Ethereum fees are at record level, but even so, one Uniswap user paid well over the current rate with a gas charge of $36,000 for a single transaction.
Crypto twitter has been flooded with complaints about unsustainable fees for using the Ethereum network, but the rates have only exacerbated one DeFi user’s fat fingered mistake.
The exorbitant transaction was tweeted by co-founder and CTO of Groundhog Network, Andrew Redden, who confirmed that it was related to Uniswap.
The ridiculous fee turned out to be a typing error, as the user manually entered two prices in gwei together. The fee of 500,801 gwei was to be one (500 gwei) or the other (801 gwei) but not both.
It was about 24.94 ETH, or about $36,000 at the time it was made.
Average transaction fees have risen to an all-time high of around $40, according to Bitinfocharts.com, after more than 1,000 per cent since the beginning of the year. Etherscan’s gas tracker is currently reporting an average of $23.85 for an ERC-20 transfer and $73.79 for a Uniswap swap.
An Ethereum improvement proposal called EIP-1559 may help to address some of these fee problems and developers suggest that it could be rolled into the Ethereum ‘London’ upgrade scheduled for July 2021.
On Feb. 23, Ethereum’s lead developer Tim Beiko posted an update to EIP-1559 in which he said, “Large state testing is 99 per cent completed.” A developer call on March 5 will confirm whether the EIP will be included in the London upgrade, he added.
The new method of gas calculations includes a bidding system for transactions where the miners naturally assign preference to the top bids and the lower bids take much longer. EIP-1559 can change this auction mechanism by dynamically changing the fees so that users will pay the lowest bid for the block. This enables automated market makers and wallets to calculate fees accurately and provide better estimates. Beiko has been elaborated;
“Another way of looking at this is that 1559 makes the inclusion price of transactions explicit in the protocol, rather than implicit, as it is right now.”
The plan would also require the burning of gas charges charged in ETH, which would have a longer-term effect on the problem and availability of Ethereum. Naturally, the miners have expressed criticism of this, even though the network co-founder Vitalik Buterin has commented (in Chinese) that any contrary action they take will simply intensify the shift to PoS.