ETH network fees are rising again as ENS hits an all-time high

ETH network fees are skyrocketing again due to the hype surrounding the ENS airdrop that could blow it up, so we read more today in our latest Ethereum news.

The cost of using the Ethereum network has risen to a new high due to the hype surrounding the name service Airdrop. Ethereum Layer 1 gas prices can currently be described as insane, according to Bitinfocharts, with the average transaction fee at rising to $ 63, the second highest in the network’s history. It peaked on May 12 when the average gas price hit $ 70 and the current average transaction cost at that point was around $ 7.

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Gas costs can vary widely depending on the type of transaction, so a simple ERC-20 transfer costs less than a complex smart contract interaction.

According to Etherscan, shipping an ETH-based token costs around $ 45. To do a token swap on Uniswap Layer 1 or add liquidity from DeFi protocols, it can cost around $ 130 in gas. Cryptocurrency analyst “Mr. Wal “gave an example of the situation:

If the Gas Bull Run is an Ethereum Name Service Airdrop, don’t consider the 9th. spend it. The tokens can also be claimed until May 4, 2022, but those who want them now are optimistic.

Until Binance listed ENS a few days ago, the only way to sell them was through Uniswap and it cost users hundreds of dollars in gas to do so. ENS generated $ 720 million in network fees in November, according to Crypto Fees^NS and $ 834 million the day before. It costs around $ 5 a year to register an domain, but gas fees have currently risen to over $ 250 network fees rose again as ENS hit a new all-time high in trading on Wednesday morning in Asia and is now 37% above the day.

The only good thing about the high fees for holders is that many assets are burned by EIP-1559. According to Ultrasound Money, 841,000 ETH have been burned since the upgrade, and at current prices, that’s worth around $ 3.9 billion. The Burn Tracker reports that ENS burned 500 or $ 2.3 million last day, much more than Metamask.

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