The current EIP-1559 update and the incoming advent of ETH 2.0 has been received with mixed feelings in the crypto space. While some people are happy about the relief and efficiency it will usher, others are quite skeptical.
Briefly, the EIP-1559 update is traders-friendly as there is more accuracy in calculating the base fees. So far, it the proposal has burned 88,571 Ethereums on the Ropsten testnet that would worth over $150 million. On the other hand, ETH 2.0 is a new version of the Ethereum blockchain. It’s introducing a staking model to ensure more security, efficiency, and speed.
On this note, Andre Conje—the creater of yearn.finance—tweeted that these two developments are quite scary because of their impact on economic policies. However, he did not back up his assertions with credible premises which left others to wonder what made him conclude that.
Nonetheless, he was mirroring the fear of so many concerning these various technological upgrades in the blockchain industry. At this point, some traders are lost within the maze of technicalities.
Hence the reason he advised everyone to be quite smart and careful. Quoting him, he said thus: “1559 and ETH2 scare me. I think their impact on economic policy is understated. Don’t know if it’s good or bad, but either way, it will be a significant change. Tread cautiously.”
Be that as it may, some experts have assured holders not to be skeptical as all these upgrades are for the betterment of the Ethereum blockchain. Hence, it’s still for a fairer and friendlier user experience.