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What Is the Concept of a “Gas Fee” and How Does It Impact Yield Farming Profitability?

A gas fee is the cost required to execute a transaction or a smart contract function on a blockchain, typically paid in the network's native currency (e.g. Ether).

High gas fees, especially during network congestion, can significantly reduce the net profitability of yield farming, particularly for small-scale participants or frequent transactions.

What Is the Impact of Transaction Costs on the Break-Even Point?
What Is a “Gas Fee” and How Is It Related to Transaction Nonces?
How Does the Concept of ‘Time Decay’ Impact OTM Options versus ITM Options?
How Does Increasing Transaction Fees Affect a Miner’s Revenue When Difficulty Is High?