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You are wrong about ETH2. It won't solve fees

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by COINS NEWS 197 Views

ETH2 will immediately solve all the fee issues right??

Short answer, it doesn't. That is, assuming you are referring to the merge as ETH2.

ETH2 refers to the merge, but the sentiment that the merge will solve scaling issues is old and now outdated. Originally the PoS chain was intended to get sharding before the merge occurs, putting the merge date most likely in 2023 sometime. However, due to pressure from miners, especially around EIP1559, it was decided to do a minimum viable merge without sharding.

Sharding is the piece that significantly increases throughout and drops transaction fees. So originally, yes, ETH2 would drop fees significantly. But now that the merge was pushed up ahead of sharding, the merge itself won't solve the scaling issues.

ETH2 was intended to be a big update that solves all the issues, but it has been split up and re-arranged. For some reason the name ETH2 stuck and some people use it to refer to the merge and some people use it (more appropriately) to refer to after the merge when sharding is added.

The PoS merge will not solve the scaling issues. There is a 9% throughput increase, but that will be hardly noticable in day to day. Sharding will solve these issues, but it that isnt coming until around 2023 and layer 2s/side chains will help with this. These are here now.

So please, if you see people posting that the merge will solve the scaling issues, politely inform them that sharding and layer 2s will do this, not the merge.

People had a similar misconception that EIP1559 would significantly decrease fees and I want to avoid that for the merge.

EDIT: For more info on Sharding, see my write-up here:

https://np.reddit.com/r/ethereum/comments/p0dpws/Burning_30%25_of_coins_minted_daily_on_average/h874ipe/?utm_medium=android_app&utm_source=share&context=3

submitted by /u/UnrulySasquatch1
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