Is this the upgrade Ethereum’s fee model need?? Community members Kevin Owocki and Devansh Mehta have proposed a new dynamic fee model for the app layer. The idea? Use a square root function to make fees higher for smaller funding pools but taper off as project funding grows by ensuring fairness for small builders and scalability for larger apps. Fees would start proportionally higher for early projects (e.g., ~$170k funding = 7% fee) but cap at just 1% once a project exceeds $10M in funding. The goal is simple: help smaller devs thrive, boost growth incentives, and keep Ethereum economically competitive as networks like Solana attract more builders. This comes amid a broader push to rethink value capture as Ethereum faces shrinking fee revenues and growing competition.
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