According to Cointelegraph, Edward Felten, co-founder of Offchain Labs, stated in his keynote address at EthCC 2026 that Ethereum layer-2 networks need to implement a "dynamic pricing" mechanism to support billions of users and reduce fee volatility during periods of network congestion. Felten noted that current gas price volatility remains the primary mechanism for deterring network overload, but this volatility poses a significant barrier to mainstream adoption. He explained that a dynamic pricing mechanism could handle higher transaction volumes at lower gas prices while avoiding infrastructure overload. In response, developer Julian Kors pointed out that the main drawback of dynamic pricing is its lower predictability compared to EIP-1559. Cyprien Grau, lead of the Status Network project, argued that while this model improves fee accuracy, it does not resolve the structural issue: as scaling competition intensifies, layer-2 gas fees will tend toward zero over the long term, making dynamic pricing essentially a revenue model built on a continuously depreciating asset.
Offchain Labs Co-Founder Proposes Dynamic Pricing for Ethereum Layer 2 Scalability
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Ethereum news emerged at EthCC 2026 as Offchain Labs co-founder Edward Felten proposed dynamic pricing for Ethereum Layer 2 to scale for billions of users. He said current gas price volatility hinders mainstream adoption and suggested a model that reduces fees during congestion without overloading infrastructure. Julian Kors noted the model is less predictable than EIP-1559, while Cyprien Grau said it does not address long-term L2 fee trends. Ethereum’s price remains under close watch as developers debate potential solutions.
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