Gas Fees

Transaction costs paid to a blockchain's validators or miners — the price of bandwidth on the network.

Gas is the fee a blockchain charges for executing a transaction or smart-contract call, paid in the chain’s native token. Busy networks command higher fees; simple transfers cost less than complex contract interactions.

What drives gas

Every operation consumes computing capacity (“gas units”). Users compete to pay more to get in the next block; when demand spikes, so do fees. Layer 2 solutions and alternative chains exist largely to make transactions cheaper.

Why it matters

Fees determine who can actually use a chain. Astronomical fees lock out users and push activity elsewhere; near-zero fees can indicate a quiet, centralized network. Fee levels are a practical filter in any chain comparison.

Related terms

Layer 1, Layer 2, Rollup, Smart Contract, Node