Making transactions on the Ethereum blockchain could be expensive because of the existence of the NFT gas fees. But, what are they? If you are immersed in the world of blockchain and the NFT ecosystem, you may find it useful to know more about these kinds of fees, why they exist, how much they cost, and how you can reduce their prices when making an NFT transaction

Are you interested to know more about it? You can find all the answers in this article!

What is a gas fee NFT?

In simple words, gas fees are blockchain transaction costs. These fees happen when an individual needs to process a transaction on the blockchain. They exist to compensate blockchain miners for the ‘computational energy’ involved in making those transactions.

Usually, NFT gas fees are mentioned when talking about the Ethereum blockchain. For instance, when making transactions on the Ethereum blockchain, the gas fees need to be paid regardless of whether the transaction is successful or just an attempt. This means that if a person tries to mint an NFT on Ethereum but for whatever reason it fails, they still have to pay a significant amount of money in gas fees. The price goes between 5$ to more than $500. 

It must also be said that in the case of the NFTs ‘Otherdeeds’, their creators Yuga Labs have said that they are willing to refund gas fees if the transactions have a failed status.

How much are gas fees for NFT?

There is not an exact cost for gas fees as they vary depending on each transaction. But, if the miners consider the gas price does not meet the threshold power, they could decide to not continue with the transaction process. Therefore, it could be said that NFT gas fees are not only expensive but unpredictable. 

If we consider the formula used to calculate the gas fees of Ethereum, it is as the following:

Gas Units (limit) x (Base fee + Tip)

For example: 30,000 x (100 +20) = 3,600,000 gwei or 0.00360 ETH

To calculate the gas fees of Ethereum you can use Etherscan.io, this is an online tool that offers people an estimated calculation of the costs of gas fees involved in specific transactions or interactions on the Ethereum blockchain. On top of that, you can access the top 50 addresses that spend and consume the higher amount of gas. 

Why are nft gas fees so high?

NFT gas fees are subjected to supply and demand fluctuations that exist at the time. This means that the higher the demand, the higher the fee, and vice versa. This volatility makes traders have to face really high gas prices if they do not apply some tips to avoid these costs.

¿Do you want to know what these tips are? You can find them in the following section.

Is it possible to sell NFT without gas fees? 

There are ways to reduce the number of gas fees involved in a transaction of digital assets. For instance, in order to face the drawback of volatility involving the price of these transaction fees, some other marketplaces and platforms have emerged and launched low-cost (or even free) gas fees transactions. Some of these platforms are the following.

Polygon

People using this platform will need to pay gas fees but the rate is much lower than the required to pay in the Ethereum blockchain. This is because Polygon is a layer 2 solution, meaning that it is a secondary framework, built on top of the Ethereum network to solve the transaction speed and scaling difficulties of the Ethereum blockchain. This allows transactions to be processed faster and gas fees to be lower.

Mintology

This is a new product created by the NFT marketplace ‘Mintable’. It offers different tools and services that people can use to launch NFTs without requiring them to pay gas fees. Instead, users who want to mint NFTs can choose between paying a subscription plan that costs around $1 per mint or choosing the plan ‘pay-as-you-go’ that has a cost of $2 per mint approximately. This is why it is known as the first gasless minting API in the world. 

Kraken NFT

This is an NFT marketplace that in early May of 2022, it was announced that people can apply for the waiting list for this  ‘soon-to-be-launched’ platform. It intends to have zero gas fees when transferring and selling Kraken NFTs within the platform. However, there are going to be gas fees charged when transferring these NFTs to external platforms. 

In G4AL we have created our own sidechain with the blockchain Polygon called G4AL Launcher, so users can benefit from lower gas fee costs and faster transactions when making token and NFT exchanges. Sign up to get all the updates on the G4AL Engine launch.