Ethereum miners split into two camps due to EIP-1559

by in Cryptocurrency News

Ethereum

Ethereum miners have split into two warring camps due to the EIP-1559 proposal. It involves burning part of the transaction fees and helps to reduce the volatility of the gas price.

The third-largest Ethereum pool, F2Pool, published a post in support of a proposal to improve the second-largest cryptocurrency by capitalization.

“Today, the general public, along with developers, remains committed to developing Ethereum through the inclusion of EIP-1559. It is important to adhere to a position together with users and key members of the ecosystem, ”wrote representatives of the pool, which accounts for about 11% of the hash rate.

The day before, the largest Ethereum pool Sparkpool opposed the proposal.

“It's tyranny by the majority for a better user experience (not really). This is a robbery. Why do we love Ether and Bitcoin? Because they give us perfect ownership, ”wrote earlier representatives of Sparkpool, which controls 24% of the hash rate.

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Bitfly, the operator of the second-largest pool of Ethermine, also spoke out against EIP-1559 earlier, calling the proposal "a threat to the future of Ethereum."

By now, opponents of EIP-1559 account for more than 50% of the total Ethereum hash.

According to representatives of F2Pool, the likelihood of activation of the offer is reflected in the price of the second cryptocurrency in terms of capitalization.

The representatives of the pool shared their thoughts: "Negative price dynamics can trigger a sequence of events leading to further deleveraging in centralized and decentralized markets. Ultimately, this will affect the miners, whose income depends on the price of ETH."

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EIP-1559, proposed by Vitalik Buterin in 2018, is one of the most anticipated updates in Ethereum history. It is designed to make the network safer and gas prices more predictable.

The proposal also implies the burning of some of the transaction fees, the share of which in the proceeds of miners recently exceeded 50%.

According to the roadmap, the update should take place within three to six months after the Berlin hard fork.

Many community members are pinning their hopes on second-tier solutions based on Rollups, designed to significantly offload Ethereum and reduce the urgency of the network scalability problem.