Ethereum Transaction Fees Go Bonkers Again, DApps May Take The Blame
Cryptovest
Published May 23, 2018 04:41AM ET
Updated May 23, 2018 05:00AM ET
Ethereum Transaction Fees Go Bonkers Again, DApps May Take The Blame
Ethereum transaction fees are increasing due to increased activity again. While they are far from the $4+ fees seen in January, it appears that some phenomenon is causing them to reach levels we have not seen since the beginning of March.
The current rate of an ETH transaction right now is just above $0.60. It has been on a steady climb since early April after plummeting since the beginning of the year.
Looking carefully at the situation, the culprit seems to be the decentralized application (DApp) ecosystem that’s been receiving much attention over the last few weeks.
In the 24 hours up to 0300 GMT on June 23, a total of 65,250 transactions were made, consuming a total of over 20 million gas that moved roughly 23,500 Ether across the network. IDEX, the most popular DApp right now, moved over 21,000 ETH in those 24 hours, accounting for over a fifth of its volume in the past seven days.
Still, at this moment, we’re not seeing any sign that the network would be bogged down like it was back when CryptoKitties—one of the first DApps on Ethereum—ground everything to a halt in December and even made Gemini block deposits and withdrawals.
In that particular case, CryptoKitties took up about 20% of the entire transaction volume within the Ethereum blockchain. This extensive proportion has never been seen from DApps since then.
On Tuesday, the network stood at 822,409 transactions . This means that DApps took up just below 8% of that volume.
However, if these applications manage to reach a certain threshold of transactions, we might once again see the Ethereum network clog up. So far, we know of no permanent solution implemented to prevent such a thing from happening again.
This article appeared first on Cryptovest
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Written By: Cryptovest
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