Ethereum miner revenues in February rose to a new record, topping $1 billion to date. More than half of that total came from transaction fees.
Last week #Bitcoin continued the trend of new ATHs alongside @MicroStrategy announcing another $1.05B convertible note to buy $BTC
We also study large wallets shuffling holdings and what it may tell us RE institutional hodlers
More in The Week On-chain👇https://t.co/hg22zegl71
— glassnode (@glassnode) February 22, 2021
Analysts at Glassnode, in a new report, noted that such a situation is characteristic of the start of this year. Earlier, it was observed during the so-called ‘DeFi summer’ in 2020.
Share of transaction fees in Ethereum miners’ revenue. Data: Glassnode.
The Block The Block noted that even without counting the remaining days in the month, Ethereum miner revenues in February surpassed January’s record, crossing the $1 billion mark. The driver was new price records and high fees.
Total fee income reached $541 million, in line with Glassnode’s estimates.
Dynamics of miner revenues in the Ethereum network. Data: The Block.
On February 23, the median transaction fee reached a new record, approaching $50
Data: Blockchair.
Below are approximate gas costs for various transaction types given a median gas price of 280 Gwei.
Data: Dune Analytics.
On the moment of writing, the approximate cost of a swap on Uniswap stood at $229.2, and the deposit on Compound at $341.9.
On February 23, median gas price reached a new record of 1440 Gwei, according to the Nansen tracker.
New record? 1440 gwei ⛽️ pic.twitter.com/7QWQFdn5ri
— Alex Svanevik 🧭 (@ASvanevik) February 23, 2021
In recent weeks, mining of the second-largest cryptocurrency by market capitalization has yielded about 25 000 ETH to 30 000 ETH per day (shown in purple in the illustration). This creates incentives for hash rate growth (orange in the illustration).
Dynamics of ETH price, hash rate and miners’ revenue. Data: Glassnode.
On February 19, the metric reached a historical maximum of 431.7 TH/s. The previous peak of 292.1 TH/s was set in July 2018.
One reason for such high on-chain metrics, analysts say, is sustained interest in DeFi protocols. They believe limited throughput and high transaction costs are prompting projects to work on Ethereum scalability solutions.
Earlier, the DeFi project Synthetix launched the Ethereum layer-2 solution Optimism>.
Developers of Polygon (formerly Matic Network) announced the creation of a multi-chain system to improve the scalability of the second-largest cryptocurrency network.
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