The second-largest cryptocurrency in the world, Ethereum (ETH), has been the most active platform of this year. With the immense popularity of decentralized finance, the Ethereum network has also seen growing use, resulting in a steep increase in network fees, commonly referred to as gas.
While the Ethereum developers are still working on a solution to reduce the high gas fees, an ETH mining pool based in China has developed a tool that it claims can predict gas prices.
SparkPool, one of the biggest Chinese crypto mining pools, has developed GasNow, a system to forecast gas fees after the devs in the team saw a huge difference between the quoted gas fees from ETH Gas Station and the actual fees charged by the network.
This fuelled the development of GasNow on August 12.
According to “Uncle Meow”, the anonymous developer and product leader of Sparkpool, “There are two ways to calculate gas fees.”
“Most existing solutions calculate gas fees based on historical gas fee data. However, Sparkpool calculates gas fees based on our own mining pool’s pending transaction mempool, where all the valid transactions are waiting to be confirmed by the Ethereum network,” Uncle Meow explained.
The dev highlighted the benefits of leveraging pending-transaction data, which makes the calculation predictive rather than retrospective.
“Especially during the heyday of yield farming, timing was everything.” the dev added.
Upon successful in-house testing, the tool opened to the public and in no time the platform has been a huge hit, especially among those who are heavily into Yield farming.
At present, GasNow has 500w average API requests per day and more than 12,000 unique visitors.
As a mining pool, Sparkpool had access to the Ethereum network’s pending transaction data from all over the globe, and as a result, GasNow only took five hours to move from incubation to launch.
“We decided to release GasNow to the public because we believe that a more accurate gas fee would benefit the entire network. We, as mining pools, are inherently neutral and GasNow does not interfere with our existing business model,” the dev said.
Every mining pool has a goal of drawing in more hashrate to the network besides providing a stable, fair, and transparent reward distribution. Having a tool integrated to provide the most accurate gas fees was in line with this goal.
Roadmap for GasNow
As of now, GasNow is set to remain free to use for the public. The tool has already been integrated with popular Chinese crypto wallets like imToken, MYKEY, MathWallet, TokenPocket.
The dev team is currently fine-tuning the product and trying to increase the accuracy of the pending data queues.
The tool is also seeing an increased number of visitors from outside China, and hence the team is working to make sure there is a minimum delay of those foreign visits.