Native flash minting allows ETH, the native cryptocurrency of Ethereum, to be flash minted. Native flash minting addresses the gas intensity of other alternatives like wrapped Ethereum flash loans and allows flash minting past the normal Ethereum total supply.
Native flash minting will introduce 2 new EVM instructions:
FLASHMINT (0xb3) and
FLASHBURN (0xb4). The
FLASHMINT EVM instruction would increase the debt counter and mint ETH to the current account, while the
FLASHBURN instruction would decrease the debt counter and burn ETH from the current account. If the smart contract call returns with a non-zero debt counter,
FLASHMINT running into a balance overflow, or if the amount being burned by
FLASHBURN exceeds the debt counter and/or the account balance, the EVM will revert the execution.
Native flash minting saves gas by not having to call other smart contracts for flash loans, which can make capital-free arbitrage in decentralized finance more profitable.