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  5. Gas Fees

Gas Fees

Definition

Gas Fees are small blockchain network fees (e.g., MATIC on Polygon) required to process transactions.

What Are Gas Fees?

Gas fees compensate network validators for:

  • Processing your transaction
  • Recording it on the blockchain
  • Securing the network

Think of it like a postal stamp - required to send your transaction.

Polygon Gas Fees

On Polymarket (Polygon network):

  • Typical cost: $0.01 - $0.10 per transaction
  • Paid in: MATIC tokens
  • Speed: Transactions confirm in seconds
  • Much cheaper than Ethereum mainnet ($1-50+)

Gas Fee Components

Gas Limit

Maximum computation you're willing to pay for:

  • Simple trades: ~150,000 gas
  • Complex operations: 300,000+ gas
  • Unused gas is refunded

Gas Price

How much you pay per unit of gas:

  • Measured in: Gwei (billionth of MATIC)
  • Set by: Network congestion
  • Higher price = faster processing

Total Fee Calculation

Total Fee = Gas Limit × Gas Price

Example:

  • Gas Limit: 150,000
  • Gas Price: 50 Gwei
  • Total: ~0.0075 MATIC (~$0.01)

When You Pay Gas

Every Transaction

  • Buying shares
  • Selling shares
  • Approving contracts (one-time)
  • Claiming payouts
  • Canceling orders

MetaMask Shows

  • Estimated fee before signing
  • Maximum possible cost
  • Current network conditions

Managing Gas Costs

Keep MATIC Balance

  • Maintain $2-5 worth of MATIC
  • Automatically deducted
  • Buy on exchanges (Coinbase, Kraken)
  • Get from faucets (small amounts)

Timing

  • Lower fees: Off-peak hours
  • Higher fees: High network activity
  • Check: gas trackers (polygonscan.com)

Batching

  • Combine multiple trades
  • Fewer transactions = less total gas
  • Some platforms offer batching

Getting MATIC

From Exchanges

  1. Buy MATIC on Coinbase/Kraken
  2. Withdraw to Polygon network
  3. Send to your wallet address
  4. Use for gas fees

Faucets (Free Small Amounts)

  • Search "Polygon MATIC faucet"
  • Get ~$0.10-0.50 free
  • Enough for 5-50 transactions
  • May require social verification

Bridges

  • Bridge from Ethereum mainnet
  • Use official Polygon Bridge
  • May have minimum amounts

Gas vs Trading Fees

Different types of fees:

| Type | Amount | Purpose | Goes To | |------|--------|---------|---------| | Gas Fee | $0.01-0.10 | Network operation | Validators | | Trading Fee | ~2% of trade | Platform revenue | Polymarket |

Common Issues

"Insufficient Funds for Gas"

Solution:

  • Get more MATIC in wallet
  • Check you're on Polygon network
  • Ensure MATIC balance visible

"Transaction Failed"

Solutions:

  • Increase gas limit 10-20%
  • Wait for lower congestion
  • Check USDC approval status

"Gas Price Too Low"

Solution:

  • Let MetaMask auto-set
  • Manually increase slightly
  • Wait for network to clear

Advanced: Gas Optimization

Contract Approval

  • One-time: Approve USDC spending
  • Costs gas: But unlocks future trades
  • Unlimited approval: Convenient but riskier
  • Limited approval: More secure, re-approve as needed

Failed Transactions

  • Gas still charged: Even if transaction fails
  • Check conditions: Before signing
  • Simulation: MetaMask shows likely outcome

Polygon vs Ethereum

Ethereum Mainnet

  • Gas: $5-100+ per transaction
  • Speed: 15 seconds to minutes
  • Security: Highest

Polygon (Polymarket)

  • Gas: $0.01-0.10 per transaction
  • Speed: 2-5 seconds
  • Security: Very high (Ethereum-backed)

Why Polygon?: Faster, cheaper, same security for prediction markets

Related Terms

  • Polymarket
  • USDC
  • Crypto Wallet
  • Outcome Token
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