In Algorand, fees are calculated based on the size of the transaction and a user can choose to augment a fee to help prioritize acceptance into a block when network traffic is high and blocks are consistently full. There is no concept of gas fees on Algorand.

The minimum fee for a transaction is only 1,000 microAlgos or .001 Algos.

Thus gas fees are non-existent, but a user can bribe the validator to add their transaction by increasing the transaction fee. So let us see how has Algorand Fee generation been.

How much fees in Algo has been generated since the start of 2022 ?

In the 6 months of 2022, Algorand has spent 400,000 ALGOs in transaction fees for a whopping 280 Million transactions.

How has the daily fees varied ?

• There are occasional spikes in fees
• Most of the days fees are steady with a slight downward trend.
• Fee generation has been on a down trend on all blockchains.
• The Bearish sentiment has seen the drop in activity
• We can see a local spike in transaction fees during the days of UST debacle.

What the top wallets that spend on fees ?

The first wallet has never paid any bribes, while the rest have paid bribes usually. Some users have underpaid the number of transactions too. However, the top 10 ends with 195 algorand (equivalent of 195,000 txs), which means activity on Algorand when compared to other L1s has been extremely low.

Algorand Assets are important cogs, just like ERC-20 for EVM chains and CW-20 for COSMWASM chains. What are the highest fee generating assets then ?

Planet Watch, the most popular Dapp on Algorand, its token is the most fee generating asset. This fee generation strongly aligns with the number of transactions and as PlanetWatch is a Oracle like Dapp for Weather around the world, transactions are in high volume.

DeFi primitives like USDT, USDC end up outside of Top5 suggesting, Algorand is a different blockchain to others.