> For the complete documentation index, see [llms.txt](https://gaya-blockchain.gitbook.io/gaya-blockchain/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://gaya-blockchain.gitbook.io/gaya-blockchain/gayacoin/gas-fee-and-transactions-speed.md).

# Gas Fee & Transactions Speed

GAYA implements a dynamic gas fee mechanism inspired by Ethereum’s EIP-1559 to ensure affordability and network efficiency.

1. Dynamic Pricing: Gas fees are recalculated per block based on network congestion, ensuring efficient resource allocation during peak periods.<br>
2. Base Fee + Tip Model: Fees are calculated as:

Total Gas Fee = (Base Fee+Tip) × Gas Used

* Base Fee: Dynamically adjusted per block based on demand.
* Tip: Optional additional fee users can include to prioritize their transactions.

Example Calculation:

* Base Fee = 0.004 GayaCoins
* Tip = 0.001 GayaCoins
* Gas Used = 21,000

Total Gas Fee = (0.004 + 0.001) × 21,000 = 0.105 GayaCoins

\
GAYA’s blockchain architecture is designed for high throughput and low latency, ensuring optimal performance under varying network loads.

1. Transactions Per Second (TPS): GAYA supports up to 3,500 TPS in its initial deployment, with the capability to scale further using sharding and modular upgrades.<br>
2. Consensus Finality: Blocks achieve finality in 3-5 seconds, minimizing latency and providing users with rapid transaction confirmations.<br>
3. Optimized Throughput: Advanced techniques like adaptive block sizing and parallel transaction processing enable sustained performance even during high demand.

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