Gas Fee
The cost to use a blockchain, paid to the people who run the network. Like a processing fee that changes based on how busy the network is.
Example
Paying $5 to swap tokens on Ethereum when it's not busy, or $50+ during high-demand periods.
Core Concepts
⚙️How It Works
- 1
Transaction Created
You initiate an action (swap, transfer, mint) that needs to be processed
- 2
Gas Estimated
Your wallet estimates how much computational work is needed
- 3
You Set Price
You choose how much to pay per unit of gas (higher = faster)
- 4
Validators Pick
Validators prioritize transactions offering higher fees
- 5
Fee Paid
Once included in a block, gas fee is deducted from your wallet
📊Key Numbers
~5-50 gwei
Ethereum Base Fee
varies with demand
21,000 gas
Simple Transfer
fixed for ETH transfers
~150,000 gas
Swap on Uniswap
typical DEX trade
~100,000+ gas
NFT Mint
depends on contract
🔍Common Misconceptions
✗Gas fees go to the app you're using
✓Fees go to validators/miners who process transactions, not to protocol developers.
✗Failed transactions are free
✓You still pay gas for failed transactions because validators did the computational work.
✗Gas is only an Ethereum thing
✓All blockchains have transaction fees, though they may use different terms and pricing models.
🚀Getting Started
- 1Check gas prices before transacting (etherscan.io/gastracker)
- 2Transact during low-demand periods (weekends, early morning UTC)
- 3Use Layer 2s (Arbitrum, Base, Optimism) for 10-100x cheaper fees
- 4Set a max fee you're comfortable with to avoid overpaying
- 5Batch multiple actions into one transaction when possible