#Ethereum #gasfees #BinanceAlphaAlert
Ethereum's L1 network has increased its gas limit by 20%, potentially reducing transaction fees by 10-30% due to a consensus among validators. According to PANews, Ethereum's Layer 1 (L1) network has recently undergone a dynamic adjustment to its block gas limit, increasing it from 30 million to 36 million.
📝 WHAT TO KNOW
🔹Ethereum's capacity to handle transactions was enhanced as validators agreed to increase the gas limit to nearly 32 million units.
🔹This marked the first significant adjustment since late 2021 and the first in the post-Merge era.
🔹This increase was automatically implemented after over half of the validators signaled support without needing a hard fork.
🔹A higher gas limit could increase the utility of the Ethereum network, potentially boosting investor interest in ETH, which has seen a decline in value relative to bitcoin.
The Ethereum network’s capacity to handle more transactions increased further late Monday as validators agreed on a gas limit increase for the first time since late 2021, also the first time in the network’s Merge era.
The gas limit on Ethereum reached nearly 32 million gas units as of Tuesday morning with a maximum expected capacity of 36 million units. The last significant increase was in 2021, when the limit jumped from 15 million to 30 million gas units.
