Ethereum Constantinople Hard Fork Takes Effect Tomorrow, What You Need to Know
This Wednesday is the set update for Ethereum’s network, taking place on block number 7,080,000.
What it is
Named update, Constantinople, has 5 upgrades planned with 4 specifically to improve performance.
- EIP 145- coding on a chain will become cheaper and easier by making the Ethereum Virtual Machine use less gas.
- EIP 1014- may pave the way for state channels, allowing users to interact off chain, leading to frictionless onboarding.
- EIP 1052- a new opcode leading to contract code verifications to make chain operations gas efficient and easy.
- EIP 1283- reduces complexity of contract storage which will also increase gas efficiency.
- EIP 1234- decreases rewards for nephew, uncles, and block rewards by 33% and delays the difficulty bomb in preparation for the POS shift for 12 months.
Why it’s needed
On top of improving efficiency of performance and cost, this comes as a part of a series of steps towards a switch to proof of stake consensus.
In simplest terms, the switch from biggest miners being the biggest validators of transactions to people putting up their own ethereum for the right to validate and then being rewarded if selected to do so.
Incidentally, this could protect Ethereum from a 51 percent attack, discouraging people from participating for fear of losing the coins they staked to be able to validate. It will also make the extreme power usage of mining moot because it will no longer be profitable for users to participate in, instead encouraging them to profit from validating transactions.
What to expect
A reduced gas cost, a simpler and more stable technology, and another step towards its ultimate scalability. According to Evan Luthra, an investor on Forbes “30 under 30” list:
“Constantinople is being considered non-contentious, hence we can expect a major shift in the market to this new protocol. ICOs and airdrops will also benefit greatly with the lower costs. A lot of the ICOs I am advising are already talking about the benefits they will get for future airdrops and I am quite confident we will see more of the same.”
If it fails?
There has been announced a failsafe in the new version with the security manager of Ethereum Foundation’s Martin Swende, saying an emergency switch will immediately shut off the update should something go wrong at which point it will be postponed for a later date.
However, the team does not believe it necessary to worry, stating they are ready and on track for a successful update of the network.
Ethereum was up with the Constantinople upgrade being pointed at as the cause but last week saw a $16 billion dollar dump in one day and a 24% drop in value in 3, essentially erasing all such gains.
With hopes of Constantinople bolstering Ethereum futures beginning to falter, there is still hope. This move towards efficiency and eventual POS version will not only make it more cost effective, but improves its ICO marketability outlook by stabilizing the chain from miners to validating.
Click here for a more accurate countdown of the Constantinople update: https://amberdata.io/blocks/7080000