Definition ∞ On-chain gaming fees are transaction costs incurred when players interact with decentralized games built on blockchain networks. These fees, often paid in cryptocurrency, compensate network validators for processing and recording game-related actions, such as minting items or transferring digital assets. The magnitude of these fees can vary significantly based on network congestion and the specific blockchain protocol used. High fees can affect player experience and game accessibility.
Context ∞ Crypto news frequently highlights on-chain gaming fees as a critical factor influencing the scalability and adoption of GameFi projects. High transaction costs can deter players, especially in games requiring frequent interactions, leading developers to seek solutions like layer-2 scaling or alternative blockchain networks. The discussion often revolves around balancing network security with the need for affordable and swift in-game transactions to sustain GameFi growth.