EIP 4844, commonly referred to as “Proto-Danksharding,” is generating significant anticipation as the foremost upgrade for Ethereum (ETHUSD), the preeminent blockchain for smart contracts. This upgrade is poised to revolutionize the transaction fee landscape and substantially augment the transactional capacity of Layer 2 solutions on the Ethereum network.
The imminent activation of Ethereum’s EIP 4844 data blobs, expected within the next three months, is projected to bring about a substantial reduction in Layer 2 fees. Renowned Ethereum veteran Ryan Berckmans shared insights on this development, highlighting the potential for a remarkable 7x reduction in L2 transactional fees, coupled with enhanced bandwidth capabilities across the network.
The launch of Ethereum’s EIP 4844 data blobs is slated to occur in approximately three months, heralding a significant decrease in Layer 2 fees. It is widely recognized that these blobs will initially provide around 7x data bandwidth, a substantial improvement, although some argue that it may not be sufficient for global ubiquity.
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A lesser-known aspect is that blob gas will not be in competition with L1 execution gas. Consequently, the entire blob market is expected to clear at considerably lower fees, resulting in a remarkable 600% increase in both cost-efficiency and throughput for Ethereum (ETHUSD).
The activation of EIP 4844 is set to catalyze the scaling of Ethereum through novel approaches within various L2 solutions. Solutions utilizing ZK-secured validity proofs, such as Polygon zkEVM and Starknet, along with hybrid optimistic rollups like Arbitrum Nova, are poised to benefit from the upgrade, contributing significantly to Ethereum’s scaling efforts.
This forthcoming development is deemed a major stride forward in enhancing the usability and accessibility of Ethereum. According to an optimistic investor, Ethereum’s most accessible days are on the horizon, coinciding with an anticipated bullish market.
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As previously reported by U.Today, the Ethereum community eagerly anticipates the activation of EIP 4844 to render all of its Layer 2 solutions faster and more cost-effective.
Looking ahead, the confirmation of the highly anticipated upgrade is expected in Q1 2024, following a series of shadow forks and testnet updates. Additionally, there is excitement surrounding another potentially game-changing upgrade for Ethereum L2s, as developers released a proposal for RIP-7560: Native Account Abstraction. This marks the first-ever rollup-specific performance upgrade proposal, introducing notable changes to smart contract accounts in L2 solutions. The proposed implementation of Account Abstraction in rollups necessitates adjustments to the EntryPoint address, a rewrite of the validateUserOp function, and minor updates to transaction logics.
Information | Details |
---|---|
EIP 4844 Upgrade | Various L2 solutions, including ZK-secured proofs and hybrid rollups, set to benefit from the upgrade. |
Expected Benefits | – Substantial reduction in Layer 2 (L2) transaction fees. |
– Significantly increased transactional capacity for L2 solutions on Ethereum. | |
Ryan Berckmans’ Insight | EIP 4844 data blobs activation in ~3 months, anticipating a 7x reduction in L2 fees. |
Blob gas won’t compete with L1 execution gas, resulting in substantially lower fees. | |
Blob Market Impact | Expected 600% increase in cost-efficiency and throughput for Ethereum (ETHUSD). |
Scaling Ethereum with EIP 4844 | Various L2 solutions, including ZK-secured proofs and hybrid rollups, are set to benefit from the upgrade. |
Investor Outlook | Bullish sentiment, anticipating Ethereum’s most accessible days and usability enhancement. |
EIP 4844 Activation Details | Anticipated confirmation in Q1 2024 after shadow forks and testnet updates. |
Proposal for RIP-7560 (Native Account Abstraction) as a potential game-changing upgrade. | |
RIP-7560: Native Account Abstraction | First-ever rollup-specific performance upgrade proposal for Ethereum L2s. |
Requires adjustments to EntryPoint address, validateUserOp function, and minor transaction logic updates. |