Ethereum Gas Fees Plummet to Five-Year Low Amid Layer-2 Surge

Ethereum's gas fees have plummeted to a five-year low of just 1.9 gwei, according to recent data from Dune Analytics.

This represents a staggering 98% drop from March's year-to-date high of 83.1 gwei, marking the lowest median gas fees since mid-2019.

The decrease is largely attributed to the Dencun upgrade in March, which introduced data blobs, or proto-danksharding, with the goal of reducing transaction costs for layer-2 blockchains.

As a result, layer-2 networks such as Arbitrum and Taiko have seen a significant surge in activity, processing 97 million transactions in the past month alone.