Gas Fee
Basics
What it means
A transaction fee paid to blockchain network validators (miners or stakers) to process and validate your transaction. Gas fees increase when the network is busy.
Example
On Ethereum, sending ETH or interacting with a smart contract requires a gas fee. When the network is congested, gas fees can rise from a few dollars to $50 or more.
Mistake beginners make
Beginners are surprised by high gas fees during network congestion. Sometimes the fee to send $50 worth of crypto can be $20 or more. Always check current gas fees before transacting.
Related terms
- Blockchain — A decentralized, distributed digital ledger that records transactions across many computer…
- Smart Contract — A self-executing computer program stored on a blockchain. Smart contracts automatically en…