Ethereum, 2nd Largest Cryptocurrency, #LondonHardFork has been Successfully implemented and EIP-1559 is finally live on Ethereum. Well over 1360 Eth has been burned already as we enter this new paradigm for ethereum
EIP-1559 will now usher in a new era of lower fees for the Ethereum network, alleviating what has been one of the biggest issues with Ethereum over the last year or so. Additionally, with the burning of tx fees this upgrade effectively lowers the supply rate of Ethereum.
The supply rate even has a chance to turn negative, effectively making ETH a deflationary asset. It is yet to be determined if that will happen. EIP-1559’s reduction in new supply may not be very impactful in the short-term, but long-term we should feel its effect.
Any rally right now might be about pricing it in. Nevertheless, London Fork has been done as one of the ways of solving scaling and congestion issues. It will benefit users. Less delays and failed transactions, more predictable fees, and reduction of new supply.
It’s one of important milestones, which mainstream investors, that are just starting to learn about crypto, may not even understand. Lastly, the London hard fork and EIP-1559 now shine as an example that Ethereum developers can in fact deploy upgrades on time.
Props to the developers for this incredibly successful implementation of London hard fork.