The Neo Council has approved a reduction in network and system fees on the Neo N3 MainNet. The adjustment is aimed at making the blockchain more cost-effective and efficient, responding to feedback from ecosystem projects.

Fee reductions

The updated fee structure includes the following changes:

  • Execution fee factor: Reduced from 3 to 1
  • Storage fee factor: Reduced from 10,000 to 1,000
  • Network fee per byte: Lowered from 0.000001 GAS to 0.0000002 GAS

With these changes, a simple GAS transaction that previously cost 0.01121327 GAS in fees will now cost just 0.002537974 GAS, making such transactions nearly five times cheaper.

Decision process and governance

Adjusting fees on the Neo blockchain requires a vote from the Neo Council, a 21-member governance body elected by NEO holders. For changes to be enacted, the council must generate a multisig transaction, which becomes valid once 11 signatures are collected.

The multisig transactions related to this fee reduction can be found below:

Future network upgrades

Alongside the fee reductions, Neo noted that the Core Developer group is actively working on major upgrades intended to enhance network performance. These improvements are designed to strengthen Neo’s competitive position within the expanding Layer 1 and Layer 2 blockchain ecosystem.

The original announcement can be found at the link below:
https://neo.org/blog/details/4318

Tags: ,