Taxonomy of Transaction Fees in Smart Contracts

As transaction fees increase, developers are prioritizing compactness in their code to minimize cost, often at the expense of security considerations. This trend suggests a shift towards utilizing endogenous fees whenever feasible and consolidating multiple operations into a singular transaction to reduce exogenous fee occurrences. When approaching the design of covenant constructions, it's essential to bear this economic reality in mind. The focus on efficiency in transaction processing requires that covenants be crafted with an emphasis on minimizing on-chain footprint to address the constraints imposed by rising fees.