These days Ethereum network shows a huge downfall in the gas fees to facilitate the transactions in the network for small traders.
Ethereum is the biggest crypto blockchain Network after bitcoin because of its huge number of use cases. Right now high prices of ETH token and high traffic on the network are causing a huge load on the network and also resulting in high fees concerns.
In May 2021, the Gas fees of the Ethereum network touched around $70 per transaction, and recently the network has fees touched $0.54 per transaction. Current fees is nothing over last year’s high fees.
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Credits goes to Layer2 scaling blockchain
In the present time, the majority of the crypto blockchain networks are trying to give an alternative option for the crypto projects to go with a scaling solution.
For example at present Polygon network supports all Ethereum blockchain-based projects to use Polygon’s scaling solution to facilitate transactions without causing load on the Mainnet of the Ethereum network.
Polygon network like other projects are also trying to push the majority of the platforms to use the scaling solution to provide low fees based transactions easily.
Burning mechanism of Ethereum
Experts believe that last year’s burning protocol of Ethereum also contributed to the network to lower down the fees because earlier this few bad actors were spamming the network but now due to the burning mechanism they are not doing the same.
Proof-of-stake on the way
Around a day ago, Ethereum foundation, a non profit organization behind Ethereum project, confirmed the completion of a merger to shift the Ethereum testnet network to a Proof-of-stake Consensus-based network. Now developers will first test the shift of network from pow to pos on testnet, after that developers will do the same on mainnet after 3 months.
Now here we can expect what will happen with the Ethereum network use case if it will get shifted to Proof-of-stake Consensus completely and that may happen before the middle of this year, if everything will happen successfully step by step.
Read also: Cardano founder on the new ATH of TVL says it is beginning
Ethereum network gas fees hit $0.54: factors explained
https://bitcoinik.com/ethereum-network-gas-fees-hit-0-54-factors-explained/feed/
https://bitcoinik.com/ethereum-network-gas-fees-hit-0-54-factors-explained/feed/
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