Initial Proposal: Reducing Cronos Mainnet Minimum Base Fee by 90% #1819
lezzokafka
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Ideas
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What are the consequences for staking? Validators are, as far as I understand, paid by the gas fees and will earn less by this proposal. This must have consequences for the staking APY. On the other hand, Cronos will probably attract more builders and demand, increasing the CRO price... |
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Abstract
In response to community feedback and the ongoing evolution of the blockchain network, one of the key parameters the Cronos team has been monitoring is the base transaction fee, which is a primary factor in the cost of executing transactions on the Cronos EVM Chain. With this in mind, we propose an update to the "fee market" parameters:
min_gas_price
from3,750
gwei to375
gweiIn short, this will establish a lower floor value for the transaction "base fee", effectively reducing the transaction fee by up to 90%.
Technical details
Cronos employs a fee market module that incorporates a dynamic fee structure. The transaction base fee for the next block is dynamically calculated at each block, depending on overall network utilization.
Specifically, this fee market module and formula was designed to calculate the base fee at each block is similar to EIP-1559. As a result, transaction fees will rise when the network is busy and reduced when there is excess capacity.
Proposed changes
On a technical side, we suggest updating the following network parameter:
min_gas_price
from3,750
gwei to375
gwei , for example, the changes goes:In particular, this change will effectively reduce the lower bound of the base transaction fee by up to 90%, which allows a lower floor value of the base fee to be reached and effectively reducing the transaction fee by up to 90% when the network is not busy. This proposed change is intended to foster network activity with a reasonable and competitive base transaction fee while ensuring automatic adjustment of transaction fees in response to traffic variations.
Testing
The proposed change has been tested in internal testnets and will be tested on the Cronos testnet to ensure that the expected outcomes are achieved before moving it to Cronos EVM mainnet.
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