Faced with recently inflated transaction fees, Ethereum’s founder and lead scientist, Vitalik Buterin, urged users of the second largest blockchain to move to scaling solutions “already available to us. many types of applications ”.
Buterin reiterated his enthusiasm for layer 2 scaling solutions, such as “rollups,” which basically means keeping transaction data on-chain while offloading computation. off the chain.
According to Ethereum’s roadmap to extend the base layer in its blockchain with a technique called sharding that doesn’t seem to be far away, Buterin said users are required to start supporting rollups:
“If you are listening to this and you are an exchange, a wallet application, a mining pool or a professional user – even just the average person – then you should know what rollups are and What do they do. Basically, what is your strategy for moving to them ”.
An explosion in a decentralized financial (DeFi) platform running on Ethereum has caused transaction costs to skyrocket in recent months (transaction fees have increased from 8 cents earlier this year to a high of around $ 14). in September). Meanwhile, pressure from other competing base layer protocols like Polkadot, Cosmos, and Blockstack is growing.
Buterin praised both “optimistic rollup” and ZK rollups, which use zero-knowledge-proof technology (proof-of-knowledge), adding that using these solutions on the existing Ethereum blockchain could increase throughput. transactions from about 15 transactions per second up from 1,000 to 4,000.
“In terms of our current position, for simple payments we are really there, just like you can do ETH transactions in rollups. The challenge is just getting people to get through it. EVM (Ethereum Virtual Machine) application smart contracts generally lag a bit behind, ”says Buterin.
Buterin did not specify when Ethereum will move to proof of stake (PoS), other than saying that phase 0, which involves an independent beacon chain as the basis of the proof, will happen “very soon”.
Test network operator Zinken recently said after a rehearsal in mid-October, a beacon chain would launch within about six weeks.
Looking ahead with PoS, Buterin says manufacturers can expect to reap a net profit as long as they’re online at least 50% -60% of the time. “Some other POS chain coming soon (are) saying that if you go offline for 12 hours, you will be knocked out, I think that’s completely crazy,” he said.
Buterin said the more coins staked, the more resources and complexity there are. That’s because someone staking 10,000 ETH will participate in more parts of the chain than someone staking 32 ETH, for example. I said:
“This is a natural consequence of how sharding works and it’s really a feature we really like. ETH 2.0 tries to be the friendliest to ordinary people.
Buterin is also very enthusiastic about Ethereum’s proposed fee market reform (EIP 1559), which will experiment with flexible block size limits. That, he says, will make the fee a bit less volatile and a bit more volatile block size.
Additionally, Buterin said, since fees are destroyed, or burned, (a really interesting change to the way things work today), “it’s very likely that the amount of ETH is burned from the fees. will exceed the number of shares issued to those who stake ”at current utilization.
Comparing Ethereum in this respect to Bitcoin’s decline in supply over time, Buterin added:
“Over the past three months, if this is the new standard, then after POS the supply of ETH is dwindling.”
“The crazy thing going on here is that if a fixed-supply currency is a good one, then a cryptocurrency with a decreasing supply will be a hypersonic one,” he said.