How Do Different Consensus Mechanisms (PoW Vs. PoS) Influence Transaction Fee Volatility?
In Proof-of-Work (PoW), miners are heavily incentivized by fees to cover high operational costs, potentially leading to more aggressive fee bidding and volatility during congestion. In Proof-of-Stake (PoS), validators have lower operational costs, and the fee structure is often designed to be more predictable, as seen with Ethereum's EIP-1559.
PoS networks often have faster block times, which can also help clear the transaction backlog quicker.