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Merge EIP-649 [pull request #669 from 5chdn/a5-eip-649] 

EIP-649: Byzantium Difficulty Bomb Delay and Block Reward Reduction
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EIPS/eip-609.md
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Category: Core
Status: Draft
Created: 2017-04-23
Requires: 100, 140, 196, 197, 198, 211, 214
Requires: 100, 140, 196, 197, 198, 211, 214, 649, 658
## Abstract
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- EIP 198 (Precompiled contract for bigint modular exponentiation)
- EIP 211 (New opcodes: RETURNDATASIZE and RETURNDATACOPY)
- EIP 214 (New opcode STATICCALL)
- EIP 649 (Difficulty Bomb Delay and Block Reward Reduction)
- EIP 658 (Embedding transaction return data in receipts)
## Copyright

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## Preamble
EIP: 649
Title: Metropolis Difficulty Bomb Delay and Block Reward Reduction
Authors: Afri Schoedon, Vitalik Buterin
Type: Standard Track
Category: Core
Status: Final
Created: 2017-06-21
Replaces: 186
## Simple Summary
The average block times are increasing due to the difficulty bomb (also known as the "_ice age_") slowly accelerating. This EIP proposes to delay the difficulty bomb for approximately one and a half year and to reduce the block rewards with the Byzantium fork, the first part of the Metropolis fork.
## Abstract
Starting with `BYZANTIUM_FORK_BLKNUM` the client will calculate the difficulty based on a fake block number suggesting the client that the difficulty bomb is adjusting around 3 million blocks later than previously specified with the Homestead fork. Furthermore, block rewards will be adjusted to a base of 3 ETH, uncle and nephew rewards will be adjusted accordingly.
## Motivation
The Casper development and switch to proof-of-stake is delayed, the Ethash proof-of-work should be feasible for miners and allow sealing new blocks every 15 seconds on average for another one and a half years. With the delay of the ice age, there is a desire to not suddenly also increase miner rewards. The difficulty bomb has been known about for a long time and now it's going to stop from happening. In order to maintain stability of the system, a block reward reduction that offsets the ice age delay would leave the system in the same general state as before. Reducing the reward also decreases the likelihood of a miner driven chain split as Ethereum approaches proof-of-stake.
## Specification
#### Relax Difficulty with Fake Block Number
For the purposes of `calc_difficulty`, simply replace the use of `block.number`, as used in the exponential ice age component, with the formula:
fake_block_number = max(0, block.number - 3_000_000) if block.number >= BYZANTIUM_FORK_BLKNUM else block.number
#### Adjust Block, Uncle, and Nephew rewards
To ensure a constant Ether issuance, adjust the block reward to `new_block_reward`, where
new_block_reward = 3_000_000_000_000_000_000 if block.number >= BYZANTIUM_FORK_BLKNUM else block.reward
(3E18 wei, or 3,000,000,000,000,000,000 wei, or 3 ETH).
Analogue, if an uncle is included in a block for `block.number >= BYZANTIUM_FORK_BLKNUM` such that `block.number - uncle.number = k`, the uncle reward is
new_uncle_reward = (8 - k) * new_block_reward / 8
This is the existing pre-Metropolis formula for uncle rewards, simply adjusted with `new_block_reward`.
The nephew reward for `block.number >= BYZANTIUM_FORK_BLKNUM` is
new_nephew_reward = new_block_reward / 32
This is the existing pre-Metropolis formula for nephew rewards, simply adjusted with `new_block_reward`.
## Rationale
This will delay the ice age by 42 million seconds (approximately 1.4 years), so the chain would be back at 30 second block times at the end of 2018. An alternate proposal was to add special rules to the difficulty calculation to effectively _pause_ the difficulty between different blocks. This would lead to similar results.
This was previously discussed at All Core Devs Meeting [#09](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%209.md#metropolis-timing-and-roadmap-discussion), [#12](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2012.md#5-metropolis-update), [#13](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2013.md#3-eip-186-reduce-eth-issuance-before-proof-of-stake-hudson), and [#14](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2014.md#1-eip-186-reduce-eth-issuance-before-proof-of-stake-core-devs). Consensus on the specification was achieved in All Core Devs Meeting [#19](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2019.md) and specification drafted in EIP issue [#649](https://github.com/ethereum/EIPs/issues/649). It was decided to replace EIP [#186](https://github.com/ethereum/EIPs/issues/186) and include the block reward reduction along with the difficulty bomb delay in All Core Devs Meeting [#20](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2020.md) and [#21](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2021.md); accepted in [#22](https://github.com/ethereum/pm/blob/master/All%20Core%20Devs%20Meetings/Meeting%2022.md).
## Backwards Compatibility
This EIP is not forward compatible and introduces backwards incompatibilities in the difficulty calculation, as well as the block, uncle and nephew reward structure. Therefore, it should be included in a scheduled hardfork at a certain block number. It's suggested to include this EIP in the first of the two Metropolis hard-forks, the _Byzantium_ fork.
## Test Cases
Test cases exist in ethereum/tests [#269](https://github.com/ethereum/tests/pull/269).
## Implementation
The following clients implemented EIP-649:
- Geth [#15028](https://github.com/ethereum/go-ethereum/pull/15028)
- Parity [#5855](https://github.com/paritytech/parity/pull/5855)
- EthereumJ [#927](https://github.com/ethereum/ethereumj/pull/927)
- Cpp-Ethereum [#4050](https://github.com/ethereum/cpp-ethereum/issues/4050)
- PyEthereum [#383](https://github.com/ethereum/pyethereum/pull/383)
The Yellow Paper implements EIP-649 in [#333](https://github.com/ethereum/yellowpaper/pull/333).
Other notable implementations:
- Eth-Isabelle [#459](https://github.com/pirapira/eth-isabelle/issues/459)
- Py-EVM [#123](https://github.com/pipermerriam/py-evm/pull/123)
## Copyright
Copyright and related rights waived via [CC0](https://creativecommons.org/publicdomain/zero/1.0/).

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* **Deferred** - an EIP that is not being considered for immediate adoption. May be reconsidered in the future for a subsequent hard fork.
# Deferred EIPs (adoption postponed until the Constantinople Metropolis hard fork)
| Number |Title | Author | Layer | Status |
| ------------------------------------------------------- | ----------------------------------------------------------------------------------- | -------------------- | ------------| ----------|
| [86](https://github.com/ethereum/EIPs/pull/208) | Abstraction of transaction origin and signature | Vitalik Buterin | Core | Deferred |
| [96](https://github.com/ethereum/EIPs/pull/210) | Blockhash refactoring | Vitalik Buterin | Core | Deferred |
| [145](EIPS/eip-145.md) | Bitwise shifting instructions in EVM | Alex Beregszaszi, Paweł Bylica | Core | Deferred |
| Number | Title | Author | Layer | Status |
| -------------------------------------------------- | -------------------------------------------------------------------------------------------- | ------------------------------------------ | ---------- | -------- |
| [86](https://github.com/ethereum/EIPs/pull/208) | Abstraction of transaction origin and signature | Vitalik Buterin | Core | Deferred |
| [96](https://github.com/ethereum/EIPs/pull/210) | Blockhash refactoring | Vitalik Buterin | Core | Deferred |
| [145](EIPS/eip-145.md) | Bitwise shifting instructions in EVM | Alex Beregszaszi, Paweł Bylica | Core | Deferred |
# Finalized EIPs (standards that have been adopted)
| Number |Title | Author | Layer | Status |
| ------------------------------------------------------- | ----------------------------------------------------------- | ----------------| ------------| --------|
| [2](EIPS/eip-2.md) | Homestead Hard-fork Changes | Vitalik Buterin | Core | Final |
| [6](EIPS/eip-6.md) | Renaming Suicide Opcode | Hudson Jameson | Interface | Final |
| [7](EIPS/eip-7.md) | DELEGATECALL | Vitalik Buterin | Core | Final |
| [8](EIPS/eip-8.md) | devp2p Forward Compatibility Requirements for Homestead | Felix Lange | Networking | Final |
| [20](EIPS/eip-20-token-standard.md) | ERC-20 Token Standard | Fabian Vogelsteller, Vitalik Buterin | ERC | Final |
| [55](EIPS/eip-55.md) | ERC-55 Mixed-case checksum address encoding | Vitalik Buterin | Core | Final |
| [100](https://github.com/ethereum/EIPs/issues/100) | Change difficulty adjustment to target mean block time including uncles | Vitalik Buterin | Core | Final |
| [137](EIPS/eip-137.md) | Ethereum Domain Name Service - Specification | Nick Johnson | ERC | Final |
| [140](https://github.com/ethereum/EIPs/pull/206) | REVERT instruction in the Ethereum Virtual Machine | Beregszaszi, Mushegian| Core | Final |
| [141](EIPS/eip-141.md) | Designated invalid EVM instruction | Alex Beregszaszi| Core | Final |
| [150](EIPS/eip-150.md) | Gas cost changes for IO-heavy operations | Vitalik Buterin | Core | Final |
| [155](EIPS/eip-155.md) | Simple replay attack protection | Vitalik Buterin | Core | Final |
| [160](EIPS/eip-160.md) | EXP cost increase | Vitalik Buterin | Core | Final |
| [161](EIPS/eip-161.md) | State trie clearing (invariant-preserving alternative) | Gavin Wood | Core | Final |
| [162](EIPS/eip-162.md) | ERC-162 ENS support for reverse resolution of Ethereum addresses | Maurelian, Nick Johnson | ERC | Final |
| [170](EIPS/eip-170.md) | Contract code size limit | Vitalik Buterin | Core | Final |
| [181](EIPS/eip-181.md) | ERC-181 ENS support for reverse resolution of Ethereum addresses | Nick Johnson | ERC | Final |
| [190](EIPS/eip-190.md) | ERC-190 Ethereum Smart Contract Packaging Standard | Piper Merriam, Tim Coulter, Denis Erfurt (mhhf), RJ Catalano (VoR0220), Iuri Matias (iurimatias) | ERC | Final |
| [196](https://github.com/ethereum/EIPs/pull/213) | Precompiled contracts for addition and scalar multiplication on the elliptic curve alt_bn128 | Reitwiessner | Core | Final |
| [197](https://github.com/ethereum/EIPs/pull/212) | Precompiled contracts for optimal Ate pairing check on the elliptic curve alt_bn128 | Buterin, Reitwiessner | Core | Final |
| [198](https://github.com/ethereum/EIPs/pull/198) | Precompiled contract for bigint modular exponentiation | Vitalik Buterin | Core | Final |
| [211](https://github.com/ethereum/EIPs/pull/211) | New opcodes: RETURNDATASIZE and RETURNDATACOPY | Christian Reitwiessner| Core | Final |
| [214](https://github.com/ethereum/EIPs/pull/214) | New opcode STATICCALL | Buterin, Reitwiessner | Core | Final |
| [606](EIPS/eip-606.md) | Hardfork Meta: Homestead | Alex Beregszaszi | Meta | Final |
| [607](EIPS/eip-607.md) | Hardfork Meta: Spurious Dragon | Alex Beregszaszi | Meta | Final |
| [608](EIPS/eip-608.md) | Hardfork Meta: Tangerine Whistle | Alex Beregszaszi | Meta | Final |
| [609](EIPS/eip-609.md) | Hardfork Meta: Byzantium | Alex Beregszaszi | Meta | Final |
| [649](https://github.com/ethereum/EIPs/pull/669) | Metropolis Difficulty Bomb Delay and Issuance Reduction | Schoedon, Buterin | Core | Final |
| [658](https://github.com/ethereum/EIPs/pull/658) | Embedding transaction return data in receipts | Nick Johnson | Core | Final |
| [706](EIPS/eip-706.md) | DEVp2p snappy compression | Péter Szilágyi | Networking | Final |
| Number | Title | Author | Layer | Status |
| -------------------------------------------------- | -------------------------------------------------------------------------------------------- | -------------------------------------------| ---------- | -------- |
| [2](EIPS/eip-2.md) | Homestead Hard-fork Changes | Vitalik Buterin | Core | Final |
| [6](EIPS/eip-6.md) | Renaming Suicide Opcode | Hudson Jameson | Interface | Final |
| [7](EIPS/eip-7.md) | DELEGATECALL | Vitalik Buterin | Core | Final |
| [8](EIPS/eip-8.md) | devp2p Forward Compatibility Requirements for Homestead | Felix Lange | Networking | Final |
| [20](EIPS/eip-20-token-standard.md) | ERC-20 Token Standard | Fabian Vogelsteller, Vitalik Buterin | ERC | Final |
| [55](EIPS/eip-55.md) | ERC-55 Mixed-case checksum address encoding | Vitalik Buterin | Core | Final |
| [100](https://github.com/ethereum/EIPs/issues/100) | Change difficulty adjustment to target mean block time including uncles | Vitalik Buterin | Core | Final |
| [137](EIPS/eip-137.md) | Ethereum Domain Name Service - Specification | Nick Johnson | ERC | Final |
| [140](https://github.com/ethereum/EIPs/pull/206) | REVERT instruction in the Ethereum Virtual Machine | Alex Beregszaszi, Nikolai Mushegian | Core | Final |
| [141](EIPS/eip-141.md) | Designated invalid EVM instruction | Alex Beregszaszi | Core | Final |
| [150](EIPS/eip-150.md) | Gas cost changes for IO-heavy operations | Vitalik Buterin | Core | Final |
| [155](EIPS/eip-155.md) | Simple replay attack protection | Vitalik Buterin | Core | Final |
| [160](EIPS/eip-160.md) | EXP cost increase | Vitalik Buterin | Core | Final |
| [161](EIPS/eip-161.md) | State trie clearing (invariant-preserving alternative) | Gavin Wood | Core | Final |
| [162](EIPS/eip-162.md) | ERC-162 ENS support for reverse resolution of Ethereum addresses | Maurelian, Nick Johnson | ERC | Final |
| [170](EIPS/eip-170.md) | Contract code size limit | Vitalik Buterin | Core | Final |
| [181](EIPS/eip-181.md) | ERC-181 ENS support for reverse resolution of Ethereum addresses | Nick Johnson | ERC | Final |
| [190](EIPS/eip-190.md) | ERC-190 Ethereum Smart Contract Packaging Standard | Merriam, Coulter, Erfurt, Catalano, Matias | ERC | Final |
| [196](https://github.com/ethereum/EIPs/pull/213) | Precompiled contracts for addition and scalar multiplication on the elliptic curve alt_bn128 | Christian Reitwiessner | Core | Final |
| [197](https://github.com/ethereum/EIPs/pull/212) | Precompiled contracts for optimal Ate pairing check on the elliptic curve alt_bn128 | Vitalik Buterin, Christian Reitwiessner | Core | Final |
| [198](https://github.com/ethereum/EIPs/pull/198) | Precompiled contract for bigint modular exponentiation | Vitalik Buterin | Core | Final |
| [211](https://github.com/ethereum/EIPs/pull/211) | New opcodes: RETURNDATASIZE and RETURNDATACOPY | Christian Reitwiessner | Core | Final |
| [214](https://github.com/ethereum/EIPs/pull/214) | New opcode STATICCALL | Vitalik Buterin, Christian Reitwiessner | Core | Final |
| [606](EIPS/eip-606.md) | Hardfork Meta: Homestead | Alex Beregszaszi | Meta | Final |
| [607](EIPS/eip-607.md) | Hardfork Meta: Spurious Dragon | Alex Beregszaszi | Meta | Final |
| [608](EIPS/eip-608.md) | Hardfork Meta: Tangerine Whistle | Alex Beregszaszi | Meta | Final |
| [609](EIPS/eip-609.md) | Hardfork Meta: Byzantium | Alex Beregszaszi | Meta | Final |
| [649](https://github.com/ethereum/EIPs/pull/669) | Metropolis Difficulty Bomb Delay and Block Reward Reduction | Afri Schoedon, Vitalik Buterin | Core | Final |
| [658](https://github.com/ethereum/EIPs/pull/658) | Embedding transaction return data in receipts | Nick Johnson | Core | Final |
| [706](EIPS/eip-706.md) | DEVp2p snappy compression | Péter Szilágyi | Networking | Final |