Ethereum transaction fees plummet

Ethereum's period of ultra-high transaction costs appears to have come to an end.

According to BitInfoCharts, 28Ten days ago, Ethereum had to pay an average of $11.6 per transaction.On September 2, a record high of $14.6 per transfer was set.

Now, the drop in Ethereum transaction costs suggests a significant decrease in trader activity.

One of the reasons for the high fees this summer was the growing popularity of decentralized finance and yield farming.DeFi lending protocols have attracted huge financial flows.

Spikes in activity on the Ethereum network tended to correlate with the activity of DeFi protocols.So, at the launch of Uniswap governance tokens on September 17, a record was recorded for the daily number of transactions, which amounted to 1,406,000.

According to the DeFi Pulse site, nearly $ 11 billion is locked in DeFi smart contracts today. In June, that figure was only $ 1 billion.

All the largest DeFi projects are still hosted on the Ethereum blockchain, which can only process about 14 transactions per second.