ICON unveils New Transaction Fee System ‘Fee 2.0’

Greetings ICONists,

‘Fee 2.0’, the new transaction fee system of the ICON Network, has been published on the ICON Mainnet. Users can now access ICON DApp services more conveniently without paying transaction fees.

Previously, all DApp users were required to pay cryptocurrency fees starting from their initial uses of services. That meant that DApps could only be used by those holding a certain amount of cryptocurrency, and therefore presented a challenge in the sense that customers had to solely bear the burden of creating a wallet and buying cryptocurrency.

In order to solve this issue, ICON has designed the Fee 2.0 system in order to resolve this inconvenience and dramatically reduce the fees incurred in using and operating DApps. Fee 2.0 consists of two main components: ‘Fee Sharing’ and ‘Virtual Step’.

The Fee Sharing feature enables DApp service operators to have the choice to pay transaction fees on behalf of the service users. The Virtual Step feature enables DApp service operators to pay fees with the ‘Virtual Steps’ generated through an ICX staking process.

By using Fee 2.0 features (Fee Sharing and Virtual Step), the burden that transaction fees impose for both ICON DApp service users and operators are significantly reduced. Details of each feature are laid out in more detail down below.