Source: Wit Oszweski - Shutterstock
- Participants in the ConsitutionDAO crowdfunding effort reported high gas charges during refunds.
- Some users report that the gas charges gasoline on Ethereum were higher than the actual amount of their ETH donation.
A crypto-funded effort initiated by ConstitutionDAO to bid for a rare copy of the Constitution American fought last week with the highest bidder outbidding them after paying $ 47 million. Since then, people who participated in the decentralized crowdfunding efforts have started receiving reimbursements from ConstitutionDAO as promised.
The reimbursements amount to $ 40 million for 17,000 donors. However, it turns out that the refund process consumeslarge sums of fees, thus reducing the reimbursement amount. When contacted by the BBC, ConstitutionDAO said issuing refunds was his primary focus.
Interestingly, he later announced on his website that the project would be shut down despite being shut down. initial promise to continue. ConstitutionDAO noted :
Decentralized Autonomous Organization (DAO) ConstitutionDAO, has collected massive sums of money in Ethereum (ETH) to bid on one of the last 13 physical copies available from the US Constitution. The group had promised to keep this historic document “for the people”. However, it was outbid at the last moment by a private investor.
The fees representing up to half of the reimbursement
As we know, one of the most big problems with theEthereum blockchain has been high gas costs. , computer systems that facilitate transactions consume a large amount of gas according to the demand / supply equation.
Related : Ethereum founder Vitalik Buterin strongly supports Layer 2 solutions for implementation at scale
So depending on how busy the Ethereum network is, it can sometimes be more expensive to transact on the Ethereum blockchain. On its official Discord channel, ConstitutionDAO reported that the group had 17,437 donors with a median donation of $ 206.
So high gasoline charges on Ethereum mean small donors have been seriously affected by transaction fees. One Discord user said that in order to get a refund of $ 400, he was asked to pay $ 168 in essen fees.this. Others complained that the gas charge was actually more than the refund amount. “Wow, lessons learned, [Ethereum] is not good. Gas too high, "wrote a donor in the support channel.
Some delegates and senior officials at Discord said there was no direct solution to this problem. “We have reviewed and done everything in our power to come up with a gas-free refund option. However, there was nothing that could be put in place in a timely manner, ”one wrote. "The main goal was to provide a secure refund process as quickly as possible.
The Discord server administrator told users: "It 'was a very good call. , very difficult and we have all been in front of our computers for the last few days for every waking hour trying to find the less bad option. There was no solution thatplease everyone. "