The gas charge on the Ethereum network has risen to a new multi-month high amid a rising meme coin craze. The high transaction fee has multiplied Ethereum’s daily earnings in comparison to Bitcoin (BTC). While Ethereum supporters applauded the increase in revenue, many others were quick to point out the network’s rising congestion and the difficulty in executing transactions.
A wallet named “jaredfromsubway.eth” is sandwiching crypto traders, primarily those placing a wager on coins like Pepe and Chad. When an attack confines a user’s transaction between two transactions it is a sandwich attack. It is then manipulated to make money. This is accomplished by purchasing the same asset as the victim and then selling tokens to the victim in the same deal for a little higher price.
Independent Ethereum educator Anthony Sassano highlighted the network’s spike in daily fee revenue. He claimed that the second-largest blockchain has pulled in 28 times the revenue of Bitcoin. Ethereum layer-2 platforms such as Arbitrum One, have exceeded the BTC network regarding revenue per day due to the continuing meme craze.
Instead of Ether (ETH), Wrapped Ether WETH, and Tether USDT (USDT), meme coins such as TROLL, APED, and BOBO were among the top ten spenders in the top ten gas-burning altcoins. Santiment Network updated about this change on Twitter. These meme currencies have no fundamental value and became popular with Twitter degens virtually overnight, with the tokens skyrocketing over 10,000%.
The average gas price for Ethereum transactions as of April 19 was 81.94 gwei. This was up from 60.82 gwei on April 18 and 44.42 gwei last year. Showing an increase of 34.74% from April 18 and 84.46% from April 19, 2022. Gwei is a denomination of the Ether and represents one billionth of one ETH.
The fundamental argument of Ethereum supporters is that the high gas charge and associated more considerable income show the network’s expanding utility. Many on Twitter, however, quickly pointed out that the widespread usage they are referring to is only a few thousand individuals wagering on meme coins. Some customers apparently spent hundreds of dollars in gas fees, while others grumbled about having to pay a more significant gas fee than the actual transaction.
Maximal Extractable Value (MEV) trading bot that is leading huge meme coin trades is another important cause of rising gas prices. The bot in question, jaredfromsubway.eth, has spent the most gas in the previous 24 hours. It consumes around 455 ETH ($950,000) and 7% of the network’s total gas. It spent over 3,720 ETH ($7 million) on petrol fees in the previous two months and processed over 180,000 transactions.
