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Table of Contents
Detailed explanation of Ethereum (ETH) transaction fee
1. Gas and Gas Price
2. Factors affecting handling fees
3. Processing fee mechanism after EIP-1559
4. Current handling fee scope (2024)
5. How to save handling fees?
Home web3.0 How much does the eth Ethereum transaction fee cost

How much does the eth Ethereum transaction fee cost

Jul 15, 2025 pm 09:15 PM
binance Ethereum Binance metamask Huobi trading platform okx optimism Ouyi Ouyi okx miner

Ethereum transaction fees are determined by Gas consumption and Gas price, which are specifically affected by network congestion, transaction complexity and Gas Limit; EIP-1559 introduces a basic fee and priority fee mechanism, and users can set the highest fee and tip; the current handling fee is as low as 0.0001 ETH, up to 0.1 ETH; saving methods include selecting low peak periods, using the Layer 2 network and adjusting Gas price.

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Detailed explanation of Ethereum (ETH) transaction fee

Ethereum's Gas Fee is a fee that users need to pay when executing transactions or smart contracts, which is used to incentivize miners (under the PoW mechanism) or validators (under the PoS mechanism) to process transactions. The way the handling fee is calculated is affected by a variety of factors, including network congestion, transaction complexity, and Gas Price.

1. Gas and Gas Price

Ethereum uses Gas as a computing resource unit, and each transaction or smart contract operation consumes a certain amount of Gas. Gas Price (in Gwei, 1 Gwei = 0.000000001 ETH) is the fee the user is willing to pay for each unit of Gas.

Processing fee = Gas Used × Gas Price

For example, if a transaction consumes 21,000 Gas (the base Gas for standard ETH transfers) and Gas Price is set to 20 Gwei, the fee is:
21,000 × 20 Gwei = 420,000 Gwei = 0.00042 ETH

2. Factors affecting handling fees

  • Network congestion: When a large number of users send transactions at the same time (such as NFT minting, DeFi interaction peak period), Gas Price will soar and the handling fees will become higher.

  • Transaction complexity: Simple ETH transfers consume a fixed 21,000 Gas, while smart contract interactions (such as Uniswap transactions) may consume 50,000~200,000 Gas or even higher.

  • Gas Limit: Users can set Gas Limit (Gas upper limit) to prevent unlimited consumption of Gas due to contract errors. The actual consumption of Gas ≤ Gas Limit, unused Gas will be refunded.

3. Processing fee mechanism after EIP-1559

In 2021, Ethereum London will upgrade and introduce EIP-1559, and the handling fee structure will be changed to:

  • Base Fee: Automatically adjusted by the protocol, dynamically changes with block utilization, and is directly destroyed (reducing ETH circulation).

  • Priority Fee/Tip: An additional tip paid to miners/verifiers to accelerate transactions.

Users now only need to set Max Fee (the highest Gas Price you are willing to pay) and Priority Fee, and the system will automatically select the best Gas Price.

4. Current handling fee scope (2024)

  • When congestion is low: Base Fee may be as low as 5-10 Gwei, and the ordinary transfer fee is about 0.0001~0.0002 ETH (approximately US$0.3~0.6, assuming the price of ETH is US$3,000).

  • When congestion is high: Base Fee may soar to 100 Gwei, with complex transaction fees ranging from 0.01 to 0.1 ETH (30 to 300 USD).

5. How to save handling fees?

  • Select a low peak trading (such as non-DeFi/NFT activity peak).

  • Using Layer 2 networks (such as Arbitrum, Optimism), the handling fee can be reduced by more than 90%.

  • Adjust Gas Price: Dynamically adjust through the "accelerated trading" feature of Etherscan or MetaMask.

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