🆕📊 The Economics of Ethereum's Roadmap Decisions, by @JustDeauIt 👇

2021: London hard fork (EIP-1559 overhaul of transaction fee mechanism)

▪️ Value accrual to tokenholders

▪️ Burning of base fee akin to "buybacks," driving value to tokenholders

▪️ $12.5b returned to tokenholders since EIP-1559

2022: Ethereum 2.0 (transition to proof of stake)

▪️ Ethereum 2.0 impacts and key takeaways

▪️ ETH issuance and token economics

▪️ Transition from high inflation to low inflation/deflation

2023: Shanghai upgrade (activation of staking withdrawals)

▪️ Implementation of staking withdrawals

▪️ Ethereum’s shift to a proof-of-stake model

▪️ Lido’s net deposits increase by 44% in Q2-23

2024: EIP-4844 (lower fees on L2s)

▪️ Enhancing user experience through reduced costs

▪️ Cost comparison between Ethereum and Layer 2s

▪️ L2 transaction margins

▪️ Reduced fees on L2s despite increased transaction volumes

Scaling Ethereum: progress as per the roadmap and L2 KPIs post-EIP-4844

▪️ Migration of activity to Layer 2s

▪️ Over 90% of transactions now occur on L2s

▪️ 85% of active users and contract deployers utilize L2s

▪️ Developer activity shifting to L2s

Future outlook: technical upgrades

▪️ Enhancing scalability and interoperability

▪️ The key question: where will the most value accrue?