New Ethereum hard fork London is on the way
Over the past month, three test networks have been launched in Ethereum, and the next release of another one will take place on June 26. They are all part of Ethereum 2.0 and predate the most global blockchain update.
The previous network update called “Berlin” solved several important problems related to the process of processing fees for transactions taking place on the blockchain. Thanks to it, the developers managed to significantly reduce the cost of gas and add rollups a new type of transaction that increases throughput hundreds of times. But one of the main tasks of “Berlin” was to prepare the ground for EIP-1559.
This improvement, according to the Ethereum team, will be the driving force behind the London hard fork, which will be activated in July. Vitalik Buterin claims that after the implementation of this update, users will pay the lowest transaction fees offered per block. After that, the fees will be burned, allowing you to reduce the amount of ETH emission.
In other words, developers can create deflation within the network, in which fees will “adjust” to current demand. If the situation is stable, they will grow, but if there is a rush in the market, then the commissions will begin to fall.
One of the Ethereum developers clarified that after activating the update, it will not work to return the commission value using eth_maxPriorityFeePerGas, since people will simply start overpaying. The team strives not only to find a balance between market conditions and gas prices but also to allow people to request data on gas usage and commission rates, alerting others to potential congestion on the network.
This name was given to a mechanism sewn into Ethereum itself. When it “explodes”, mining will become the most difficult and costly “hobby” for those who are used to making money on it and have devoted recent years to this occupation.
Some community members consider such a move to be a trick on the part of developers and a forced “motivation” for miners to switch to Ethereum 2.0. It's just that the time of the latter has not come yet, which means that several EIPs are waiting for us, temporarily “freezing” this very “bomb”.
Naturally, the most unhappy with the announcement of the latest update in social networks were those on whose earnings it will affect in the first place the miners. Considering that now they will have to change the already established "schemes" of mining cryptocurrency, they are quite understandable.
Ordinary users, rightly complaining about the too-high cost of gas, were delighted that the Ethereum team listened to them. A possible disadvantage of the upcoming improvement can only be that the system will not be able to independently calibrate commissions following the market situation and the basic “tariff” of gas for all users will temporarily become unaffordable.
One way or another, the second-largest cryptocurrency is confidently moving towards its greener version with low fees, and this is good news.