Ethereum transaction fees in October is $57.49 million – down 66% from September’s record monthly tally

By Selena On Nov 3, 2020

According to Glassnode, Ethereum users paid $ 57.49 million in transaction fees in October – down 65% from a monthly record number of $ 171 million in September. transactions on Ethereum more than halved in October as the mania for decentralized finance (DeFi) cooled.

Ethereum transaction fees in October down 66% from September’s record monthly tally of $166.39 million

Last month, miners on Ethereum saw a 66.8% drop in transaction fee revenue compared to September, from $171 million to $57.49 million. Compared to September, transaction fees on ETH, as a share of total miner revenue, dropped from 53.4% to 26.5% in October.

Alex Mashinsky, CEO and founder of crypto lender Celsius, stated:

“Transaction costs declined as volumes on decentralized exchanges dropped, reducing demand for network’s bandwidth.”

Since April, decentralized exchange trading volume fell by nearly 25% to $ 19.4 billion in the first month of the down subscription month. The majority of decentralized exchanges (DEXs) are based on ETH. Further, the maximum “gas” price – paid by participants to transact on ETH network – declined from 5.18 million gwei to 0.6 million gwei in October, according to data source Bitquery.

Ethereum total transaction fees (USD) | Source: Glassnode

Total fees paid had surged from $22 million to $166 million in Q3, as the DeFi space witnessed explosive growth following the launch of COMP governance token by the lending protocol Compound in June.

It was so active in September that ether miners earned six times more fees than Bitcoin miners. And while ethereum miners earn significantly less from fees during the month, they still perform more than Bitcoin miners, who collect $ 41.20 million in fees.

You can see the Ethereum price here.

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