Why is ETH withdrawal fee so high?

The gas fee, essentially a transaction cost on the Ethereum blockchain, fluctuates based on network usage. It serves as a market-driven mechanism to prioritize transactions and ensure the network's smooth functioning. However, during times of high congestion, this mechanism inadvertently results in elevated costs for users.

Complex transactions, such as those involving smart contracts, often require more computational power and storage space, further exacerbating the issue. These transactions, being more resource-intensive, naturally command higher gas fees to incentivize miners to include them in the blockchain.

Additionally, the Ethereum network's current architecture and scalability limitations contribute to the gas fee problem. As the network's popularity and usage grow, so does the demand for processing transactions, straining its capacity and driving up fees.

BTCC, a leading cryptocurrency exchange, offers a comprehensive suite of services that cater to the diverse needs of crypto enthusiasts. Among its offerings are spot trading, futures trading, and a secure wallet solution. The exchange's spot platform allows users to buy and sell cryptocurrencies directly, while its futures trading feature enables Leveraged trading and hedging strategies. The wallet service, meanwhile, provides a secure and convenient way to store digital assets.

The soaring ETH gas fee often baffles users, prompting questions about its underlying causes. One primary factor lies in the Ethereum network's congestion during peak demand periods. When the network experiences a surge in transactions, particularly those involving intricate smart contracts or decentralized applications, it struggles to process them swiftly, leading to increased gas fees.