Complete Guide to Cryptocurrency Gas Fees: Essential Knowledge for Successful Blockchain Transactions

When conducting cryptocurrency transactions, the concept of “gas fees” is unavoidable. Understanding the mechanics of gas fees is crucial for successfully executing blockchain transactions. In this article, we will explain the essence of gas fees in cryptocurrency trading, measures to prevent failures, and practical management methods.

The Essence of Gas Fees: An Essential Cost Structure in Cryptocurrency Transactions

Gas fees (also called miner fees) are the rewards paid to miners or validators on the blockchain network for processing and confirming transactions. Just as a car needs gasoline to run, executing a cryptocurrency transaction requires paying gas fees.

Gas fees are determined by the following formula:

Gas Fee = Gas Price (Gwei) × Gas Used

An important point is the gas price set by the user. Setting a low gas price may result in miners prioritizing transactions with higher fees, leading to longer confirmation times or even non-processing. Gas used varies depending on the computational resources required for the transaction or smart contract execution.

Main Causes of Cryptocurrency Transaction Failures and Their Relationship to Gas Fees

A common issue faced by beginners is transaction failure due to insufficient gas fees. For example, if a user’s Ethereum wallet only holds stablecoins (USDT) and does not have ETH, attempting to swap USDT for ETH will fail because ETH (the cryptocurrency used to pay gas fees on the Ethereum network) is required for transaction fees.

Besides insufficient gas fees, other key factors causing transaction failures include:

Network Congestion: When the blockchain is heavily trafficked, transaction processing can take a long time. In such cases, setting a higher gas price can increase the likelihood of priority processing.

Rapid Changes in On-Chain State: The state of the blockchain can change unexpectedly. For example, if the token you are trying to transfer is spent in another transaction before your transaction is confirmed, your transaction will fail.

Insufficient Reserve: If your wallet does not have enough mainnet tokens (cryptocurrency) to cover both the transaction amount and the gas fees, the transaction will not be executed.

Types of Gas Fee Tokens Used on Different Blockchains

The tokens used to pay for gas fees vary across blockchains. The main networks and their corresponding gas tokens are as follows:

Most blockchains use their native tokens for gas payments. However, Layer 2 solutions like Arbitrum and Base may use different tokens. Additionally, some environments like Avalanche subnets have dedicated tokens for paying gas fees.

Practical Solutions to Gas Fee Shortages

If you face a gas fee shortage, there are several ways to address it. For example, if you want to swap USDT on the Tron chain but lack TRX (the gas token):

Method 1: Deposit Gas Tokens Directly

• Send the required token (e.g., TRX) from an exchange to your wallet address
• Ask a friend or acquaintance to send the token to you

Method 2: Use OTC/P2P Services

• Use integrated purchase features in your wallet app to buy gas tokens with fiat currency (yen, dollars, etc.)
• A quick way to resolve the issue

Practical Gas Fee Management Checklist

To ensure smooth cryptocurrency transactions, always check the following:

• Reserve at least 0.01 ETH worth of gas tokens (cryptocurrency) in your wallet besides the transaction amount
• Avoid times of network congestion (typically peak trading hours)
• Check market rates when setting the gas price and choose an appropriate value
• For unfamiliar transactions, try with a small amount first before executing the main transaction

Conclusion: Understanding Gas Fees Is Essential in Cryptocurrency Trading

Gas fees are the mechanism that supports cryptocurrency transactions on the blockchain, and understanding how they work is key to successful trading. Proper management of gas fees can minimize transaction failures and enable smooth asset transfers. From beginners to advanced users, developing a habit of regularly checking gas fees and your cryptocurrency balance will help create a safer and more efficient trading environment.