📝CRYPTO CLASS
What Is An Ethereum Gas Fee?
On the Ethereum blockchain, every action like sending ETH or interacting with a smart contract requires computational work by the network. To perform this work, you need to pay a fee. This is called a gas fee.
Think of gas as the fuel needed to power any transaction or smart contract on Ethereum.
The gas fee is how much ETH (Ethereum's currency) you pay to the network to execute that action.
🔧 Real-Life Analogy: A Car on a Toll Road
Imagine you’re driving a car on a toll road:
The car = your transaction.
The road = the Ethereum network.
Gas = the fuel needed for your car to travel.
Toll = the fee you pay to use the road (like paying miners to process your transaction).
The longer or more complex the journey (e.g. more smart contract steps), the more fuel (gas) your car needs. Also, during rush hour, the tolls may increase this is like Ethereum gas prices rising when the network is busy.
🧮 Let's Break Down the Gas Fee
Ethereum gas fees are calculated like this:
Gas Fee = Gas Units × Gas Price
Gas Units: Amount of computational work required (fixed for most tasks).
Gas Price: How much you're willing to pay per unit of gas (can change depending on network congestion).
