GalaChain Proposes New Transaction Fee Structure for Gala Channels
Timothy Morano Aug 30, 2024 03:25
GalaChain introduces a new transaction fee system to enhance sustainability and autonomy for channel creators, according to Gala News.
A new governance proposal has been introduced by GalaChain, aiming to implement a new transaction fee system for its core channels. This initiative, as reported by Gala News, seeks to enhance the sustainability of the GalaChain ecosystem while offering lower fees compared to other blockchains.
Lower Transaction Fees
The new fee structure will significantly reduce the costs associated with minting and transferring items. For instance, while transferring a token on Ethereum might cost over $2, the same transaction on GalaChain would cost only 2-4 cents, depending on the current value of $GALA. This predictable and stable fee system is expected to be well-received by the GalaChain community.
Batch Transactions
GalaChain allows for large-scale batch transactions, such as mass minting of tokens, with a single fee. For example, minting 200 NFTs on Ethereum would cost around $400 in gas fees. On GalaChain, the same operation would require only 1 $GALA, demonstrating the chain’s cost-effectiveness.
Autonomy for Third-Party Channels
The proposed fee structure will apply only to Gala’s basic asset channel, leaving third-party channel operators free to set their own fee models. This ensures that independent operators can maintain control and flexibility over their economic strategies.
Incentives and Ecosystem Benefits
The new fee system includes several incentives:
- Channel Founder Incentives: Founders can set fees for their channels, receiving a portion of the collected fees.
- Node Operator Incentives: A share of transaction fees will be allocated to node operators, rewarding their role in maintaining the network.
- Referral Incentive: A portion of $GALA burned as gas fees will be rewarded to referrers.
- Prevention of Abuse: The fee system aims to discourage abuse by increasing costs for high-volume transactions.
Implementation and Voting
The proposal is currently up for a governance vote among Founder’s Node operators. If approved, the new fee structure will be implemented immediately. The voting period is one week, requiring a simple majority (51%) for approval. Each Founder’s Node gets one vote to decide whether the new fee system should be adopted to support the long-term health of the Gala ecosystem.
This proposal marks a significant step towards improving the efficiency, security, and sustainability of GalaChain. It also provides additional incentives for channel founders and node operators, which could contribute positively to the ecosystem’s long-term health.
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