Ethereum’s London hard fork is slated to activate in the first week of August. However, Ethereum developer Tim Beiko said that after the update, some tokens will become completely useless.
The London hardfork includes the EIP-1559 proposal, which means that ETH will be destroyed when fees are paid. This should reduce transaction fees. However, in addition to EIP-1559, the update also includes the EIP-3529 proposal, within the framework of which the refusal of gas refunds is taking place.
“How does Ethereum work if you store data online? When you clean up the data, you get a small gas refund. This is done in order to encourage developers to “clean up” the network after themselves, “- said the developer of Ethereum Tim Beiko (Tim Beiko).
The idea sounds good, but in practice the developers have used this mechanism for profit. When fees on the Ethereum network were low, they filled the network with “junk data,” and then, when fees grew, the data was removed from the network and received gas refunds.
Several “gas tokens” are built on this mechanism, like GST2 or CHI. 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 reimbursement mechanism will be disabled and such tokens will stop working.
“They will become useless after the London update. But, naturally, I cannot say whether their price will drop to zero or not – the market is often very irrational, ”Beiko said.
Earlier, Tim Beiko proposed a block to activate the London hard fork on the Ethereum network. In his opinion, the update should be activated at block 12,965,000, which is expected to be mined on August 4.