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Avalanche $AVAX , a decentralized finance (DeFi) focused smart contract blockchain, saw a significant decrease in transaction costs following its December 16th upgrade, known as Avalanche 9,000. This upgrade has successfully reduced usage fees by approximately 75%, making it more affordable for users. Data from Flipside and Bitquery reveals that since the upgrade, the number of transactions on Avalanche has increased by 38%, reaching an average of 354,691 transactions per day. This surge in activity indicates the impact of lower fees in encouraging more usage of the blockchain. The upgrade, which was a part of a broader set of improvements, introduced several key changes to the Avalanche network. Among them was ACP 125, a proposal that lowered the base fee for running smart contracts. This upgrade is a major step forward for Avalanche in its mission to create a scalable and efficient blockchain platform, potentially strengthening its position as a leading player in the smart contract space. These changes are designed to make Avalanche more cost-effective and accessible, especially for developers looking to build decentralized applications (dApps) and smart contracts. “[This latest upgrade] focuses on making every component of the Avalanche tech stack cheaper. From reducing C-Chain fees to removing capital requirements for L1 validators, every user of Avalanche should experience reduced costs,” Ava Labs Chief Protocol Architect Stephen Buttolph had told Decrypt previously.

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