Topic

Gas fees explained

By Joshua Baskin, founder · Reviewed October 30, 2026 · Sources

Quick fact 1
Gas measures the computing work a transaction needs on Ethereum. Fees are paid in ETH.
Source: ethereum.org, Ethereum gas and fees
Quick fact 2
Since the London upgrade, each block has a base fee that is burned, plus an optional tip for validators.
Source: ethereum.org, Ethereum gas and fees
Quick fact 3
A failed transaction still pays for the gas used before it failed.
Source: ethereum.org, Ethereum gas and fees

Where a gas fee comes from

Education only. Not investment advice. We do not pick coins.

The short lesson

A gas fee is what you pay the network to process a transaction. On Ethereum it's paid in ETH and often shown in gwei, one-billionth of an ETH.

The fee depends on two things: how much work your action takes, and how busy the network is. A simple send costs less than a complex smart contract action. When lots of people use the network at once, fees rise.

Practical points:

You need the network's coin. To move a token on Ethereum, you also need some ETH for gas.
Failed transactions can still cost gas.
Fees are not refundable, even if you sent to the wrong address.
Anyone asking you to pay a "gas fee" to unlock a prize or withdrawal is almost always running a scam.

Lesson game · earn XP

Check yourself: 3 quick questions

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Common questions

Why are gas fees so high sometimes?

The network is busy, so people bid more to get included sooner.

Is a gas fee the same as an exchange fee?

No. Gas goes to the network. Exchanges may charge their own fees on top.

Reviewed and sources

Written and reviewed by Joshua Baskin, founder. Last reviewed October 30, 2026. How we check facts · Report an error

ethereum.org, Ethereum gas and fees