​The London hard fork in the Ethereum network will bring down | The best crypto signals channel

​The London hard fork in the Ethereum network will bring down some tokens

The London hard fork includes the EIP-1559 offer, which implies the destruction of ETH when paying commissions. This should reduce the amount of transaction fees. However, in addition to EIP-1559, there is also an EIP-3529 proposal as part of the update, within the framework of which there is a refusal to reimburse gas.

"How does Ethereum work if you store data on the network? When you remove the data, you get a small gas refund. This is done in order to encourage developers to "clean up" the network for themselves, " said Tim Beiko, the developer of Ethereum.

The idea sounds good, but in practice, the developers used this mechanism to make a profit. When the commissions in the Ethereum network were low, they filled the network with" garbage data", and then, when the commissions grew, the data was removed from the network and received a gas refund.

Several "gas tokens", like GST2 or CHI, are built on this mechanism. For example, now the cost of GST2 is about $200, and before the approval of the London hard fork, its price reached $600. After the update, the gas refund mechanism will be disabled and such tokens will stop working.

"They will become useless after the London update. But whether their price will fall to zero or not, of course, I can't say – the market is often very irrational, " Beiko said.