EIP 1559 – could the burn fees offset pump and dump price dives?

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EIP 1559 – could the burn fees offset pump and dump price dives?

I have read a few things about what EIP 1559 could mean – and I know a huge part of the stated objective is to normalize gas fees, but is the burn fee also intended to offset a price dive from unloading a bunch of eth?

I'm guessing part of the price climb right now has to do with people knowing that EIP 1559 is an improvement that can make eth more valuable in July. The speculation alone I'm sure is contributing to the price increase.

Theoretically tho, would a fair amount of folks suddenly selling eth in July at (possibly all time highs) cause more burn fees which – realistically might offset a kind of pump and dump situation of a destabilization / price dive?

In my most conservative guess, I can imagine that it could be algorithmically set to basically smooth out dives into dips by optimizing the circulation. The supply and demand of eth would thereby have a kind of healthy feedback loop that decreases volitility and promotes growth.

submitted by /u/snowblindswans
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