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Gas measures the computational work required by an Ethereum transaction. The final fee combines the gas used with the network’s price per unit of gas and is paid in ETH.

Base fee, tip, and gas used

Ethereum’s protocol sets a base fee that changes with block demand. A sender may also add a priority fee, or tip, to encourage faster inclusion. A simple ETH transfer normally requires less gas than a complex smart-contract interaction.

Wallets usually estimate these values and show a maximum cost. Any unused portion of the gas limit is returned, but work already performed by the network can still be charged if contract execution fails.

Gas used and gas price are separate

Gas units measure computational work. The price paid for each unit reflects network conditions and fee settings, so total cost depends on both values.

Ways users manage costs

Fees can be lower when network demand is lower. Layer 2 networks also process transactions outside Ethereum Mainnet and settle results back to it, often reducing the cost per user.

Before signing, check the selected network, the fee estimate, and the action being requested. Gas is separate from any trading, bridge, or service fee charged by an application.

A failed transaction can still consume gas

Validators may perform computation before a transaction reverts. The intended state change fails, but the work already performed can still require a fee.

Sources

  1. Ethereum.org — Gas and fees
  2. Ethereum.org — Network fees