Ethereum’s average transaction fee, known as “gas fees,” approaches $ 20.
Binance Smart Chain addresses hit one million mark.
Flamingo Finance, based on NEO, is gaining ground.
Steadily rising transaction prices on the Ethereum network are prompting DeFi investors and miners to look to cheaper alternatives. Because of this, the volumes of Flamingo Finance and Binance Smart Chain have increased.
Ethereum’s new all-time high of $ 1,700, reached on February 4, caused gas fees to skyrocket again. This makes interacting with DeFi difficult as the average cost of a transaction is now just under $ 20 according to BitInfoCharts.
Binance: gas fees serve DeFi
The fact of making small transactions on blockchains (Layer-1) based on Ethereum is now much too expensive, making participation in DeFi complicated for everyone. Developer Julian Koh tweeted the prices of the trade fees. Koh added that this would only force users and developers to migrate to other solutions.
Unsurprisingly, DeFi traders and miners are already among those looking for alternatives. Ethereum rivals like Binance Smart Chain and NEO-based Flamingo Finance are seeing an increase in users and volume.
Binance: the booming blockchain
Binance’s Smart Chain (BSC) has recently gained in popularity, mainly because transactions are a fraction of the cost of the Ethereum equivalent.
According to BscScan, the number of unique addresses on the blockchain has just passed the milestone of one million addresses.
The BEP-20 daily token transfer chart is also showing a record high of over one million, while the ratio of daily BSC trades to Ethereum trades held steady at 50% for a week.