A16z 2024 State of Crypto Report | Eddy Lazzarin & Daren Matsuoka
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The Evolving Ethereum Fee Landscape
This chapter explores the dynamics of the Ethereum fee economy between 2021 and 2023, focusing on the impact of Layer 1 and Layer 2 fees and the significance of EIP 4844. It highlights the growing usage of Layer 2 solutions and the dramatic reductions in transaction costs, making blockchain transactions more efficient compared to traditional finance. The discussion also considers the implications of these changes for Ethereum's infrastructure and the need for scalability in accommodating future user growth.
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