Gas (Ethereum)
A unit measuring the computational effort required to execute transactions or smart contracts on Ethereum.
What is Gas (Ethereum)?
Gas is a unit that quantifies the computational work needed to process transactions or execute smart contracts on the Ethereum blockchain. Each operation in the Ethereum Virtual Machine (EVM), such as transferring ETH or running a smart contract, consumes a specific amount of gas. Users pay for gas in Ether (ETH), with the total cost determined by the gas limit (the maximum gas a transaction can use) and the gas price (the amount of ETH per gas unit). Gas ensures network resources are allocated efficiently and prevents spam or infinite loops.
Related Terms
Financial Inclusion
Access to affordable financial services for underserved populations via digital means.
Oracle (Prediction Market)
A trusted source that provides off-chain data to resolve the outcome of a prediction market contract on a blockchain.
Ethereum Wallet
A software or hardware tool that manages Ethereum accounts, enabling users to store, send, and receive ETH or tokens.
Genesis Block
The initial block in a blockchain that establishes the foundation of the network and its digital asset.
APR (Lending)
The annualized percentage rate of interest earned or paid in DeFi lending, excluding compounding.
ETF
Exchange-Traded Funds that hold baskets of assets and trade on stock exchanges, providing regulated exposure to digital assets.