Boba Network to Offer Lower Gas Fees on Ethereum via BOBA Token

The network has implemented single-token gas payments on its blockchain, allowing users to pay 25% less in gas fees if they use BOBA instead of ether.

AccessTimeIconMay 10, 2022 at 12:58 p.m. UTC
Updated May 10, 2022 at 1:28 p.m. UTC

Shaurya is an analyst/editor for CoinDesk's markets team in Asia.

Ethereum scaling solution Boba Network has implemented single-token gas payments on its blockchain in the form of its native BOBA token.

Boba will also provide a 25% discount for users that opt to pay in BOBA. This would allow the usage of BOBA as the fee token for all Boba services. Users will still have the option to use ETH for gas payments, however.

Boba Network scales Ethereum with fast transactions and fees up to 60x lower. It previously raised $45 million in a Series A round of funding at a valuation of $1.5 billion.

Layer 2 networks require users to hold two tokens — the native coin, along with some ETH for paying gas, or transaction, fees during the token-bridging process that links the network to Ethereum. Previously, only ETH was used for gas fees, with BOBA used for voting and delegating votes in the BobaDAO.

“Providing options to pay in BOBA and Ethereum is a layer 2 world first and a big win for Boba Network users,” explained Alan Chiu, founder of Boba Network, in a prepared statement.

“It also scales the native token to another level and adds even more utility to the network and the BOBA token. We’re not mandating BOBA over ETH – users can choose what suits them,” Chiu added.

In case users want to pay for transactions in BOBA but do not hold ether on Boba, they can select the “emergency swap” option that would allow for the purchase of ether with BOBA at market rates. This allows for quick access to the network without a lengthy setup process.


Read more about

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Shaurya is an analyst/editor for CoinDesk's markets team in Asia.

CoinDesk - Unknown

Shaurya is an analyst/editor for CoinDesk's markets team in Asia.

Trending

1
CoinDesk - Unknown
El Salvador Purchases 80 Additional Bitcoin at $19K, President Bukele Says

The last purchase by the Central American country had been in May.

CoinDesk - Unknown
2
CoinDesk - Unknown
VanEck Files New Application for Spot Bitcoin ETF

The application comes about eight months after the SEC rejected the investment firm’s last application.

CoinDesk - Unknown
3
CoinDesk - Unknown
First Mover Asia: Speculating on Tokenized Carbon Offsets Won't Help Climate Crisis, Says Consultant; BTC Falls Under $19K Amid Wider Crypto Woes

A significant number of carbon credits are from projects 8-10 years old; Ether and other major altcoins plummet.

CoinDesk - Unknown
4
CoinDesk - Unknown
Crypto Lender Celsius Network Exploring Options to ‘Preserve and Protect’ Assets

Celsius Network is consulting with experts to try to reduce the fallout from its mid-June swoon.

CoinDesk - Unknown