Breaking Down Dencun’s Potential to Slash Ethereum Costs
Ethereum’s major upgrade, “Dencun” is scheduled to drop on March 13, and, according to developers, it will immediately decrease gas fees on layer 2s by 75%.
A new technological feature called proto-danksharding, aka blobs, is driving this impressive added scale.
Proto-danksharding funnels some of the data from Ethereum’s layer 2s into temporary storage “blobs” of up to one month to offload some of the validating work, making it cheaper and faster.
Polygon Labs’s Vice President of Product, David Silverman, told Decrypt in a recent interview that gas fees may even drop to a level in which crypto companies and projects become happy to cover them.
Gas fees won’t just become miniscule post-Dencun, they may even drop to the point that crypto companies and projects will cover them.
“We’re going to enter a world where most users are just not going to experience gas at all,” said Silverman. “And it becomes abstracted away.”
After Dencun lands, many of the network’s retail users will ultimately get funnelled onto layer 2s, lured by the cheaper fees.
Offchain Labs developer Terence Tsao, part of the team behind Arbitrum, said Dencun is a paradigm shift, marking the moment when Ethereum’s mainnet “fad[es] away into the background,” even while it will continue to underpin the whole network of layer 2s.
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