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ETH Upcoming Hard Fork; What Changes Will Occur?

Maya Mandzikasvili | Jan. 7, 2019
ETH Upcoming Hard Fork; What Changes Will Occur?

January 07, 2019 | AtoZ Markets -A system-wide update of the Ethereum titled as Constantinople will appear on the nearest node in a very close future. Recently, the head of Péter Szilágyi Ethereum reported on his Twitter profile that the long-awaited Hard Fork of Ethereum will take place on January 16th.

Constantinople Is Another Stage to Ethereum 2.0

According to the experts, the Byzantine hard fork of Ethereum, which preceded the aforementioned event, was only half of the two-part process of moving the decentralized application platform to a new consensus method - proof of interest. The upcoming activation of Constantinople in the words of supporters of Ether is one of the key stages in the Ethereum path to version 2.0, which transfers the protocol from the performance check or proof-of-work (PoW) to the verification check or proof-of-stake (PoS).

Upcoming Changes Will Not Be Crucial

According to the representatives of Ethereum, changes following Constantinople update will be insignificant. Upcoming amend will introduce several new operation codes that programmers use to develop smart contracts, also new protocols will delay the intensity of the mining “complexity bomb” and reduce the reward for finding blocks. Moreover Constantinople update will change and optimize the way Ethereum gas is consumed. After the launch of the updates, the nodes on which new project works will be incompatible with the previous versions of the blockchain platform, which will lead to a hard fork and nodes running the latest software will work on the new fork. Ethereum team lead, Peter Szilágyi explained that the Ethereum protocol will be branched when the blockchain reaches 7,080,000 blocks. Outdated nodes that continue to work in the original blockchain will no longer receive compensation, because tokens on the old branch may become useless. Users will automatically get access to their ETH to spend them on a new fork. Unlike other crypto projects' hard forks, which provide two different cryptocurrencies, the blockchain experts called Ethereum hard fork "not controversial." This means that the community can accept the update without any problems.

Ethereum Improvements Will Help to Safe Power

As Atoz Markets reported previously Ethereum's Constantinople update includes five different proposals for the improvement (EIP). The first of these labeled as EIP 1234, is important for miners, requires a delay in building up the “difficulty bomb” and lowers the mining rewards. “Difficulty bomb,” is a piece of Ethereum’s code that steadily increases the difficulty of mining new blocks.The bomb was conceived as part of the already mentioned plan for transferring the Ethereum network from an energy-intensive process called proof-of-work, into a more energy efficient, called proof-of stake. "Difficulty bomb" becoming unprofitable will allow the protocol to proceed to the new version. The proposal holds a change of 5 million blocks, or about twelve months. According to the experts, this shows that the transition to the new protocol still requires much more development.The other four EIPs will provide new developer opcodes also optimize existing opcodes for Ethereum smart contracts. The EIP 145 will introduce a bit shift operation, which allows dApp developers to optimize certain operations for Ethereum gas savings. Gas is a kind of fuel that requires the Ethereum blockchain to continue working. How a car needs gasoline to keep driving so Ethereum requires gas to keep things going. Another new protocol EIP 1014 will allow users to interact with addresses that have not yet been initialized in the blockchain. EIP 1052 in turn will provide a new opcode to generate hashes of certain types of addresses. And finally, EIP 1283 will propose changes in gas metering in the existing SSTORE opcode, which will also enable the inclusion of the new functions and reduce the gas cost. In general, most of the updates are aimed at reducing gas costs or alleviating the lives of developers by reducing the complexity of common tasks. Nevertheless, experts say it is too early to predict how changes in Ethereum development will affect its position in the market. Despite this, the recent jump of Ethereum price suggests that the market is responding positively to the update. Since last month, the price of ETH has changed from $ 82 to $ 160 per coin.

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