Is Ethereum gas fee really expensive?
First of all, what is expensive? It is unscientific to judge by price alone. When we evaluate the Ethereum Gas fee, the most important evaluation criterion should be the value of Ethereum itself, including its ecological value.
We must know that with the continuous development of its ecology, Ethereum is no longer Wuxia Amon.
In 17 years, with its huge advantage of 1CO, Ethereum attracted countless traffic into the Ethereum ecosystem. At that time, there were various projects on Ethereum. But today, let’s look at the ecology of Ethereum. A variety of innovative products, such as MakerDAO, Compound, Aave, IDEX, Loopring and other projects are blooming. Ethereum has grown from a small vendor to a super mall. It’s just that we haven’t realized or adapted to the growth of Ethereum.
An interesting project here is WBTC. WBTC is a Bitcoin asset that standardized Bitcoin to ERC20 format and issued it on Ethereum. In recent months, the total amount of WBTC has risen geometrically.
We can clearly see that the main reason for the rapid development of WBTC is due to the increasing opportunities of Ethereum. At the same time, most Bitcoin holders want to not miss Bitcoin while seizing the opportunity of Ethereum. Opportunity, so it has become a must to map Bitcoin assets to Ethereum.
Why are so many people still using such a high gas fee?
Price screens demand, demand determines value. The increase in price caused by congestion is an automatic adjustment mechanism of demand. Higher demand is screened out by increasing prices, thereby reducing congestion, and higher demand is also increasing the value of congestion, thereby realizing price and demand Balance.
Ethereum Gas fee relies on the principle of “user conceit” to make its own choice.
The transaction gas fee of hundreds of RMB at every turn has discouraged ordinary users, but also caused various CX and junk projects to leave Ethereum. You must know that it is much cheaper to cheat on TRON than on Ethereum.
In fact, the increasing gas fee itself is a demand screening mechanism. The only thing that can survive on the high-gas Ethereum is high-value projects or those that want to become high-value projects. The former is money to pay, the latter is willing to pay.
When will Ethereum gas fees return to “low prices”?
Ethereum’s high gas fees will become the norm.
We can assume that if the low price of Ethereum gas fee is the norm, due to the high-quality ecological environment on Ethereum, it will inevitably attract a lot of CX and garbage projects to Ethereum. However, the resources of Ethereum are limited, or it is difficult for the resources of Ethereum to meet the requirements of a large number of CX and junk projects.
If Ethereum forces to maintain low gas fees, the resources of high-quality projects will be plundered by garbage projects, and bad money will drive good money soon, which will lead to high-quality projects choosing other public chains in order to seek better resources. Or build your own public chain. This is also the reason why high-quality projects are difficult to appear on the TRON.
The two projects with a market value difference of nearly 21 times are destined to find that TRON will find it difficult to meet their needs once the high-quality projects on TRON develop. At this time, in order to develop better, they need to go to a larger platform- Ethereum.
The one-click migration protocol for Ethereum projects established by TRON will eventually become a tool for high-quality TRON projects to move toward the Ethereum ecosystem.
Therefore, with the continuous development of Ethereum and the increasing value of its ecological projects, high gas fees are the best screening tool for users and ecological projects. Screening items is also screening users. And screening makes Ethereum better.
Ethereum has gradually become a tall building.
