CJ - Cryptocurrency Enthusiast
Ethereum (ETH), the world's second-largest cryptocurrency, has seen its gas fees hit an all-time low, marking a significant milestone for the network. Gas fees, the transaction costs associated with sending Ethereum, have fallen to an average of 8.8 gwei. This drop surpasses the previous low of 8.9 gwei recorded in January 2020.
Gas fees are measured in gwei, with one gwei equivalent to 0.000000001 ETH. This reduction in gas fees is primarily attributed to the widespread adoption of layer 2 crypto scaling solutions such as Optimism and Arbitrum. These solutions process transactions off the main Ethereum chain, alleviating congestion and reducing transaction costs.
Over the past year, the total value locked (TVL) in layer 2 networks has doubled, reaching an impressive $10.5 billion. In contrast, Ethereum's TVL has decreased by over 30% to $20 billion. This shift towards layer 2 blockchain scaling solutions has had a notable impact on gas fees.
Transaction volumes and active users on the Ethereum network have also decreased by approximately 20% over the past year. This decline in network activity, coupled with the adoption of layer 2 solutions, has resulted in reduced competition for block space and subsequently lower gas fees.
Moreover, Ethereum's supply has grown by nearly 30,000 ETH (equivalent to $47 million) in the last month. This increase can be attributed in part to lower network usage and fees, driven by layer 2 scaling solutions.
The implementation of EIP-1559 and Ethereum's transition to a proof-of-stake (PoS) consensus mechanism have further reduced Ethereum's inflation rate. Daily block rewards have dropped significantly from around 13,000 ETH to 1,700 ETH. This transition, combined with the burning of ETH in fees during periods of high network usage, has the potential to slow down supply growth and positively impact prices.
Despite the increase in supply, Ethereum's daily active addresses and on-chain transaction volume have remained relatively stable. Daily transactions have seen a 7% uptick, while on-chain volume has surged by 80% since the beginning of the year.
In summary, Ethereum's gas fees reaching an all-time low is a testament to the network's resilience and adaptability. The adoption of layer 2 secure cryptocurrency scaling solutions, along with significant changes in supply dynamics, continues to shape Ethereum's evolution in the ever-changing crypto landscape.
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Dear valued BC Bitcoin UK Clients,
I hope this email finds you well. We are reaching out to inform you of some significant changes to our services that directly impact our operations within the United Kingdom. Regrettably, due to the recent regulatory developments introduced by the Financial Conduct Authority (FCA) and the implementation of the new Financial Promotions Regime, BC Bitcoin is no longer able to offer our services to clients based in the UK. This very difficult decision is in compliance with the regulatory framework and ensures that we uphold the highest standards of transparency and legality. You can view the FCA publication here: https://www.fca.org.uk/publication/finalised-guidance/fg23-3.pdf As a result, we would like to inform you of the following changes and provide guidance on how to manage your assets with BC Bitcoin:
1. **Service Termination for UK Clients:**
BC Bitcoin will no longer be able to accept new purchase orders from clients residing in the United Kingdom.2. **Continued Operation Outside the UK:**
Despite the changes within the UK, BC Bitcoin will continue to operate outside of the UK as normal. Our services will remain unaffected for clients in other regions.3. **Withdrawal of Assets:**
For our UK clients holding assets with BC Bitcoin, we want to assure you that your assets are secure. You have the option to safely withdraw your assets or exchange them to GBP or EUR and subsequently withdraw. We have streamlined the withdrawal process to ensure convenience for our clients.4. **Conversion of Assets:**
To convert your Holdings to fiat please log in to your BC Bitcoin account and submit a sell order for the amount of coin you hold with us. During the process you will shown how much you will receive and asked the bank details you wish to receive payment to. In addition, you can request the conversion by emailing info@bcbitcoin.com from your registered email address. If you encounter any issues or require assistance, our customer support team is ready to help you throughout the process.5. **Withdrawal Procedure:**
To initiate a withdrawal, please email your request to info@bcbitcoin.com from your registered email address. You may be asked some security questions to verify your identity. If you encounter any issues or require assistance, our customer support team is ready to help you throughout the process. These changes are effective immediately, and we appreciate your understanding and cooperation during this transitional period. We understand that this may be an inconvenience for our UK clients, and we sincerely apologise for any disruption this may cause. Thank you for being a valued part of the BC Bitcoin community. We are committed to providing you with a seamless experience as we navigate through these regulatory changes. If you have any questions or concerns, please do not hesitate to reach out to our customer support team at info@bcbitcoin.com Kind Regards