As a result of historically high Ethereum prices and an increase in the use of its network, the fees for ETH transactions have reached record-high levels.
Transaction fees for this month are about to break the current monthly record of $722 million, and that may happen today. Let’s keep in mind that we still have two weeks to go until May is over. If the record is broken, the blockchain network will pass its Q1 network revenue totals of $1.7 billion in ETH before the end of the month.
The current record-high was established in February 2021.
The fees for transactions are always changing based on how much the network is used – the more transactions are made, the higher the fees go.
But we also must take into consideration the upcoming Ethereum network upgrades.
In July, a new network upgrade, called “London,” will come with the EIP 1559, which is a dividing topic among its users. London will automate gas prices after which it will burn the fee instead of paying it to the miners. The good news is that it will decrease the supply of Ethereum, which will increase the demand, and free some of the congestion in the network.
Still, the real change will come with the release of Ethereum 2.0.