According to industry insiders, Ethereum’s gas-saving upgrade may launch in a few months. The long-awaited Ethereum Improvement Proposal (EIP) 1559 will tackle the problem of high transaction fees which has become a major turn-off for the network.
As reported by BTC PEERS, gas fees on the Ethereum blockchain have gone through the roof following a booming DeFi sector. As of press time, the average transaction fee on the Ethereum blockchain was nearly $30. The strain on the network is forcing traders to look elsewhere, with some projects taking the hard route of shutting down.
EIP-1559 is expected to change the current state of things. The upgrade will introduce a mechanism that adjusts the current auction process. Consequently, users will be able to adjust gas fees and pay the lowest bid for the block.
Speaking on the subject, Ethereum developer and Predictions Global founder, Ryan Berckmans hinted that the upgrade could go live in July.
Berckmans further explained that:
One benefit of EIP-1559 is that it helps scale Ethereum this year by enabling Arbitrum and Optimism to reliably get their security transactions into the next Ethereum block. Since Arbitrum and Optimism are critical to scale Ethereum this year, EIP-1559 is too.