Lecoin is getting a major upgrade later this month. This upgrade will introduce some new features that are very effective in reducing Gas costs. The upgrade is highly anticipated as high Gas costs continue to hamper Filecoin’s power growth. But how low will the Gas cost go after the upgrade? To the floor? Not necessarily.
So where can Gas Base-FEE go after this upgrade? I’m going to go out on a limb and make some wild guesses, but don’t take them seriously. It is expected that the Gas Base-fee will not be on the floor for long periods of time (100 AttoFil) over the next few months or a year, but will fluctuate within a range that is considered acceptable. The average Gas price can be around 0.1 Fil (up or down multiple times, meaning 0.01 to 0.9 Fil is correct).
Why is that? There are several reasons for this:
- New features simply provide new means +(zizz947)
The implementation of these new FIPs only provides a means to save Gas consumption. For example, batch submission can save some Gas costs, and aggregate proof can reduce Gas consumption several times. But then again, these are new features, and none of the previous methods have been eliminated. Miners will still be able to pre-submit and submit certificates the old-fashioned way. So it’s the miners’ choice whether to submit this new information or not. At one extreme, if no one uses it, there will be no change; At the other extreme, if everyone uses it, Gas consumption will be greatly reduced. But neither scenario is realistic. Due to the current high cost of Gas, it is expected that many large miners will adopt it. But even if it does, it is the miners’ own choice how and what parameters they choose. Therefore, extreme Gas savings of 10x to 25x cannot be directly applied to projections.
- It may not be advantageous to adopt the new method
It is a realistic scenario that due to the batching and aggregation support for FIP-0013 and FIP-0008, miners using these new methods will have a slightly later average time to chain their messages than the previous methods, which may result in a slightly later increase in computational power. This late increase in computing power may, in theory, reduce the chances of block revenue for a short time.
In other words, in the process of increasing computing power, consumption is reduced, but the profit opportunity is also lost a little bit. This loss is proportional to the time of delay. Therefore, it is possible that the big miners will be a little more aggressive in adopting the new method, while the small miners, due to the longer cumulative information time, will be less aggressive when Gas costs are already low.
- This is a dynamic equilibrium
Miners always want to maximize profits, so it is possible to design and optimize whether or not to batch or generate aggregate certificates, and in what quantities. Fewer people will adopt the new approach if Gas costs are low enough to be negligible, or if Gas costs are low enough to not offset the loss of revenue due to late submission. There will be more messages and Gas bills will go up. As Gas costs rise to the point where the cost of submitting proof becomes greater than the benefit, rational miners will consider more conversions. Therefore, this forms a negative feedback system, which is a dynamic balance, a process of market regulation. For negative feedback on Filecoin, see: Filecoin control Loops and Feedback Mechanisms
What we should see, however, is that it is with these tools that the competition among all miners involves conscious or unconscious cooperation to regulate Gas charges so that Gas charges can be maintained at a reasonable level over a wide range of network loads. That’s the beauty of the design.
The reasonable rate for Gas, which most miners agree on, is neither too low nor too high. It will be relatively stable until the Filecion ecology changes greatly. This should be a very good thing for the real network.
In addition, there are a lot of people talking about Filecoin’s network processing power, or TPS. This statement is actually inaccurate. This upgrade does not improve TPS, nor does it change the processing power of the Filecoin network. This upgrade is intended to reduce, or maintain, the Gas consumption of the Filecoin network’s growth algorithms by reducing the consumption of Gas by the two main types of messages that consume Gas. This frees up the processing power of the Filecoin network for many other messages, such as transactions, real data storage, and so on.
So, what you will actually see is that when the upgrade is complete, you will see a reduction in the number of messages related to replication proofs. So, if you go to Filscans. IO and look at the average number of messages per block, there will be fewer for a while than before the upgrade. For example, it’s over 500 right now, and maybe you’ll see something under 400 when you upgrade.
This update will unshackle the growth of Filecoin’s computing power and give you a more realistic picture of how popular and ecological the Filecoin network is. The big upside is that Filecoin’s Gas prices will remain relatively stable for a long time, which is very good for ecology.
The negative impact of this correction on FIL miners is actually minimal, and even for most miners who are about to enter the market, it has a good positive impact, because due to the strict mechanism of IPFS project, participation in IPFS/Filecoin coin mining requires a large amount of pledged currency, so it can save a lot of cost when the currency price is low. Virtually lowered a lot of entry barriers +(zizz947)