Avalanche Blockchain's December Upgrade Cut Usage Fees by 75%

Key Points

  • Avalanche's transaction fees have decreased by 75% since the Avalanche9000 upgrade on Dec. 16.
  • The number of daily transactions on Avalanche has increased by 38%, averaging 354,691 transactions per day.
  • The upgrade included lowering the base fee for smart contracts on the C-Chain from 25 nAVAX to 1 nAVAX.
  • Avalanche replaced a high validator fee with a more affordable monthly subscription model.

Summary

The Avalanche blockchain, known for its focus on decentralized finance (DeFi) applications, has seen a significant reduction in transaction costs following the Avalanche9000 upgrade implemented on December 16. This upgrade has led to a 75% drop in gas fees, making transactions on the network much cheaper. As a result, there has been a notable increase in network activity, with daily transactions rising by 38% to an average of 354,691. The upgrade introduced several changes, including a drastic reduction in the base fee for smart contract execution on the C-Chain from 25 nAVAX to just 1 nAVAX. Additionally, the previous high validator fee was replaced with a more accessible monthly subscription model, ranging from 1 to 10 AVAX, which aims to encourage more projects to build on Avalanche by reducing the financial barriers to entry. These changes are part of Avalanche's strategy to enhance its appeal and functionality within the competitive smart-contract blockchain space.

coindesk
January 30, 2025
Crypto
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