London’s main innovation concerns the payment of rewards to miners. The EIP-1559 proposal provides for a new mechanism for receiving the award, some of which will now be burned. And we are talking about the commission. If earlier miners earned on commissions from transactions and found blocks, now the first part of the reward will be burned. However, initiators of transactions will be able to voluntarily leave a kind of “tip” to the miners of digital currency.
Another important innovation was the EIP-3554 proposal. They provide for the transfer of an increase in the level of mining difficulty. The new date has already been announced – December 1, 2021.
The London hordfork is another step towards Ethereum 2.0. The transition to the new protocol will make it possible to scale the blockchain and abandon the use of energy-intensive devices for mining cryptocurrency, using the Proof-of-Stake system instead of Proof-of-Work. In this case, the holders of the digital currency will be responsible for the operability of the network, receiving their reward for this.
The aforementioned increase in mining difficulty, scheduled for December 1 this year, should push users to switch to Proof-of-Stake due to falling profitability.
In conclusion, we add that against the background of the London renewal, the value of the digital currency Ethereum jumped sharply. The “ether” rate for the first time since the beginning of summer exceeded the $ 2,800 mark. The price of the cryptocurrency rose by almost $ 250 in less than 2 hours. After that, Ethereum went up in price a little more. But then there was a slight decline. At the time of this writing, one coin is valued at $ 2,775.