Network fees

Gas

Also called: Gas fee, Network fee

The unit of work on Ethereum and other EVM networks; a transaction's fee is the gas it uses times the price per unit, paid in the network's native coin.

Every operation on an EVM network costs gas. A plain ETH transfer uses 21,000 gas; a token transfer runs contract code and uses more. The fee is the gas used multiplied by the gas price, which rises and falls with demand for block space.

On Ethereum, the price has two parts since the London upgrade: a base fee set by the network, which is burned, and a priority fee (tip) to the block producer. A transaction states the most it's willing to pay. If that isn't enough when the network is busy, the transaction waits in the mempool.

Practical points

  • Fees are paid in the native coin, never in the token being sent.
  • Estimate shortly before sending; prices move.
  • A transaction stuck at a low price also holds up the account's later ones, because of the nonce.

On Valtu

POST /v1/transfers/preview returns the network fee and what your policies would do, without creating anything. Slow payouts have their fees bumped automatically, and the fee actually paid is recorded on the transfer. A gas wallet can supply the native coin token payouts need.

Related terms

Keep reading.

More in network fees: UTXO · Replace-by-fee · Native SegWit · TRON energy · TRON bandwidth · Dust. The whole glossary.

Put it into practice.

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