As we move past the recent Ethereum upgrade, the Shanghai Capella upgrade, the crypto space is swarming with newer upgrades for the evolved Web3 that we are walking towards. However, following the second step in its series of upgrades, the Ethereum network has seen a 153% rise in its fees!
After April 12, 2023, when the implementation of the Ethereum Shanghai upgrade took place, the on-chain fees of ETH have soared from a previous rate of $4.65 per transfer to a current average of $11.80 per transaction. As per the data from bitinfocharts.com, it highlights about a substantial surge in the costs that is associated with Ethereum network transactions. This surge also indicates a notable increase in the on-chain activity of the network.
Source: bitinfocharts.com
Ever since April, the Ethereum network fees have gone through a material surge, as the cost of the on-chain transfers have rose from $4.65 per transaction on April 1, 2023, to an average of $11.80 per transfer; which comes to 0.0064 ether; at the time of writing. The data also shows this whopping 153% increase in the average fees for ETH, that is charged by the Ethereum network in just 30 days.
From April 12, 2023 until April 22, 2023; the Ethereum network has processed close to or even exceeded one million transactions on a daily basis; with the exception for the volume on April 16, 2023. However, after that, the transaction volumes of ETH has been noted to have remained below the million mark, with an average transaction volume remaining between 800,000 and 900,000 transactions per day.
With the increase in fees over the past 30 days, there have been cost of certain transactions on the Ethereum network which has also remained relatively high. Some of them are as noted below:
- OpenSea sale incurring $9.93 per transfer
- Single trade on Uniswap costs around $25.58 per transaction
- Sending an ERC20 token, needs $7.50 as transaction fees.
Fun Fact? Since the successful launch of the Shapella upgrade, Arbitrum, the Ethereum layer 2 scaling solution, has been surpassing ETH’s transactions on a daily basis. As per the data collected from Dune Analytics, Arbitrum has been processing about 1.1 million to 1.5 million transactions per day since Shapella, while another L2 competitor Optimism, has seen to have recorded between 240,000 to 550,000 transactions per day.
Read more: Ethereum Price Prediction
Source: Dune Analytics
The average transaction fee on Arbitrum is currently standing at $0.368 per transfer, while the average transaction fee on Optimism stands a little higher at $0.682 per transaction!
Source: Bitcoin.com
Read more: Arbitrum vs Optimism
