Ethereum’s mainnet is experiencing one of its most efficient growth phases ever, with Layer 1 transactions and active addresses reaching all-time highs, even as gas fees remain near their lowest levels in history, according to data from Token Terminal.
Transaction Activity Surges
The latest data shows Ethereum processing over 2.5 million transactions per day, surpassing previous records set during the 2021 DeFi boom and 2024 NFT resurgence. Daily active addresses are also at their highest on record, reflecting broad network engagement across decentralized finance, gaming, and tokenized asset activity.
The increase in transaction throughput demonstrates how Ethereum’s Layer 2 scaling ecosystem and recent efficiency upgrades have improved the base layer’s overall capacity. Unlike in past cycles, where heavy on-chain usage drove transaction costs to unsustainable levels, the network is now handling peak activity while keeping fees stable.
Gas Fees at Multi-Year Lows
In stark contrast to 2021, when gas fees often exceeded $100 per transaction during congestion spikes, current data shows average gas costs hovering close to historical lows. Token Terminal’s metrics reveal that daily gas fee revenue remains below $50 million despite record-high activity.
This balance between throughput and affordability reflects the success of Ethereum’s EIP-4844 (Proto-Danksharding) implementation and the rapid adoption of Layer 2 rollups like Base, Arbitrum, and Optimism. These technologies have shifted the bulk of smaller transactions and smart contract operations off-chain, freeing up mainnet capacity for larger institutional and high-value activity.
Institutional and Developer Momentum
The surge in network activity coincides with Ethereum’s expanding institutional footprint. Following the Ethereum Foundation’s launch of its “Ethereum for Institutions” initiative, major financial players are accelerating their adoption of Ethereum for tokenized securities, stablecoin issuance, and DeFi integrations.
Developers, meanwhile, are taking advantage of lower transaction costs and enhanced scalability to deploy a new wave of applications, from AI-integrated dApps to onchain financial infrastructure.
Outlook: Efficiency Driving Adoption
Ethereum’s ability to process more transactions at lower costs marks a pivotal turning point for the network. Analysts say this combination of record utility and minimized friction could accelerate the next phase of onchain financialization, drawing in both enterprises and retail users.
As activity continues to climb, Ethereum is reinforcing its position as the dominant global settlement layer — now faster, cheaper, and more scalable than ever before.
