What Are Velas Gas Fees?

Velas, launched in February 2020, is a blockchain platform positioned as the world’s fastest EVM blockchain, blending EVM familiarity with eBPF efficiency for scalable, secure dApps and smart contracts. This survey note delves into the specifics of Velas gas fees, exploring their mechanics, cost-effectiveness, and implications, based on available research and documentation.

Background on Velas and Its Ecosystem

Velas is part of Crypto Valley Zug, Switzerland, and aims to address blockchain scalability issues, offering features like instant finality (1.2 seconds) and a diverse ecosystem for DeFi, NFTs, and metaverse projects. Its native token, VLX, powers transactions, staking, and fees, with a current market price of approximately $0.006554 as of February 25, 2025 (CoinMarketCap – Velas).

The platform’s EVM compatibility means it supports Ethereum smart contracts, facilitating migration with minimal changes, while its hybrid architecture aims to combine Ethereum’s security with Solana-like speed. This context is crucial for understanding its gas fee structure, which is designed to be cost-effective.

Understanding Gas Fees in Blockchain Context

Gas fees are the costs associated with computational work on a blockchain, paid to validators or miners for processing transactions and smart contracts. In EVM-based chains like Ethereum, fees are calculated as:

Where:

• • Gas Used is the actual computational resources consumed, not exceeding the gas limit.

• • Gas Price is the cost per unit of gas, typically measured in Gwei (10^-9 ETH for Ethereum).

Velas, being EVM-compatible, likely follows a similar model, but with VLX as the fee currency, aiming for lower costs.

Mechanics of Velas Gas Fees

Research suggests Velas gas fees are paid in VLX, with documentation indicating a fee structure dependent on the transaction type. For instance, the FAQ on the official website mentions transfer fees visible in the explorer, suggesting variability based on the transferred amount (FAQ | Velas). However, for EVM-related operations, it’s likely calculated based on gas limits and prices, as seen in the EVM Bridge documentation mentioning “gas price, and gas limit collecting” (EVM Bridge | Velas Docs).

An unexpected detail is the reported fee of $0.00001 per transaction, mentioned in both the white paper and an article from 2022 (White Paper | Velas Docs; How to Buy VLX — The Velas Token). Given VLX’s current price, this translates to approximately 0.001525 VLX per transaction at $0.006554, which seems plausible for simple transfers but may vary for complex smart contract executions.

The BitQuery explorer for Velas Mainnet shows gas cost analytics, including gas unit price in Gwei, suggesting Velas uses Gwei as a unit, potentially meaning 1 Gwei = 10^-9 VLX (Velas Mainnet Gas Cost and usage and other analytics). This implies:

• • For a gas limit of 21,000 (typical for a simple transfer) and a gas price of 73 Gwei, the fee would be 21,000 * 73 * 10^-9 VLX ≈ 0.001533 VLX, aligning with the $0.00001 figure at current prices.

However, exact gas prices vary, and the network’s design aims for fees to remain low, often cited as “mere fractions of a cent” (CoinMarketCap – Velas).

Comparison with Other Networks

To contextualize, Ethereum’s gas fees can range from a few dollars to tens of dollars during congestion, while Polygon, a Layer 2 solution, offers lower fees but still higher than Velas’s reported costs. Solana, known for low fees, is comparable, but Velas’s EVM compatibility adds value for Ethereum developers. This comparison highlights Velas’s position as a cost-effective alternative, especially for dApp developers seeking scalability without high fees.

Practical Implications and User Experience

For users, low gas fees mean affordable interactions, such as token transfers or dApp usage, potentially increasing adoption. For developers, the cost-effectiveness encourages building on Velas, with EVM compatibility easing migration from Ethereum. The platform also offers faucets for initial VLX gas, aiding new users (How do I get my first gas fee? (Faucet) – Wavelength).

Challenges and Considerations

While the low fees are a significant advantage, the exact calculation can be complex, with potential variability based on network congestion or transaction type. The reported $0.00001 fee may not hold for all operations, especially smart contracts, and users should check the explorer for real-time fees. Additionally, the use of Gwei as a unit might confuse users familiar with Ethereum, given VLX’s lower value.

Conclusion

Velas gas fees, paid in VLX, are designed to be extremely low, often a fraction of a cent per transaction, leveraging the platform’s efficient architecture and high throughput. This makes Velas a compelling choice for cost-sensitive users and developers, particularly those in the Ethereum ecosystem, with ongoing research suggesting continued focus on affordability and scalability.

This table summarizes key aspects, reflecting the research’s findings and the platform’s design for low-cost operations.