Avalanche's December Update Reduced Usage Fees by 75%
The recent upgrade aimed to make transactions cheaper on the Avalanche blockchain, leading to a significant drop in costs and an increase in usage.
Recently, the fees on the Avalanche blockchain have decreased by 75% on average following the successful implementation of the Avalanche9000 upgrade on December 16. Data sourced from Flipside shows a significant increase in transaction activity, with a growth of over 35%.
Prior to the upgrade, usage costs, colloquially termed as gas, had been considerably higher. Since the upgrade, Avalanche has witnessed a rise in monthly transaction averages to 354,691 per day. The platform features a unique multichain architecture comprising three chains-per the smart contracts, validator management, and asset transactions.
Notably, this upgrade has led to some significant changes:
- The minimal smart contract fee on the C-Chain dropped from 25 nAVAX to 1 nAVAX. (1 nAVAX = one billionth of AVAX)
- A heavy validator fee structure has been replaced by a monthly subscription rate ranging from 1 to 10 AVAX.
The strategic objective behind this upgrade was to enhance cost-effectiveness in utilizing Avalanche’s tech stack. As stated by Stephen Buttolph, the Chief Protocol Architect at Ava Labs, the initiative aims to lower operational costs across all levels.
