News Report Technology
February 04, 2025

Hedera Rolls Out Tiered HBAR Rate Limiter For Its JSON-RPC Relay To Enhance Cost Management

In Brief

Hedera has introduced the Tiered HBAR Rate Limiter, a new feature integrated into its relay system that allows for more precise control over rate limits.

Hedera Rolls Out Tiered HBAR Rate Limiter For Its JSON-RPC Relay To Enhance Cost Management

Proof-of-stake public network Hedera announced that it has introduced the Tiered HBAR Rate Limiter, a new feature integrated into its relay system that allows for more precise control over rate limits, enabling operators to better manage their spending. It provides greater flexibility by categorizing users into tiers with predefined limits, helping maintain cost efficiency while ensuring network accessibility.

The Hedera JSON-RPC Relay acts as a bridge between Ethereum Virtual Machine (EVM)-based applications and the Hedera network. Since many decentralized applications (dApps) are built using Ethereum-native tools like Ethers.js and Web3.js, this relay translates EVM JSON-RPC calls into Hedera-compatible requests, allowing developers to use Hedera’s network without modifying their existing code.

In order to maintain EVM equivalence, gas fees on Hedera are designed to reflect the computational work required, similar to Ethereum. However, some transactions—particularly those involving large contracts or high transaction volumes—require additional Hedera File Service (HFS) transactions, adding extra costs for relay operators. While these costs are usually minor, without a proper rate-limiting mechanism, excessive transactions could lead to unsustainable expenses for operators.

Addressing this challenge, Hedera developed the Tiered HBAR Rate Limiter, which assigns different spending limits based on user tiers. This structured approach ensures cost predictability while supporting network growth. The system functions similarly to a streaming service subscription model, where users or groups are assigned specific spending plans. By default, every new user is automatically placed in the BASIC tier (Tier 3), which provides standard spending limits. Users who exceed typical activity levels but contribute significantly to the network may qualify for the EXTENDED tier (Tier 2), which offers a higher limit. The PRIVILEGED tier (Tier 1) is reserved for strategic or critical partners, granting them higher spending capabilities. Operators have the flexibility to fine-tune these tiers based on their needs.

Advantages Of Upgraded HBAR Rate Limiter

One of the key advantages of this system is that operators can establish and enforce spending limits for different user groups, ensuring that overall expenses remain under control. High-value users or strategic projects can be allocated additional resources without disrupting budget discipline. Furthermore, with built-in monitoring tools, operators can track activity in real-time, adjust user tiers as needed, and allocate resources more effectively. Additionally, by clearly defining and communicating spending tiers, operators help set user expectations and promote responsible usage.

Hedera is an open-source, decentralized public ledger that operates on a proof-of-stake (PoS) model and utilizes the leaderless asynchronous Byzantine Fault Tolerance (aBFT) hashgraph consensus algorithm. Governance is maintained by a decentralized council composed of global enterprises, universities, and Web3 projects, ensuring a collusion-resistant decision-making process.

Disclaimer

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About The Author

Alisa, a dedicated journalist at the MPost, specializes in crypto, AI, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.

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Alisa Davidson
Alisa Davidson

Alisa, a dedicated journalist at the MPost, specializes in crypto, AI, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.

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