Ethereum is witnessing unprecedented usage levels, with monthly transactions and unique active addresses reaching record highs as of September 2025. Despite this surge, transaction fees have plummeted, with median and average fees near cycle lows. This phenomenon is largely due to the increased adoption of Layer 2 solutions, which handle more data without impacting Layer 1 fees.
The network's revenue from base-fee burns and tips has decreased compared to previous years, as Ethereum's value increasingly stems from its role as a neutral settlement layer prioritizing security and efficiency. The Dencun upgrade in March 2024 has shifted pricing dynamics, favoring tips over congestion-driven base fees. Ethereum's focus remains on maintaining efficiency, with high transaction volumes and user activity occurring at reduced costs.
Ethereum Usage Soars as Transaction Fees Hit Cycle Lows
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