Ethereum celebrated 2020 the only way a blockchain knows how –– with a network upgrade.
The Muir Glacier network upgrade (hard fork) was activated at block number 9,200,000 on Jan 2, 2020, with one Ethereum Improvement Proposal (EIP). EIP 2384 effectively delays the difficulty bomb for another 4,000,000 blocks (~611 days).
While other network upgrades and subsequent changes to the difficulty bomb have been accompanied by a change of ether issuance, there was no reduction in the Muir Glacier upgrade so the issuance will remain at 2 ETH per block.
What is the Ethereum difficulty bomb/ice age?
The difficulty bomb, sometimes lightheartedly referred to as the “ice age” is an algorithm designed to increase the difficulty to mine Ethereum blocks over time.
The history of the difficulty bomb and why it exists
A couple of ideas underlie the difficulty bomb/ice age concept which originates from the initial design of Ethereum. For better or worse, Ethereum has often operated under the ethos of “continuous innovation” requiring frequent upgrades to the Ethereum blockchain. Network upgrades are costly for the network as they require every node on the network to upgrade to the latest version of the protocol. If these nodes do not upgrade, they will be forked off the network. The coordination costs associated with upgrades have historically meant that blockchain projects avoided them.
So the difficulty bomb was, in part, encoded in to force regular hard forks as a way to normalize the idea of upgrading the network. This naturally has also provided opportunities to make other protocol upgrades. Typically, the difficulty bomb has been reset in conjunction with making other protocol changes, so it has arguably worked quite well up to now.
Why wasn’t this just included in the Istanbul hard fork?
The mistake this time was not to combine the reset with the recent Istanbul upgrade as-is typically done. This was a misjudgment based on a miscalculation of when the bomb’s impact would begin to be felt. Original estimates pointed at summer 2020, but in October the first signs of the bomb started to show on the network.
Tim Beiko explaining Muir Glacier update
Where can I keep track and participate in future Ethereum discussions?
As for all protocol changes, there were discussions on the Ethereum developer call and on various forums including Ethereum Magicians. The Ethereum calls and Ethereum Magicians are open for anyone who would like to listen or participate. The best part about open-source communities is that anyone can join the discussion and development!
Is it possible to remove the difficulty bomb?
It is, but would require another network upgrade. While some people have argued informally for removing the bomb in the past, there has never been a proper proposal brought forward to do so. The Meta-EIP associated with the Muir Glacier upgrade describes some of the rationale for the bomb as well as potential future improvements.
One idea that has recently been discussed in the Ethereum community is to remove the bomb once Eth 2.0 is live and finalizing blocks on the 1.x chain using the Finality Gadget.
Overall, Ethereum’s ability to constantly upgrade the network is beneficial to long term success. As always there are differing opinions, but it’s important to remember that every opinion stems from wanting what’s best for Ethereum.