💸
Fees
In the BancChain, gas is a special unit that is used to track the consumption of resources during execution. gas is typically consumed when- ever read and writes are made to the store, but it can also be consumed if expensive computation needs to be done. It serves two main purposes: Make sure blocks are not consuming too many resources and will be finalised.
Prevent spam and abuse from the end-user. To this end, gas consumed during message execution is typically priced, resulting in a fee (fees = gas * gas-prices). fees generally have to be paid by the sender of the message. Note that the BancChain does not enforce gas pricing by default, as there may be other ways to prevent spam (e.g. bandwidth schemes). Still, most applications will implement fee mechanisms to prevent spam. This is done via the AnteHandler.
Formula - > Fee = Gas Price * Gas Wanted Fees are one of the main issues with networks that are on the mission to be the next “Go-to gateway” for executing interactions between people in a decentralised manner and still maintaining a low cost to do so. The validators in the network will be able to choose their wanted gas price in what they want as compensation for executing the transaction. Here we can clearly see that one issue arises, why wouldn't validators earn as much as possible? From this point of view we can establish two scenarios:
If validators increase the price too high in terms of dollars, people would most likely not be willing to pay those amounts and the usage and traffic in the network would decline.
If validators decrease the price too low the validators would not be compensated in the rightful amount of providing their services.
We believe that fees should not be disadvantageous for any validator or user by introducing a somewhat fixed fee system that is only paying a symbolic amount of coins (0.01$) no matter what the coin price in dollars equals to, enabling the possibility of processing thousands of transactions at lightning speed.
Last modified 5mo ago