Ethereum gas fees have been a hot topic of discussion, especially during their sudden spikes. Is everything working as intended?
Causes of Rising Fees
Sudden spikes in gas fees, such as those on August 4-5, are predictable for the market during peak demand. In such conditions, available block space is auctioned off, with the highest bidder winning the spot.
Modular Scaling Philosophy
The philosophy of modular scaling suggests that a blockchain is a network offering a rare asset in the form of secure block space, which is constantly auctioned among participants. Unlike monolithic chains, here costs and services are more the exception than the rule, similar to how internet services operate.
Role of L2 and Future Fees
Rollups provide an additional layer of scalability, reducing costs with lower fees under normal conditions and creating a financial cushion for peak demand scenarios. In the future, most fees will be abstracted away from end-users.
Gas fees are a crucial aspect of the Ethereum ecosystem. Effective management of their levels is key to stable and predictable network operations.
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