Ethereum$ETH is the second most popular cryptocurrency and a favorite of DeFi and NFT. But there is one "but": you can buy ETH, only to realize that you will spend half of it on gas fees. Why does this continue, and is there light at the end of this crypto traffic jam?

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Gas fees: what is it anyway?

"Gas" is a fee for transactions on the Ethereum network. When you send tokens, buy NFTs, or execute a smart contract, miners get paid for their work. The problem is that the price of "gas" sometimes rises faster than Bitcoin during a bullrun:

You buy NFT for $50 and pay $100 for commission.

You send $10 and pay $20 for "logistics".

The irony is that Ethereum positions itself as a "platform for the masses". But at such prices, this is a platform only for crypto millionaires.

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Why so expensive?

1. Demand and supply. More users means higher cost. The network simply does not have time to process all the transactions.

2. Complexity of smart contracts. The more code, the more expensive it is to run.

3. Miners want to make money. They choose the most generous transactions, so you have to pay more to keep your tokens from getting stuck in the queue.

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Ethereum 2.0 and hope for the future

The move to Proof-of-Stake was supposed to solve these problems. In theory, Eth 2.0 reduces network load and fees. But has something fundamentally changed?

Yes, transactions have become "greener". Energy consumption fell by 99%.

No, commissions remain high. Because the main problem is scalability, and its solution is still waiting for its time.

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Is there an alternative?

1. Layer 2 solution. Arbitrum$ARB , Optimism$OP and Polygon offer cheaper transactions, but this is an added complication for beginners.

2. Competitors. Solana, Avalanche and Cardano promise "low fees and speed". But whether they will withstand the load if they become popular is a question.

3. Just buy less tokens. If you only need to "hold", commissions will not bother you.

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Why buy ETH anyway?

1. The King of DeFi. 70% of all decentralized applications run on Ethereum.

2. NFT boom. Even with the high fees, most NFT marketplaces hold their own here.

3. The value of the network. Despite all its shortcomings, Ethereum remains a major platform for developers and investors.