Buterin Proposes Multidimensional Fee Structure For Ethereum

• Vitalik Buterin and developer Anders Elowsson introduced EIP-7999, a proposal to adopt a multidimensional fee market for Ethereum.
• The crypto community reacted positively to the proposal, with many viewing it as the key to the chain’s accelerated growth and adoption.
• Trump Organization EVP Eric Trump agreed to entrepreneur Ted Pillows’ assessment that ETH is undervalued.

Vitalik Buterin, co-founder of Ethereum (ETH), is making his move toward fulfilling his earlier goal of overhauling Ethereum’s fee structure. Together with Anders Elowsson, a developer, he introduced the EIP-7999 proposal for the network to adopt a unified multidimensional fee market.

Why the Multidimensional Fee for Ethereum Matters

“Let transactions specify one aggregate max fee for multiple resources, unify the fee markets, normalize gas, and generalize EIP-7918,” said Elowsson in his description for the proposal.

According to Ellowsson, a multidimensional fee market streamlines the payment of gas fees for different resources used in an Ethereum transaction. The network would treat the max fee as fungible across resources. This way, users no longer have to juggle multiple fees for computing, storage, or data resources.

The developer highlighted that the unified structure offers a “more efficient use of capital, and enshrines the same representation that users have when they interact with Ethereum.” The simplified model also allows users to save on the fees, as the system automatically figures out a way to split the unified fee on various network resources. Additionally, the framework paves the way for a more predictable pricing of transactions and price stability throughout the network.

The proposal is still subject to community scrutiny and discussion.

Crypto Community Reacts

Members of the crypto community solidarily reacted positively to the proposed upgrade. For them, it’s a significant tweak to user experience and scalability. Meanwhile, the smart pricing encourages developers to build more efficient decentralized applications (dApps) on Ethereum, ultimately ushering in broader adoption of the chain across a variety of use cases.

Moreover, they believe that the move lays the foundation for Buterin’s vision of mass coordination among chains, and their consolidation within the Ethereum ecosystem. Last month, he supported the idea of the network being the ideal infrastructure for hosting the transition of existing alternative Layer-1 (L1) chains into Layer-2 (L2) solutions.

Eric Trump Agrees ETH is Undervalued

Eric Trump, Executive Vice President of the Trump Organization and son of US President Donald Trump, indicated that ETH, the native currency of Ethereum, is underpriced. In a recent post on X, he agreed with the assessment of Ted Pillows, an entrepreneur and OKX partner, that the token has yet to reflect M2 (money supply) growth.

With ETH catching up to global liquidity, Pillows stated that the digital asset should now be trading at $8,000 per token. He opined that ETH tracks M2 in the long term. Thus, it may no longer come as a surprise if its price flips further upward soon.

Disclaimer

The facts presented in this article are only for informational purposes, and readers should not interpret them as financial advice or product recommendations from the author or the Blockzeit team.

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