Monday, May 23, 2022
Home Latest News Ethereum Ethereum EIP-1559 Targeting Gas Fee Challenges to be Implemented in July

Ethereum EIP-1559 Targeting Gas Fee Challenges to be Implemented in July

The contentious Ethereum Improvement Proposal (EIP) 1559, will be included in its codebase in July this year.

Ethereum’s Improvement Proposal 1559 is aimed at improving the overall Ethereum’s user experience when it comes to transaction fees.

Normally, a user would have to send a gas fee to a miner for their transaction to be included in a block. What EIP-1559 proposes, however, is to send that gas fee to the network itself. Called basefee, this is a sort of a “burn” and there would only be an optional tip that’s paid to the miners. The burnt fee would be set algorithmically, allegedly improving the UX.

The proposal was originally submitted by Eric Conner and its summary provides an overall outlook at what it attempts to achieve:

“A transaction pricing mechanism that includes fixed-per-block network fee that is burned and dynamically expands/contracts block sizes to deal with transient congestion.”

As reported by Cryptopotato, during today’s All Core Developers call, it was decided that it will be included in the so-called London hard fork coming this July.

Despite the potential improvements on the entire network that could come with EIP-1559, some of the largest Ethereum mining pools have openly displayed division on where they stand.

F2Pool, the third-largest ETH mining pool with over 10% hashrate share, shared a post, in which it supported the initiative, alleging that it would ultimately have a positive impact.

The publication stated that “the general community along with core developers are siding with evolving Ethereum to include EIP-1559. It is important to side with the users and core contributors.”

F2Pool’s statement also claimed that the potential EIP-1559 implementation could be factored in ETH’s price, which is more than 100% from the start of the year.

By contrast, the largest mining pool with a roughly 25% share of the hash rate, Sparkpool, didn’t feel the same way about the integration as it could reduce the profits. They took it to Twitter to emphatically assert that the mining pool “opposes EIP-1559.”

Subscribe to our newsletter

To be updated with all the latest news, offers and special announcements.


Please enter your comment!
Please enter your name here

- Advertisment -

Must Read