1 APR acne Buterin proposed to include in the second part of the hard forks Metropolis offer EIP 960, in which he proposes to limit the amount of ETH in circulation and to reduce the remuneration of the PoW miners. And it’s not an April fool’s joke.
In the preamble to the proposal States:
In order to ensure the economic credibility of the platform under any circumstances, and in light of the fact that the issue of new coins for miners is no longer as effective way to ensure fair distribution of the coins, and any politically meaningful purpose, I propose to set the upper bound of the full amount of ETH.
During the next hard forks (which is likely to be included the first phase of the Protocol, Casper), the sentence expresses the remuneration of the miners, interest income validators and validators remuneration of the individual shards, as well as any other types of rewards included in the primary Protocol, the «unit of compensation» or RU (Reward Units) defined as :
1RU = (1 – (Current number of coins/the Maximum number of coins)) ETH.
The maximum number of coins Buterin proposes to install in 120 204 432that is twice the amount of ETH distributed in the first causale.
Thus, assuming the maximum amount of about 120 million, and the current number of ETH in the treatment of 98.5 million ETH, we find that there is 1 EN to 1 — 98.5 M/120M, or about 0.1792 ETH, so if hardwork was held today, current remuneration, 3 ETH for the block would be equal to 16.74 EN. After one month, the amount of ETH will grow to 99.1 million and 1 EN reduced to ETH 0.1742, respectively, the reward for block will be 16.74*0.1742=2.91555 ETH.
Further, the total number of coins should asymptotically approach the maximum possible, and accordingly, the reward for block will similarly tend to zero, so assuming that Ethereum will remain on the PoW, the reward halving will occur every 744 days.
In reality, the reward for a block is even more significantly reduced with the transition to POS. Moreover, the total number of coins in circulation will be reduced even more due to their data storage on the blockchain and fines validators deposits (these amounts will be burnt). Thus, the total number of coins in circulation taking into account payments to miners/validators will find equilibrium at some value less than maximum.
In the proposal it is noted that if for any reason the value of 120 million will be installed too late (i.e., if hardwork Metropolis 2 is delayed), then Buterin provides an upper bound on the 144 052 828 ETH is twice the number of coins contained in the Genesis block and including krausel and PreMain.
The introduction of EIP 960 was quite unexpected, therefore, many commentators even believed that it was an April fool’s joke. At the same time, proposals to limit the emission of hear for a long time, though as this occurred in the form of free discussions.
The decisive impetus, apparently, was the protracted fall in the value of cryptocurrencies for the last three weeks. However, the proposal does not imply its approval and it is unknown whether it will get the developer support and community. Of the developers responded yet Hudson Jameson (Jameson Hudson), who expressed approval of the idea in the thread of comments on Reddit. The General tone of the comments, too, generally positive, although many continue to doubt, no joke.
But who is not joking, it’s the miners Ethereum, because even a small reward will go to them not fully a part of it will get the validators Casper FFG – the first stage of the transition to POS. The value of their remuneration has not yet been voiced, although the discussions repeatedly mentioned the figure of 0.6 ETH for the block. Most likely, EIP 960 will discuss at the next meeting of the developers of Ethereum, which is scheduled for Friday April 6.