New versions of Ethereum: London Hard Fork, EIP-1559 and Ethereum 2.0

Ethereum is making one of the biggest changes ever, and it's the beginning of interest from Ethereum holders and users to open the price. How the London Hard Curve Driven Ethereum to Blockchain and Capital. Let's take a look at Ethereum and some updates that will bring huge benefits to customers and users.

You can see the price pulling back over the past 3 months. Overall, this is clearly the consolidation phase of the crypto market. It can also be seen that the total cost of locking in DeFi, of course, declined at this time as it was taken out of Bitcoin at any time high.

Around $56 billion in assets are closed in DeFi, with AAVE, InstaDApp, and Curve Finance now in the top three for Ethereum.

56 billion would seem like a lot, but you can easily add zero to that number, but first you need to upgrade your Ethereum.

London hard curve

On August 4, 2021, Ethereum will cross the block at 12,965,000, known as the London Hard Curve.

The EIP-1559 concept came at a time when London was challenging the curve, which would change the way consumers and traders view Ethereum. EIP-1559 replaces three key areas:

It highlights the benefits of DApps for Ethereum.

Reduce trade latency and eliminate the cost uncertainty of free trade.

Add a description of low-cost cryptocurrencies like Bitcoin.

Ethereum Fuel Price

The main change in EIP-1559 concerns fees. Consumers now pay for fuel to cover necessary electricity bills and enable Ethereum activity.

Generally, users have to pay to make a trade. Anyone who has used DeFi and Ethereum DeFi in the past knows that Ethereum has costs or issues.

When the demand is high, the blockchain cannot cope with it for many reasons, so users have to stake more. It's not expensive now due to low demand and the very competitive price of 44 cents. However, these fees can reach $10, $20, $50 or even $100. If you want to exchange $500 and pay a $100 fee, that is not acceptable.

What are the games for Ethereum users? Truth-loving traders believe that EIP-1559 will change the competition that Ethereum users bid for the blockchain, and the truth moves to the rule itself that determines fuel prices.

EIP-1559 provides a starting price. This is dynamic and changes based on network usage. However, the process itself determines this and tells the user how much to pay instead of being blind to the company.

Now, the Ethereum blockchain itself will change the energy count of blocks, with a target of around 15 million fuels per block. However, this may decrease or increase depending on network usage.

For each increase or decrease, the process increases or decreases the gas by approximately 12.5%.

There is also a value called tips. So if you want the user to complete the trade before anyone else, you can tell the miner to complete the trade before anyone else.

Importantly, EIP-1559 does not change the size of the network, so costs can remain very high during periods of high demand. You can view Ethereum fuel cost history on Etherscan. If the demand is too high, the gas will increase accordingly. Lower consumption means lower fuel costs and lower costs.

What this means for consumers and investors Reliable, predictable and free solutions are not the long-term solution. This may save time when reviewing other updates to your network (such as extensions, zk-rollups), but it's an important first step.

Then there is now a disaster mechanic that will include the update.

Ethereum brûlant

Below is an image of Ethereum price increases. By default, each new blockchain created, which consists of two new Ethereum tokens called Ether, is created together. The more people who use the network and the more they trade on the network, the more Ethereum is created, which can mean that Ethereum can provide all unlimited commodities such as fiat currency.

This is why many Bitcoin terrorists say Ethereum is a scam. Like fiat currency, it can go down to zero hours. In other words, if the price itself does not rise above inflation over time, the investment will also inflate.

EIP-1559 also tries to solve this problem. These 2 ETH can be sold in the store without being given to miners, in addition to Ethereum equipment and tariffs paid by the network, now we can dismantle and eliminate the periodic 2 ETH ETH.

Upon payment, the initial fee is deducted and permanently removed from all sends via Ether. The reason the startup cost was burned without distributing it to miners was to prevent miners from blocking the network and being tempted to keep the startup cost high.

While this is good for consumers, there is no denying that the decline in ETH commodities is also beneficial for consumers as we can see ETH commodities fluctuate and decline over time.

Ethereum's ability to not limit products has always been a headache. Manufacturers and investors have seen this increase, and some are reluctant to invest as a result.

However, a Coindesk report shows that improving EIP-1559 could bring the conversion rate up to 4% of Ethereum's current annual growth rate.

Inflation of 4%, very high at the time, can fall to 2%, 1% or even 0%. Let's say if the user has Ethereum, the rate of increase is 1.5%. This is very similar to the current Bitcoin appreciation.

Due to Bitcoin numbers, you only have 21 million tokens. However, with this modification, Ethereum can eliminate everything or at least reduce the increase in its token value.

If the currency is only 1%, it should mean that the real value of ETH tokens will increase further along with other assets as the long-term demand for ETH increases, which is no exaggeration. .

The future of Ethereum

For the future of Ethereum, there are EIP-1559 burn tokens to stabilize fuel prices and reduce inflation. However, this is only half the problem.

Ethereum is also making two major changes to Ethereum 2.0, which will move the blockchain from proof-of-work (PoW) to proof-of-stake (PoS).

One of the main benefits of Stake Proof (PoS) for traders is that Stake Proof (PoS) allows investors to benefit from new tokens to invest, create and maintain tokens to secure collaboration. Vitalik Buterin also said that Ethereum 2.0 will reduce the release of Ethereum tokens.

All of this can have a significant impact on the value of Ethereum. More investors, more investments, and lower inflation are strong foundations and broad support for Ethereum's value.

One of the reasons for Stake Proof (PoS) is to reduce the number of tokens issued. Therefore, the ETH 2.0 specification assumes that if everyone participated in the Ethereum blockchain, the maximum theoretical coverage would be 2 million per year.

Ethereum 2.0 is important for other reasons. This will increase the adoption rate at home, giveaway stakes can be around 4%. This means that organizations can invest knowing that their investments will pay off for as long as they are committed.

Large investments in distribution will also benefit the Ethereum DeFi ecosystem, with AAVE now being the ecosystem with the highest value.

Companies like AAVE, Compound, Curve Finance, etc. can now create consumer-facing ecosystems on Ethereum. AAVE will announce the DeFi lending company called AAVE Pro.

EIP-1559 has a stable price. ETH 2.0 offers more decentralization and the ability to earn by scaling solutions like zk-rollups and layer 2 solutions like Polygon Network, which uses the Ethereum base layer as the base layer for purchase.

This is good news for Ethereum tokens as Ethereum has been closed as a currency for the settlement of transactions on the base layer. If you have Ethereum tokens, you can join Ethereum 2.0 now, but unfortunately you won't be able to disconnect until Ethereum 2.0 is actually released, which may take 6-12 months from then.

Estimated cost of Ethereum

However, some organizations are optimistic about Ethereum. Goldman Sachs is very bullish on Ethereum.

They say that Ethereum, the digital platform, seems to be the cryptocurrency with the best usability right now because the Ethereum platform is the most popular platform for creating smart contracts.

How do you measure the current and future value of Ethereum?

One of the easiest ways to manage any cryptocurrency is NVT, or resource optimization for the exchange.

Consumers can think of the NVT as the market value of the product. Divide by the network value to calculate NVT. This is the primary trading cap for cryptocurrencies, and Ethereum has a current market capitalization of around $250 billion.

Divide the market cap or network value by the daily volume. Therefore, if the network cost is higher than the trading volume, it will give a higher NVT cost.

The very high NVT cost is a move and we can see that the cost will be a bit higher compared to the real cost and business happening in the network.

Thus, it can be seen that the gain of NVT is the decrease. This tells us that the rise in prices and the growth of the industry is slow compared to the growth of its value and capitalization activity.

The downtrend is bullish. This means that the companies in the network are growing faster than their business capital. A simple image or Ethereum can tell us everything we want to know over time. We are very optimistic as we will see gray prices increase but NVT will drop in January 2021.

The value of Ethereum has increased the rate of change at a faster rate. Of course, this is not a prediction of the future, but it is a good indicator. We can see that NVT is at one of the lowest points, so this really shows the start of Ethereum. To grow. People are using it, and if so, the price will go up in the future.

Therefore

The total cost of closing in DeFi will continue to grow over the next ten years.

EIP-1559 can indicate fires to reduce inflation. It could also lead to higher estimates, and in the future there could be solutions that can reduce overall costs and improve the network's ability to solve more business problems, and more.

All of these principles sound good in Ethereum, which is why these schools have been sniffing around Ethereum in the hope that there will be more updates in the next few years.