February 27, 2021

Ethereum transaction fees skyrocket

Ethereum transaction fees skyrocket

Ethereum transaction costs have grown 14 times in a month.

Although Ethereum has undergone significant technical improvements, bandwidth network transactions still can not cope with great stress without a sharp increase in commissions.

This becomes apparent at times of increased demand for altcoin.$8.75, which is 1300% more expensive than in July - $0.4-0.7.

Users of the decentralized Uniswap exchange have to shell out more than $45 per transfer.

Ethereum transaction fees skyrocket

The surge in interest in DeFi and the increased demand for DeFi tokens, mostly based on Ethereum, have led to a huge network load.On the most popular DeFi exchange, Uniswap, the situation is complicated by trading bots, which constantly increaseAs a result, Uniswap users have to pay up to $50 per transaction.

According to experts, the DeFi space isonly at the beginning of its development, and the Ethereum network can no longer cope with the flow. Ethereum's transaction volume rose to a record high back in July. Everyone expects the transition to Ethereum 2.0, but Vitalik Buterin recently admitted that the technical implementation of the upgrade is much more difficult than expected and could take longer.

That said, a month earlier, Matter Labs announced the launch of the beta version of zkSync, a tier 2 scaling solution.

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