EIP 1559: Ethereum's Fee Market Upgrade Explained

Jun 17, 2021 at 7:07 p.m. UTC

Updated Oct 18, 2021 at 1:25 p.m. UTC

In July, Ethereum is expected to undergo a backwards-incompatible upgrade, also called a "hard fork." One of the most highly anticipated code changes in the upgrade dubbed "London" is Ethereum Improvement Proposal (EIP) 1559. At its core, EIP 1559 is designed to make transaction fees less volatile and more predictable. In this report, we give an overview of how EIP 1559 works and what its intended impacts are to investors, miners and users.

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Christine Kim