Cosmos Hub to Adjust Network Fees Based on Usage

IconCryptoNewsTerminal Staff16 Jul, 2024

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Cosmos Hub to Adjust Network Fees Based on Usage

The Cosmos Hub is implementing a Fee Market Module in Gaia v18 that will introduce dynamic network fees based on usage and enable ATOM burning. Previously, the network charged a flat minimum fee regardless of activity, but now the base fee will be adjusted based on historical block activity. This change aims to improve network efficiency and stability by preventing spam and congestion during high-traffic periods. The module also includes an ATOM burning mechanism, where a portion of the collected fees will be used to reduce the total supply of ATOM tokens.