5 Things To Expect From Ethereum’s Upcoming Dencun Upgrade

cryptonews.com:

Ethereum’s much-anticipated Dencun upgrade is scheduled for a mainnet launch on March 13, following successful testnet launches in February.

This upgrade marks a significant milestone in Ethereum’s evolution, and is expected to have a considerable impact on the wider market.

The Dencun hard fork will involve implementing several Ethereum Improvement Proposals (EIPs). Of these, EIP-4844, commonly called proto-danksharding, is attracting significant attention.

Ethereum investors are eagerly awaiting to see the changes and benefits this upgrade will bring to the network.

EIP-4844 is set to be a game changer for Ethereum’s efficiency, particularly for Layer-2 scaling solutions like rollups. Currently, these rollups enhance transaction speed and reduce costs by temporarily holding a copy of Ethereum’s ledger and history.

This setup helps in verifying the accuracy of transactions. But it relies on using “calldata” for data storage, which is quite expensive – costing about $1000 per megabyte. This high cost can be a major hurdle, especially when there’s a surge in demand.

EIP-4844 aims to resolve this issue by introducing a new concept called “blob” transactions. These are designed as a temporary data storage solution specifically tailored for Ethereum’s rollup needs. Unlike the current approach, blobs can store large amounts of data more efficiently and cost-effectively.

By providing a more cost-effective way of storing large amounts of data, this upgrade will make it cheaper and more efficient to operate on Ethereum.

Blobs are also expected to expand the data submission capacity for Layer-2 solutions when interacting with the Ethereum mainnet. This enhancement has the potential to dramatically increase the number of transactions the