A balanced and predictable fee structure for Ethereum (ETH) Layer 1 and Layer 2 solutions is a necessity for the ecosystem, said Ethereum (ETH) co-founder Vitalik Buterin. A number of fee-sharing models may help protect Etherians from a “mixed economy” where tax rates can be highly volatile.
As L1/L2 pricing debate heats up again, Vitalik Buterin suggests a 'valuable starting point'
To satisfy all users of the Ethereum (ETH) ecosystem, employ mechanisms that ensure that both Layer 1 and Layer 2 fee accrual rates are far from zero and that the fluctuations in the ratios are small. There is a need. Ethereum's Vitalik Buterin said today, October 12, 2024, that tackling this challenge has economic, technological, and cultural aspects.
Buterin made this statement in response to Trenton Van Epps, a veteran of the Ethereum Foundation and administrator of the Protocol Guild community.
The Ethereum (ETH) founder also said that a year ago, crypto viewers were accusing Ethereum's Layer 1 of “extracting rental fees” from the Layer 2 network, but now the argument is reversed. He also admitted that he had become
On the other hand, regardless of the exact distribution of fees between layer 1 and layer 2 validators, the only thing users should be concerned about is that the total fee rate will fluctuate in both directions.
We need to maintain an ecosystem where Ethereum people feel like they are on the same team. This is part technical interoperability, part values/culture, and part economics.
Buterin said there are two solutions to start with: EIP-7762 and base rollups, but other fee-sharing models can also be “a valuable starting point.”
Ethereum (ETH) fees finally rise
EIP-7762, introduced on August 31, 2024, builds on the long-awaited BLOB pricing model introduced by EIP-4844 to make BLOB pricing more predictable and address “price discovery” events. It is an evolution of.
Base rollups represent a class of Ethereum Layer 2 solutions, but with economic rules tailored to the associated Layer 1 network.
Meanwhile, Ethereum (ETH) fees have started to rise again after three months of decline. According to BitInfoCharts, Ethereum's average fees have tripled in the past 30 days, with the median transaction fee increasing by more than 400% to $2.25.
