As of block #23850000, Ethereum’s most popular layer two network, Polygon, has successfully implemented EIP-1559.
EIP-1559 was initially activated as part of the Ethereum London hard fork in August 2021. The proposed enhancement changed the network’s gas mechanisms, shifting from a pricing auction method to a more predictable gas fee model that adjusts gas prices based on network load.
Furthermore, block miners no longer charge gas costs, while users can add a tip to their gas spending to expedite block inclusion. Instead, gas fees are burned, causing Ethereum’s inflation rate to fall by about 70% after the hard fork’s activation. The network is even deflationary during high traffic times.
Because Polygon is Ethereum’s most frequently utilized layer two network, it’s only reasonable that they’d want to make the same adjustments to their gas model. Polygon specifies how the network’s native MATIC token will be burnt in a blog post:
The burning process is a two-step process that begins on the Polygon network and ends on the Ethereum network. The Polygon team has developed a public interface through which users may monitor and participate in the burning process. Keep an eye out for the link to the page, which will go live after the renovation is finished.
Because MATIC has a fixed quantity of 10 billion tokens, it will always have a deflationary token model. According to a case study, 0.27 percent of the supply is anticipated to be burned each year.
