Ether (ETH), the second largest cryptocurrency by market value, returned to a full-time high on Friday when the spot price per unit of ETH exceeded $ 2000.
Meanwhile, the ominous range of Ethereum’s cumbersome transaction fees is recurring because the cost of using blockchain has increased by 77% in recent days, corresponding to a 31% increase in the price of the ETH coin.
Green candles have been in the air for eight of the last nine days, with the coin going from a recent low of $ 1,530 on March 26 to $ 2009 at press time.
Transaction fees jumped briefly 77% over the same time period, according to Bitinfocharts.com, as the average transaction value of Ethereum increased from $ 12.96 to $ 22.97.
Commission averages often give an inaccurate representation of commissions that are often paid on a series basis due to high emissions. Average transaction fees, which provide a clearer picture of the most frequently paid commissions, have also increased over the past week, rising 91% from $ 6.66 to $ 12.74.
Few disagree that the cost of popular networks such as Ethereum and Bitcoin, where the average commission is currently around $ 8.50, is not entirely appropriate in a world of online donations and affiliate centers. for this purpose.
With this in mind, the developers promoted EIP-1559, an Ethereum enhancement proposal that will fix the way fees are calculated on the blockchain. When the update is completed in July this year, transaction fees will be adjusted dynamically in a mathematical way. At the same time, Ethereum tokens will have a compression aspect, with part of the network card burned after each transaction.
In the longer term, Ethereum intends to move to a proof-of-stake consensus algorithm, with the result that the existing proof-of-work system will be abolished altogether. In PoS blockchains, coin holders share coins to secure the passive income network, as opposed to miners who invest computing power in the pursuit of block rewards. The new consensus algorithm is being implemented as part of the ongoing upgrade from Ethereum to Eth2.