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Ethereum network capacity increases 9% after London update




Since the Ethereum network was updated earlier this month, the average usage in terms of daily gas has increased by about 9%, and there are several reasons for this.

Etherscan’s historical average daily gas usage chart has shown an approximate jump of 9% since the London update was implemented on August 5.

It has risen from about 92 billion to just over 100 billion. The last time you saw such an abrupt change was around April 21, when it rose about 17%.

The movement is not the same as peaks and troughs in gas prices, but rather a measured increase in average usage, indicative of overall network capacity.

Ethereum co-founder Vitalik Buterin has posted an analysis on Reddit detailing three reasons for this.

Three reasons why Ethereum’s capacity increased

The London update it also delayed the “Ethereum Ice Age” that had just begunButerin explained. This means that the average lock times have returned to their long-term normal level of around 13.1 seconds.

“This is a ~ 3% difference in block speed, which explains 3% of the 9% increase in gas usage on the chain.”

The difficulty bomb, which delays the Ice Age, refers to increasing the level of difficulty or complexity of the “puzzles” in the mining algorithm proof-of-work.

As the calculations get more difficult, they result in longer than normal lock times and lower rewards for miners.

The second reason for the increase is that there was more unused block space before London as a result of a maximum gas usage adjustment of 15 million. After the update, that figure became the target, not the maximum.




In third place, the EIP-1559 formula is not quite perfect to target 50% of the base rate to be burned, Buterin said.

There is a complex relationship between geometric and arithmetic means for block size and rate calculations.

Average blocks are now slightly fuller (over 50%) than they were before the update, which also represents a slight increase in capacity. Vitalik concluded:

“Ethereum users can rejoice in London’s unintended 6% increase in capacity.”

Gas rates go up again

Ethereum users probably won’t rejoice at another gas spike resulting from the launch of CyberKongz on NFT on August 15.

The average transaction fee is now close to 25 based on BitInfoCharts dollars, and users are paying up to $ 40 for a swap of tokens, and even more for complex smart contract operations.

Disclaimer

All information on our website is published in good faith and for general information purposes only. Any action the reader takes on the information found on our website is strictly at your own risk.




TAMMY SEWELL
Tammy Sewell is our Writer and Social at OICanadian.com. Tammy loves sports, she writes our celebrities news. She spends time browsing through several celebs news sources as well the Instagram. Email: Tammy@oicanadian.com Phone: +1 513-209-1700

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