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Fee Systems

Evolve chains have two layers of fees: execution fees (paid to process transactions) and DA fees (paid to post data).

Execution Fees

EVM (ev-reth)

Uses EIP-1559 fee model:

Transaction Fee = (Base Fee + Priority Fee) × Gas Used
Component Destination Purpose
Base Fee Burned (or redirected) Congestion pricing
Priority Fee Sequencer Incentive for inclusion

Base Fee Redirect

By default, base fees are burned. ev-reth can redirect them to a treasury:

{
  "config": {
    "evolve": {
      "baseFeeSink": "0xTREASURY",
      "baseFeeRedirectActivationHeight": 0
    }
  }
}

See Base Fee Redirect for details.

Cosmos SDK (ev-abci)

Uses standard Cosmos SDK fee model:

Transaction Fee = Gas Price × Gas Used

Configure minimum gas prices:

# app.toml
minimum-gas-prices = "0.025stake"

Fees go to the fee collector module and can be distributed via standard Cosmos mechanisms.

DA Fees

Both execution environments incur DA fees when blocks are posted to the DA layer.

Cost Factors

Factor Impact
Block size Linear cost increase
DA gas price Market-driven, varies
Batching Amortizes overhead
Compression Reduces data size

Who Pays?

The sequencer pays DA fees from their own funds. They recover costs through:

  • Priority fees from users
  • Base fee redirect (if configured)
  • External subsidy

Optimization Strategies

Lazy Aggregation

Only produce blocks when there are transactions:

node:
  lazy-aggregator: true
  lazy-block-time: 1s  # Max wait time

Reduces empty blocks and DA costs.

Batching

ev-node batches multiple blocks into single DA submissions:

da:
  batch-size-threshold: 100000  # bytes
  batch-max-delay: 5s

Compression

Enable blob compression:

da:
  compression: true

Fee Flow Diagram

User Transaction
      │
      │ Pays: Gas Price × Gas
      ▼
┌─────────────────┐
│    Sequencer    │
│                 │
│ Receives:       │
│ - Priority fees │
│ - Base fees*    │
└────────┬────────┘
         │
         │ Pays: DA fees
         ▼
┌─────────────────┐
│    DA Layer     │
│   (Celestia)    │
└─────────────────┘

* If base fee redirect is enabled

Estimating Costs

Execution Costs

EVM:

cast estimate --rpc-url http://localhost:8545 <CONTRACT> "transfer(address,uint256)" <TO> <AMOUNT>

Cosmos:

appd tx bank send <FROM> <TO> 1000stake --gas auto --gas-adjustment 1.3

DA Costs

Depends on:

  • DA layer pricing (e.g., Celestia gas price)
  • Data size per block
  • Submission frequency

Use the Celestia Gas Calculator for estimates.