Ethereum fees exceed summer 2018 levels

05.08.2020 ForkLog

The average daily volume of Ethereum transaction fees over the week surpassed the July 2018 figure. Median values were higher only in January 2018, at the peak of the asset’s price rally. This is according to Arcane Research’s weekly report.

https://t.co/RqEBtxtKZO

— Arcane Research (@ArcaneResearch) August 4, 2020

On August 3, the volume of fees stood at $2 million, and the median fee was $0.82. Arcane Research attributes this to the ongoing growth of the DeFi sector. In the past week alone, total value locked in DeFi protocols rose by 19.5% to $4.3 billion.

$\"Ethereum$

Arcane Research data

Read more about DeFi here. All the key DeFi news is gathered here.

Commentator Mitchell Moos suggested that the rise in fees and gas prices is more closely linked to the Forsage Ponzi scheme. Below is the transaction activity on the Forsage smart contract in comparison with DeFi projects.

The increase in transactions to the Forsage smart contract are closely correlated to rising gas prices. pic.twitter.com/uz077n6MMp

— Mitchell Moos 🦌 (@mitchellmoos) July 31, 2020

In early July, the Philippine Securities and Exchange Commission warned about the risks associated with Forsage. The regulator saw signs of a pyramid scheme in the project.

In May, the Ethereum network was congested due to activity on the MMM BSC project’s smart contracts, which also showed signs of a pyramid scheme.

Arcane Research noted that the adoption of SegWit and batching in the Bitcoin network has significantly improved the protocol’s scalability. Despite the growth in active addresses, median fees remain well below the levels seen at the end of 2017.

$\"Ethereum$

Arcane Research data

On August 1, the Bitcoin community marked Independence Day. In 2017, a user-activated soft fork occurred on that day, enabling SegWit in the Bitcoin network.