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Crypto-novice question: what's a "gas coin"?
by noneeeed 5y ago
Crypto-novice question: what's a "gas coin"?
- matheusmoreira 5y agoCurrency you use to pay for the execution of programs on the Ethereum Virtual Machine. Whenever you use a smart contract, you pay for it using these coins. For example, swapping ETH for some random scamcoin is a smart contract function call that costs ETH to run. Binance coin works the same way, except it uses BNB instead and is a lot cheaper due to the centralized validators.
- rfd4sgmk8u 5y agoEVM based chains, like Ethereum and Binance Smart Chain require a token to meter usage of smart contract calls.This is called 'gas'. Complex calls require more gas. The gas price (acting as a price auction on transaction priority) is denominated in the token of the chain. 'gas coin' in the scope of Binance Smart Chain would be BNB.
- riffraff 5y agoIt's the unit you use to pay for operations on the Ethereum blockchain, distinct from the eth token, to which it is related by a variable price based on supply/demand.