Ethernet Dencun Upgrade: A New Path for Second-Level Network Transactions

Ether is a decentralized computing platform that supports digital currencies, global payments and applications. Ethernet’s vision is to be an open, permission-free, decentralized global computer that provides the foundation for human freedom and innovation. However, Ether currently faces a number of challenges, such as slow transactions, high fees, and poor scalability. To address these issues, Ether is undergoing a series of upgrades to improve its performance and security for the future.

Recently, one of the major upgrades to Ether, the Dencun Upgrade, has gone live on the Goerli test network, an upgrade that provides more space and efficiency for second-tier transactions on Ether. In this article, we will introduce the content, significance and impact of the Dencun upgrade to help readers understand the latest developments and prospects of Ether.

What is the Dencun Upgrade?

The Dencun Upgrade is an upgrade to the execution and consensus layers of EtherNet and includes multiple improvement proposals such as EIP-4844, EIP-1153, EIP-6780, EIP-4788, EIP-5656, and EIP-7516. These improvement proposals address the transaction formats, opcodes, storage, verifiers, signatures, and other aspects of Ethernet, and are designed to improve the scalability, security, and sustainability of Ethernet.

The centerpiece of the Dencun upgrade is EIP-4844, also known as Proto-Danksharding or Shard Blob Transactions.This proposal introduces a new transaction type called Blob transactions, which can store more data without being limited by Calldata like regular transactions.Blob Blob transactions are primarily used to store data for Tier 2 transactions, such as Rollups, which reduces the cost of Tier 2 transactions and increases the throughput of Tier 2 transactions.The data in Blob transactions is automatically deleted after a certain period of time and does not permanently occupy EtherCast storage space.

EIP-4844 How it works | Source: Web

The Dencun upgrade also includes a number of other improvements, such as:

EIP-1153: Add transient storage opcodes for reading and writing temporary data inside blocks, reducing storage costs and Gas consumption.

EIP-6780: Modify the functionality of the SELFDESTRUCT opcode so that it can only be used in the same transaction, in preparation for the future introduction of the Verkle Tree.Bitmain

EIP-4788: Modify the Gas calculation for the SLOAD opcode so that it is proportional to the storage usage to prevent storage abuse and waste.

EIP-5656: Modify the validator exit mechanism so that it can voluntarily exit at any time without waiting for a minimum exit delay, improving the flexibility of the validator.

EIP-7516: Modify the growth rate of the number of validators so that it is inversely proportional to the block time of the beacon chain, keeping the number of validators within a reasonable range and improving the security of the network.

The Dencun upgrade is an important milestone in the Ethernet upgrade roadmap, preparing Ethernet for future sharding and data availability sampling, as well as opening up new space and efficiencies for second-tier transactions on Ethernet.

How will the Dencun upgrade affect the network?

The Dencun upgrade will have a number of positive impacts on the Ethernet network, mainly in the following areas:

Reducing the cost of Tier 2 transactions: Since Blob transactions can store more data and do not need to be kept permanently, the cost of data availability for Tier 2 transactions will be significantly reduced, thus reducing the total cost of Tier 2 transactions. According to estimates by Ethernet researchers, the Dencun upgrade will reduce the cost of Layer 2 transactions by about 90%, which will make Layer 2 transactions more economical and viable.Kas Miner

Increased throughput for Layer 2 transactions: Since Blob transactions can store more data and do not take up space in Calldata, the data throughput of Layer 2 transactions will be significantly increased, which will improve the speed and efficiency of Layer 2 transactions. According to estimates from Ethernet researchers, the Dencun upgrade will increase the throughput of Tier 2 transactions by anywhere from 2x to 40x, which will make Tier 2 transactions faster and more flexible.

Optimized Data Management: Since the data of Blob transactions will be automatically deleted after a certain period of time and will not permanently occupy the storage space of EtherChannel, the data management of EtherChannel will be more optimized and efficient, and there will be no accumulation and waste of data. This will result in lower storage costs, higher performance and greater sustainability for Ethernet.

Enhanced Network Security: As the Dencun upgrade also includes some other improvements, such as modifying the exit mechanism and the growth rate of the number of verifiers, the security of the Ethernet network will be enhanced, and there will be no over-exit or over-growth of verifiers, maintaining the stability and balance of the network.

Impact of Dencun Upgrade on Market Quotes

The impact of the Dencun upgrade on market sentiment may be two-way, with both favorable and unfavorable factors, as described below:

Favorable factors: Dencun upgrade will improve the scalability and security of Ether, provide more space and efficiency for second-tier transactions, which will enhance the user experience and competitiveness of Ether, attract more users and developers to use Ether, increase the demand and value of Ether, and drive the price of Ether up. In addition, the Dencun upgrade will also prepare Ether for future sharding and data availability sampling, demonstrating Ether’s potential for innovation and development, and increasing Ether’s confidence and prestige. What’s more, the Dencun upgrade will provide more space and efficiency for Ether’s Layer 2 transactions, which will inspire more innovation and development, bring more diversity and vitality to Ether’s ecosystem, enhance Ether’s innovation, and increase Ether’s demand and value.

Positive factors: Dencun upgrade may also bring some negative impacts, such as network instability, user discomfort, and increased competition. As the Dencun upgrade involves changes in several aspects of Ether, it may lead to some technical problems or errors that may affect the normal operation of the network. In addition, as the Dencun upgrade introduces a new transaction type, Blob transactions, users may need some time and learning costs to adapt to this new transaction method, affecting user experience and trust. What’s more, as Dencun upgrade provides more space and efficiency for second-tier transactions, it may inspire more innovation and development of second-tier transactions, increasing the competitive pressure on Ethernet and affecting Ethernet’s advantage and position.

Conclusion:

The Dencun upgrade is an important upgrade for Ether, providing more space and efficiency for Layer 2 transactions, preparing Ether for the future of sharding and data availability sampling, and bringing more choices and opportunities to Ether users and developers. However, Dencun Upgrade is not without risks and challenges, and it may bring some problems such as network instability, user discomfort, and competition intensification, which require the joint efforts and collaboration of the EtherCommunity and ecosystem to solve these problems and ensure the development and prosperity of EtherCommunity.

In conclusion, Dencun Upgrade is an innovation and progress of Ether, it will have some positive and negative impacts on Ether’s network, market and ecology, investors and developers should fully understand and evaluate these impacts, do their own research and judgment, and do not blindly follow the trend or speculate.