tl;dr
Changpeng Zhao (CZ), founder of Binance, has proposed significantly reducing gas fees on the Binance Smart Chain (BSC) to increase user activity. Currently, BSC gas fees, paid in BNB, vary with transaction speed and network congestion but are generally lower than Ethereum's fees. CZ suggested cuttin...
Changpeng Zhao (CZ), founder of Binance, has proposed significantly reducing Binance Smart Chain (BSC) gas fees to boost network activity. Currently, BSC gas fees, paid in BNB, vary based on transaction speed and network congestion, generally around 1–1.3 Gwei. CZ suggested cutting fees by 3 to 10 times but rejected eliminating them entirely to maintain network security and prevent spam, emphasizing the essential role of validators and builders.
The BSC gas fees depend on transaction complexity, size, and network congestion. For example, fast transactions (about 15 seconds) cost 1.3 Gwei (~$0.017), normal speeds (up to one minute) cost 1.1 Gwei (~$0.014), and slower transactions (up to three minutes) require about 1.0 Gwei (~$0.013). Historically, fees have fluctuated, sometimes spiking and impacting arbitrage traders.
Community reactions are mixed. Some users welcome lower gas fees as a catalyst to enhance decentralized finance (DeFi) and gaming sectors by making transactions more affordable. Others advocate maintaining the current fee structure to continue BNB token growth through fee burns, which support the ecosystem’s value.
Lowering gas fees is also seen as a potential driver for increased transaction volume and wider ecosystem expansion, as demonstrated by similar strategies on other blockchains. Tron founder Justin Sun, for instance, reduced fees and increased energy caps, leading to a surge in daily transactions and record-high revenues.
Ultimately, while CZ aims to reduce costs to stimulate activity on BSC, he balances this with protecting network integrity. By preserving gas fees at a lower rate rather than removing them, CZ’s approach strives to prevent network spam and reward validators, ensuring the blockchain remains secure and efficient.