Yesterday, the Ethereum (ETH) network collapsed yet again due to the rapid increase in trading volume. Ethereum (ETH) transaction commissions were so high that it made leading crypto exchange Binance (BNB) halt Ethereum withdrawals twice. Meanwhile, one DeFi user decided to pay really high fees: $36,000 per transaction.
Gas Price: 500,801 Gwei; Transaction Fee: $35,894.43
Amidst a heated discussion about Ethereum's fees, Andrew Redden, CTO and cofounder of GroundHog Network blockchain develoment studio, shared the details of one Uniswap transaction. It is still unclear what made its sender desire Uniswap's approval so much, but he/she paid almost 25 Ethers for a single transaction.
For sure, this is not a regular Ethereum (ETH) trasaction, i.e., sending Ethers or ERC-20 tokens between two addresses. The mysterious rich Etherean interacted with Router 2, one of the parts of Uniswap's infrastructure. USD Coin (USDC) stablecoin was approved for trading in one of its pools.
Gas price, i.e., customized metrics that show the amount of commission an Ethereum (ETH) user is ready to pay for having his/her transaction approved, was set at 500,801 Gwei. It is roughly 1000x more than its takes to initiate a transaction even in times of heavy network overload.
Commentators in the Twitter thread below Mr. Redden's tweet suppose that this unlucky mistake was made by a DeFi user when adjusting gas price from 500 Gwei to 801 Gwei in a rush.
Fees print new new all-time highs
At the same time, even with no mistakes, working with Ethereum (ETH) is a disaster during the ongoing volatility of the crypto market. BitInfoCharts, explorers of blockchain metrics, demonstrate that Ethereum (ETH) comissions are setting new records.
For instance, the average transaction fee right now is $40, which is almost 400 times higher than one year ago. The median transaction fee is also going through the roof: it exceeds $20.
Excluding in-app microtransactions from this count, we would see $100-$150 as a "normal" transaction fee for a typical on-chain transaction with ordinary speed.