Today, Ethereum developer and EIP-1559 contributor TimBeiko submitted a proposal that advocates adding EIP-1559 to the Ethereum London upgrade, and is tentatively scheduled to be implemented in July or August 2021.
TimBeiko believes that there is nothing wrong with the EIP proposal and it is ready to pass the normal network upgrade test process. The next step is to get developers and other network participants (ie miners) to reach consensus on this proposal.
EIP-1559 is a mechanism that optimizes the Ethereum transaction mechanism. It aims to make the transaction fees on the Ethereum network more predictable and solve the current “pay on demand” charging model. The goal is to create a more efficient charging market and simplify the gas payment process for clients and application software.
According to news on February 25th, Ethereum developers Tim Beiko and trent began to report on EIP-1559 community expansion from October 2020, and from January 25th this year, they collected the top ten Ethereum in total lock-up volume. According to the view of EIP-1559, the total lock-up volume of these Ethereum applications exceeds 21 billion US dollars. Most Ethereum applications such as 1inch, AAVE, Balancer, Curve, MakerDAO, Sushiswap, etc. support the implementation of EIP-1559.
EIP-1559 attempts to reduce transaction costs by introducing fixed fees and a destruction mechanism. EIP-1559 was first proposed by V God in 2018, and is expected to make the Ethereum blockchain charging market more predictable and alleviate congestion.
On February 10th, Ethereum core developer eric.eth tweeted that at the beginning of 2019, he was very frustrated with the first price auction model for Ethereum fees. eric.eth sees this as the first obstacle to mass adoption. This frustration is purely a user experience. This has nothing to do with the idea of burn costs. After lack of response and understanding of God V’s thesis, I understood that it was the best choice and contacted God V. Then we wrote EIP-1559 together.
EIP-1559 focuses on improving user experience and solving the inefficiency of the Gas market. But the current EIP-1559 overall narrative has become “because it destroys ETH, it is good”, which is a bit frustrating. This is a good side effect, but this is not why we should implement it. We may destroy some ETH, but people are expecting too much. Not all parts of every cost will be destroyed. Once the scale is established, the cost of destruction will be less.
At present, the main problem is that a small number of Ethereum mining pools are boycotting the implementation of the EIP-1559 proposal. On January 22nd, some Ethereum miners formed a cartel to block a currently controversial proposal EIP-1559. Implementation. They stated that the proposal unfairly cut their profits.
If EIP-1559 is applied to the eth1.0 chain, it is likely to affect the income of miners, but large-scale data analysis shows that EIP-1559 may affect the gas change is not obvious.
Author/ Translator: Jamie Kim
Bio: Jamie Kim is a technology journalist. Raised in Hong Kong and always vocal at heart. She aims to share her expertise with the readers at blockreview.net. Kim is a Bitcoin maximalist who believes with unwavering conviction that Bitcoin is the only cryptocurrency – in fact, currency – worth caring about.