Ethereum gas fees costs more than Bitcoin’s fees and has got supporters complaining bitterly. Ethereum gas that averaged $15.13 on the 2nd of September has been declining eversince stopping at $3.43, according to reports from Token View charts.
At that cost, Bitcoin network that averaged $2.75 still cost less than ethereum fees on the 6th of September. The highest average daily fee on the Bitcoin network of $5.31 was recorded on September 4.
In the meantime, the Token View charts also seem to support the notion that the start of the Defi boom coincided with the spike in Ethereum gas fees. For example, between early June and July 19, daily average gas fees stayed under one dollar with the exception of June 6 when they topped $4.11. However, from July 20 onwards, the daily gas fee has averaged more than a dollar and is unlikely to return to levels below that anytime soon.
Despite Ethereum network fees consistently outpacing those on the Bitcoin network, supporters of ETH are not overly concerned. Justin Bons, founder and fund manager at Cyber Capital, believes higher gas fees can be solved, while those of the Bitcoin network cannot.
Bons explains his reasons as follows:
The big difference is that ETH is already at 6x the capacity of BTC with the intent to scale on-chain as much as possible, unlike BTC. ETH high fees are a problem to be solved, BTC high fees are its intended design.
Bons was asked by another Twitter user why anyone would buy “something with a problem that has to be solved versus others that already have low fees.”
In his response, Bons talks of the network effect and claims that “if ETH does not scale more in time it will lose this network effect to more competitive protocols.”
While Bons defends the high gas fees some organizations are contemplating leaving the network as a result. Ethereum developers and supporters insist the much delayed 2.0 upgrade will be the panacea to the network’s challenges.
This article is sourced from:https://news.bitcoin.com