Large entities would benefit the most from updating their systems for EIP-1559. Developments in the purses will help the EIP-1559 to unfold its full potential.
Around 40% of the transfers that take effect on the Ethereum blockchain are paying higher than required fees. This situation happens due to a lack of updates by some wallets and exchanges to be compatible with the EIP-1559.
This EIP went active last August 5, when the London hard fork happened. Various reports highlighted that, with this update, the method to pay the fees changes: One part gets burned, and another part goes to the miners as a tip.
Hopefully, if everything goes according to plan, the fees paid in Ethereum will get reduced thanks to EIP-1559. 60% of network users are already enjoying the benefit. In any case, some continue to pay “gas” following the old-based structure, which is by using outdated platforms.
The Dune Analytics browser website shows in real-time the percentage of transactions that happen in each block and the ones going under the protocol of the improvement proposal.
EIP-1559 Improves User Experience on Ethereum but Needs More Adoption
Popular cryptocurrency platforms such as Binance, Kraken, Gate.io, Bitstamp, Gemini, Blockfi, Cripto.com, and Bittrex had not updated their systems to comply with the news of the London hard fork.
For Taylor Monahan, founder and CEO of the MyCrypto platform specialized in cryptocurrency management, this group of companies might be spending more than USD 90 million a year in payment of fees in Ethereum. This payment in fees happens beyond the charge that gets transferred to its users.
As for the purses, most users have already said yes to the EIP-1559. The case of Metamask stands out for being, probably, the entity with the most relevant participation in decentralized finance (DeFi) and the ecosystem of play-to-earn games.
The Ethereum Foundation, which controls developments on this general-purpose blockchain, is also aware that advancements in wallets will be vital for EIP-1559 to unfold its full capacity.
The Foundation’s blog highlights that the advances would be ideal in cases of sudden congestion. If a tipping war happens, the purses can detect and track the congestion. They added that, in that case, they could bring users the option of setting a high or low priority for their transaction.
According to the developer Evan Van Ness, author of the newsletter “Week in Ethereum,” when the EIP-1559 is fully operational thanks to an ecosystem that adopts it massively, the user experience would improve exponentially.
On the other hand, some people rejected the supposed benefits of this improvement proposal. In this group are many miners who consider this EIP as confiscatory. Such is their stance that they came to organize protest measures that got not widely called.
Some users argue that EIP-1559 will not encourage the cheapest commissions in the network which, as has been said, is one of the biggest highlights around this improvement procedure.
By: Jenson Nuñez
