Gwei

Gwei is a denomination of Cryptocurrency used in the Ethereum network, representing one billion (109) Wei. It is primarily used to measure gas prices, which are fees required to conduct transactions or execute contracts on the Ethereum Blockchain.

For example:

  • If the gas price is set at 20 Gwei, it means that the transaction fee will be 20 billion Wei.
  • A transaction that requires 21,000 gas units at a price of 30 Gwei would cost 0.00063 ETH (21,000 gas * 30 Gwei = 630,000 Gwei = 0.00063 ETH).

Gwei is commonly used by users and miners to communicate transaction costs and prioritize transactions on the Ethereum network.