Ethereum on the brink of a major breakthrough

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Those who uses Ethereum network has one common complain about the number 2 digital currency: "Ethereum is hard to use," "Ethereum doesn't scale," and" Ethereum fees are so high." The worst of those complaints is the high transaction fees which mostly affects smaller users on the network. However, things are likely to improve for Ethereum in the coming months because a new upgrade will be rolled out over the network which would solve most or all issues that users normally face with Ethereum Blockchain, particularly high transaction costs.

A Blockonomi post recently reported that the long awaited proto-danksharding upgrade to the Ethereum network has been successfully rolled out on Goerli Testnet, the first of three testnet for the Ethereum upgrade. The purpose of the upgrade is to significantly reduce the high transaction fees and increase scalability of layer 2 networks in the Ethereum Blockchain. Technically, the upgrade is also referred to as proto-danksharding, a technological solution to scaling Ethereum layer 2 networks while at the same time reducing the cost of transactions.

It is evident that higher fees are currently the bottleneck users have to deal with engaging on the Ethereum network, and this has prevented most People to building on Ethereum. The proto-danksharding upgrade therefore will be a welcome development because lower fees would bring adoption and developments which means more transactions and more use cases for ETH.

Bitwise in "The year ahead: 10 crypto predictions" PDF report predicts the upgrade, if implemented, could push the average gas fee per transaction on the Ethereum network down from $0.14 to around to below $0.01 on its layer 2 networks. An upgrade that could see a 90%+ reduction in ETH transaction fees will drastically increase on-chain activities.

What is Protodanksharding

Protodanksharding has been a trend flying around in the media in recent times with many wondering what it is all about. Proto-danksharding is a proposal for an upgrade to the Ethereum network. Also referred to EIP-4844, a series of improvements that has been going on with Ethereum towards achieving a scalable network.

Proto-danksharding is a upgrade to the Ethereum network which seeks to enhance the scalability of layer 2 networks by splitting blocks into smaller "shards" in the protocol, which will enables layer 2 networks to add data to blocks in the protocol, which will allow for higher transaction capacity in a cost effective manner.

How could Proto-danksharding affect Ethereum adoption?

The primary goal of the Proto-danksharding upgrade is to enhance Ethereum layer 2 network scalability and facilitate Blockchain transaction processing with minimum resources. This update promises a significant reduction in transactional fees while improving the overall performance and scalability of renowned layer 2 networks including polygon, Arbitrum, Optimism.

The Ethereum network's Layer 2 networks have served as a central hub for various activities such as smart contracts, Defi and airdrops. However, this has posed difficulties for many individuals with transaction fees on the Ethereum network going above the roof. The upcoming upgrade is anticipated to eliminate these complications resulting in increased transaction volume at lower costs within the Ethereum ecosystem.

Consequently, it is appropriate to assert that the upgrade will lead to a rise in usage and acceptance of Ethereum and ETH overall.

Bottom line

In conclusion, the Proto-danksharding upgrade is set to transform the Ethereum Blockchain space by drastically reducing the transaction costs and enhancing scalability of layer 2 networks which will result in a massive increase in adoption for Ethereum and ETH.

Posted Using InLeo Alpha

Posted Using InLeo Alpha