There are several important concepts behind cryptocurrency. The first and most basic is security. We believed that trust between users was secured by the system. And this concept has justified itself. But there are still exceptions. Despite ETC’s claimed primacy of code, it was subject to a 51% attack. This is unfortunate and resulted in a lot of negative press. And any major failure casts a shadow on the entire industry. Against this background, ETH, ETC’s “rival” currency, stands out in particular.
Realizing the problems that confront the network, the Etherium team decided to conduct a series of hard forks, the latest of which is the upcoming Constantinople fork. We expect Constantinople to implement 5 major changes:
- A decrease in the cost of smart contracts with bit-shift technology. This technology will result in a tenfold reduction of gas consumption. (EIP 145)
- The adoption of a unique hash, making verifying contracts faster and more efficient. (EIP 1052)
- An updated gas price structure for developers. Ultimately, this will reduce the cost of smart contracts. (EIP 1283)
- Scaling improvements similar to the Bitcoin Lightning Network. (EIP 1014)
- A reduction of the block production bonus from 3 ETC to 2 ETC. This solution postpones the difficulty bomb for another year. (EIP 1234)
This hard fork is intended to lay the groundwork for Ethereum’s transition from a PoW to a PoS network. Due to the evolutionary nature of the hard fork, we most likely will not see new coins.
Perhaps this is the best time to start mining ETH. The difficulty bomb is looming a year down the line and it will turn ETH mining on its head.