Someone just transferred 74.6 million Synthetix Network Tokens (SNX)—worth just over $1 billion—on the Ethereum network and paid a transaction fee of only $7.54 to do so, according to blockchain explorer Etherscan.
74.6 million SNX moved for just $7.54. Image: Etherscan
The funds were transferred from a contract called “Synthetix: Reward Escrow.” Synthetix is a decentralized finance (DeFi) protocol for trading asset-pegged synthetic tokens on Ethereum. For example, a token might be pegged to the price of Tesla shares.
Notably, this might very well be one of the largest single crypto transactions to date. Last summer, a Bitcoin wallet came close to transferring $1 billion by moving 101,857 BTC—worth roughly $933 million at the time. On the other hand, that transaction would amount to nearly $4 billion if it was made at today’s prices.
$7 fee to transfer $1 Billion, in less than a minute, on a completely public trustless network. Just imagine what #Ethereum will be capable of in 10 years. https://t.co/5R8OiQujbD
While the SNX transaction is impressive by itself, Twitter users quickly pointed out that Ethereum transaction fees, nonetheless, are still a bit high for everyday use. A $7 fee becomes significantly move expensive if you only want to move a few dollars' worth of tokens.
The best part ethereum not fit for daily transactions right now.
Same fees for 1$ in transaction.
So u have to pay 7x for your orignal transfer amount.
As Decrypt reported last May, more than half of all Ethereum transactions were for less than $20, and 80% of transactions made were under $90. According to data scientist Alex Svanevik, co-founder of D5, this reflected how people use Ethereum in general.
55% of all ETH transactions are smaller than 0.1 ETH.
He explained that Ethereum is the network of choice for many DeFi projects that are focused on micro-transactions. Additionally, it is a popular hub for mining pools, gambling apps and exchanges.
However, since DeFi exploded around last September, Ethereum transaction fees skyrocketed. Just recently, they have surged by almost 400%, reigniting debates on whether Ethereum is suitable for mainstream adoption. Many projects are working on layer two scaling solutions—but they haven't proved to be a solution to the high fees just yet.
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
Coinbase will offer decentralized exchange trading for U.S. customers, the crypto exchange giant announced on Friday.
The feature will mean that new tokens previously only available via decentralized platforms will be available via Coinbase's mobile app. The feature won't be available for New York State-based users.
New digital coins and tokens are frequently minted—including via Coinbase's Base network—and the exchange said it wants to make them available more quickly on its app. The exchange...
CrediX’s team has grown increasingly quiet since hackers swiped $4.5 million worth of crypto from the decentralized finance protocol on Monday.
On Friday, blockchain security firm CertiK said on X that CrediX team “has disappeared,” noting that the protocol’s X is now inactive, and its website has been offline for four straight days.
An attacker bridged $4.5 million worth of crypto to Ethereum on Monday after the Sonic-based protocol was hacked, with the funds still spread across several wallets...
XRP Ledger’s Ethereum sidechain could lead to more experimentation within the network’s ecosystem, while potentially attracting fresh talent, according to Ripple CTO David Schwartz.
A lot of Ethereum-based applications are “just garbage,” but developers’ overarching focus on experimentation “is good,” and could benefit XRP Ledger, he told Decrypt in a recent interview.
“The XRP Ledger’s set of developers is not as big as I think it should be,” he said, attributing part of that to the fact that “...