How to write gas-efficient smart contracts?

Optimize Ethereum smart contracts by packing storage, using memory over storage, choosing efficient data structures, and minimizing computations to reduce gas costs.

Jul 14, 2025 at 07:14 am

Understanding Gas in Ethereum Smart Contracts

In the Ethereum blockchain, gas is a unit that measures the amount of computational effort required to execute operations. Every transaction or smart contract execution on the Ethereum network consumes gas, and users pay for this using Ether (ETH). Writing gas-efficient smart contracts is crucial because high gas costs can make your decentralized application (dApp) expensive to interact with, leading to poor user adoption.

Each operation in the Ethereum Virtual Machine (EVM), such as storing data, performing arithmetic, or calling other contracts, has a predefined gas cost. For instance, writing to storage (SSTORE) is significantly more expensive than reading from it (SLOAD). Therefore, optimizing how your contract uses these operations directly impacts its efficiency.

Optimizing Storage Usage

Storage optimization is one of the most effective ways to reduce gas consumption. Storing data on-chain is costly, especially when dealing with large datasets. One efficient strategy is to pack multiple variables into a single storage slot. Since each storage slot is 256 bits wide, you can use smaller data types like uint8 or bool to fit several values into one slot.

Another approach is to avoid unnecessary writes to storage. Instead, perform calculations in memory or local variables and only write the final result to storage. Also, consider deleting unused data to free up space and potentially receive gas refunds, although the refund mechanism has limitations and should be used carefully.

• Use structs to group related data and optimize packing.
• Prefer immutable variables where possible, which are cheaper than regular storage variables.
• Avoid deep mapping structures unless absolutely necessary.

Leveraging Memory and Calldata Efficiently

When handling function arguments or internal computations, prefer using memory over storage whenever possible. Operations in memory are significantly cheaper in terms of gas since they don’t alter the blockchain state. Additionally, for external function calls, using calldata instead of memory can further reduce gas costs, especially for large input data.

Functions that process arrays or strings should minimize copying and manipulation in memory. If the data doesn’t need modification, reference it directly from calldata. Furthermore, batch processing can help reduce overhead by consolidating multiple operations into a single function call.

• Use view or pure functions for read-only operations to avoid state changes.
• Minimize dynamic array usage in function parameters.
• Use string.concat() or bytes.concat() instead of + operator for concatenation.

Choosing the Right Data Structures

The choice of data structures plays a vital role in gas efficiency. While mappings and arrays offer flexibility, they come with different gas implications. For example, mappings allow direct access to elements without iteration, making them more gas-efficient for lookups compared to arrays.

Dynamic arrays can become expensive if frequently modified, especially when appending or removing items. Fixed-size arrays are often more predictable in terms of gas usage. When maintaining lists of entities, consider using mapping(uint => T) instead of arrays for faster access and lower gas cost.

• Prefer mappings over loops for access patterns.
• Avoid nested mappings or arrays unless necessary.
• Consider off-chain indexing for complex queries.

Code Optimization Techniques

Solidity provides various features and best practices that can help reduce gas usage. Using the latest compiler version ensures that you benefit from ongoing optimizations made by the Solidity team. Compiler flags like --optimize can significantly reduce deployment and runtime costs by optimizing the generated bytecode.

Avoid redundant computations inside loops. Move constant expressions outside of loops and precompute values wherever possible. Also, prefer early returns and short-circuit conditions to exit functions quickly when certain criteria are met.

• Use unchecked blocks for arithmetic operations where overflow/underflow isn't a concern.
• Inline small functions to eliminate call overhead.
• Replace require() statements with minimal logic inside loops.

Frequently Asked Questions

What is the difference between gas and gas price?

Gas refers to the computational units needed to execute an operation on the Ethereum network. Gas price, denoted in Gwei, is how much a user is willing to pay per unit of gas. The total transaction cost is calculated as gas used × gas price.

How does the gas limit affect my smart contract execution?

The gas limit is the maximum amount of gas a user is willing to spend on a transaction. If a transaction exceeds this limit, it will be reverted, but the gas already consumed will not be refunded. Setting appropriate gas limits ensures smooth execution without unnecessary failures.

Can I get gas refunds for deleting data in my contract?

Yes, Ethereum offers partial gas refunds for deleting data via the SELFDESTRUCT opcode or clearing storage entries. However, the refund is limited and doesn't fully offset the initial cost of storage.

Is it better to deploy a new contract or upgrade an existing one for gas efficiency?

Upgrading a contract using proxy patterns may introduce additional gas costs due to delegation calls. Deploying a new optimized contract might sometimes be more efficient, depending on the complexity and usage patterns.