Institution Metrics (Time Series)

EIP1559 Tx Cnt

Definition

The sum count of transactions that have natively adopted EIP-1559 features by featuring a Base Fee and Miner Tip.

EIP1559 introduced a host of changes to Ethereum's fee mechanism. While this proposal was implemented as a hard fork, not all wallets have adopted this new transaction type upon activation.

Transactions that are EIP1559-compliant have two portions: a Miner Tip and a Base Fee. Miner Tips represent the portion of the total transaction fees that rewards miners. This serves as an optinal incentive mechanism for miners to prioritize transactions that have opted-in and paid a tip. Base Fees, on the other hand, are mandatory and represent the minimum amount needed to be paid for a transaction to be included in a block. After inclusion, the Base Fee is effectively taken out of circulation, and it is burnt (destroyed).

Name

MetricID

Category

Subcategory

Type

Unit

Interval

EIP1559 Tx Cnt

TxEIP1559Cnt

Transactions

Transactions

Sum

Transactions

1 day

Details

  • EIP1559 was a highly anticipated proposal that changes how transaction fees are priced in Ethereum, as well as the dynamics of block sizes.

  • The proposal activated on the Ethereum Network in August of 2021 and marks one of the biggest changes in monetary policy in the history of cryptoassets.

  • Instead of the legacy gas price, 1559 splits transaction fees into two distinct fields: a Base Fee and an optional Tip (also known as a Priority Fee).

  • This metric calculates the total number of native EIP-1559 transactions that have occurred in the network over the measuring period (e.g. 1 day).

  • For a thorough review of EIP1559 and the design of its pricing mechanism, please refer to this paper.

Interpretation

  • Not all wallets have implemented EIP-1559 upon activation, so this metric serves as a proxy for the native adoption of this new transaction type.

  • While all transactions must abide by EIP-1559 at the blockchain consensus layer (and at the very least carry a Base Fee), not all wallets have natively adopted this transaction fomat.

  • This metric serves a proxy to measure the native adoption of EIP1559 by wallets across the network.

  • The ratio of TxEIP1559Cnt and Tx Cnt provides a view of the adoption of 1559 natively, relative to all other transactiosn that have taken place in the network.

Release History

  • Released in the 5.0 release of NDP (August, 2021)

Availability for Assets