Major Ethereum gas fee overhaul EIP-1559 scheduled for July Major Ethereum gas fee overhaul EIP-1559 scheduled for July Published on by Andrew Thurman
A hotly awaited upgrade to the Ethereum network that may result in ETH becoming a deflationary asset is now scheduled for the “London” hard fork in July.
Ethereum lead developer Tim Beiko previously teased that the decision would be made today two weeks ago, and proposed the inclusion on the Core Developers call today.There were no verbal objections.
“We’re in a spot where the EIP is sound,” said Beiko on the call.“[…] We’re in a spot, I think, where it’s ready to be included in an upgrade.”
The proposal, co-authored by Ethereum cofounder Vitalik Buterin, will transition Ethereum’s fee structure away from a bidding system that allows miners to prioritize the highest bids.The new fee structure will dynamically and programmatically adjust fees so users only pay the lowest bid for each block.
Additionally, the base network fee will now be “burned” on each transaction, potentially leading to deflationary tokeneconomics for ETH.
The Proposal has been widely anticipated by nearly all members of the Ethereum community, including investors, speculators, and regular users of the network.An analysis of network transactions last year found that EIP-1559 would have burned 1 million Ether over the course of 365 days — almost 1% of the network.Earlier this month research from ETF issuer Grayscale concluded that a deflationary mechanic will be a boon for Ether’s price, creating a positive price feedback loop.
Users have also been bellyaching about gas fees for months, and there have been some notable examples of sky-high fees for simple transactions, including a $36,000 Uniswap trade.
One notable group less excited about the proposal is Ethereum miners.There have been threats of a hard fork and alternative proposal put forth, and some estimates pegged the loss in revenue for miners at 50%.
Ultimately, however, the proposal is now going forward, putting an end to “selfish” mining practices.
Author: Andrew Thurman Recommended Crypto Services, Products and Strategies:
The first thing any crypto investor needs is is a reliable and secure Crypto Wallet .
Whether you’re looking for an online wallet, hardware wallet, desktop or mobile wallet, Crypto Renegade provides you with all the Best Crypto Wallets in each category.
When you’re ready to buy more crypto, or exchange your coins for others, Crypto Renegade’s list of the Best Crypto Exchanges has you covered.The Crypto Exchanges recommended here offer everything from simplicity and convenience to advanced trading platforms and profit sharing.
If you want to learn more about the methods and tools that can be used to find Great Crypto Projects , then be sure to check out Crypto Renegade’s strategy for How To Find The Best Cryptocurrency .
For those people that don’t have any money to invest right now, or just want to understand the technology a bit more, you’ll definitely want to check out Crypto Renegade’s Free Crypto Strategy and start collecting Free Coins today!
What do you think about cryptocurrency? Do you have any questions about it? Be sure to leave a comment below.
Share this:.
