docs / arc network / usdc-as-gas

USDC as gas

How fees work when the gas token is a dollar.

Fee model

Arc denominates all transaction fees in USDC. Pricing follows EIP-1559 with EWMA smoothing so the base fee moves slowly and predictably. The published target is about $0.001 per ERC-20 transfer.

ParameterValue
Gas tokenUSDC (native)
Native decimals18
ERC-20 interface0x3600000000000000000000000000000000000000 (6 decimals)
Fee modelEIP-1559 + EWMA
Target fee~$0.001 per ERC-20 transfer
Minimum maxFeePerGas20 Gwei
Gas per block30M gas/block

Source: docs.arc.io/arc/references/gas-and-fees.

18 vs 6 decimals

The native gas balance is accounted in 18 decimals, like ETH. The ERC-20 view of the same balance uses 6 decimals, like USDC everywhere else. They are one balance. Applications should show a single USDC row and quote fees in dollars, not Gwei.

Set maxPriorityFeePerGas to 0 or a small tip such as 1 Gwei. A maxFeePerGas below 20 Gwei is rejected by the mempool.