The network shows normal gas prices, but one ERC-20 token is moving fast in the last hour.
The Ethereum (ETH) network congestion may not be over, and activity once again seems strange. As of the early hours of Wednesday, the Ethereum network showed significant load from an ERC-20 token named WPKG.
At the time of writing, the rate of transfer for the WPKG asset increased, within minutes growing in gas uptake from 14.75% up to 17.34%, and continues growing. To compare, the most active IDEX exchange took up just around 3% of gas. The Etherscan tracking of all token transactions also showed WPKG almost exclusively moved around, taking over the entire transaction record.
Last weekend, attack level transactions were noted when transfers took more than 40% of gas.
The movements of the asset, sending out 1,500 WPKG to various addresses, are taking up more than 14% of gas on the Ethereum network. At this point, the load is not enough to make ordinary transactions more expensive. On Tuesday, the network saw a similar load from the distribution of the Blue Whale token.
What is strange, is that the WPKG token does not seem to be announced for any airdrop or other event. The behavior of the token recalls an earlier event, now seen as an attack, by sending out the iFishYuNyu token, another asset with no known origin and purpose. Just a day ago, Vitalik Buterin estimated that the cost of an attack on the Ethereum network would be around $15 million.
There are no limitations to creating an ERC-20 token, and no purpose is needed to build it and move it around. There is no obligation to have a project – so this time, the behavior of the WPKG token is yet to be explained.
The best approach with periods of serious congestion in Ethereum is to track gas prices, and avoid transactions, unless it is necessary. On days of high network load, transactions are either impossible, or run extremely expensive, sometimes with exorbitant fees. And while larger entities tend to pay higher fees, for the usual Ethereum user, it is best to wait for gas prices to normalize.