This change, known as Ethereum Improvement Proposal 1559 (EIP-1559), will make it much faster, and it’s a big deal for the future of the network. The first part of ETH2 started on December 1, 2020, and it promises to handle more than 100,000 transactions every second. That’s a huge improvement from the old system, which was slow and inefficient. EIP-1559, deployed in August 2021 with the London hard fork, changed how transaction fees work on the network. Users who make a transaction on the network now pay a base fee that’s burned instead of going to Ether miners, reducing the supply of ETH and placing deflationary pressure on the network. Was this writing helpful? AMBCrypto's content is meant to be informational in nature and should not be interpreted as investment advice. Trading, buying or selling cryptocurrencies should be considered a high-risk investment and every reader is advised to do their own research before making any decisions.

Access Protocol is a web3 monetization paywall. When users stake ACS, they can access paywalled content. Learn more › Main navigation Hayes has recently announced in April why 2022 is destined to be a spectacular year for Ethereum. He says that once the blockchain transitions to a proof-of-stake (POS) system, it will now be commodity-based or a “currency bond” as opposed to BTC, which he says is “pure money.”