktoq - Let's talk about Crypto! © 2022 Blocktoq All Right Reserved

      Type above and press Enter to search. Press Esc to cancel.