However, industry participants and Ethereum core developers indicated that a broader discussion was needed regarding the proposal’s potential impact on security, economic incentives, and solo validators. How the burning curve would be calculated, the impact of liquid staking protocols, and the structure of the validator set were among the main points of contention.
The withdrawal of the proposal does not mean that the idea of reducing or burning staking rewards on Ethereum has been completely abandoned. The authors of the EIP plan to conduct a review process for $ETH supply policy independent of the network update.
According to the new schedule, one of the first comprehensive meetings will be held at the Devcon event in November. A new forum is being considered for January at the cryptoeconomics workshop at Columbia University. Technical workshops are planned for February and March, and a more concrete proposal will be worked on with developers at the EthCC event in April.
Therefore, EIP-8363 is not expected to be implemented in the Hegota update. However, the discussion about Ethereum’s long-term supply and staking incentives will continue in a separate process.
*This is not investment advice.
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