Dencun Upgrade to Launch on March 13, Signaling Milestone for Ethereum
The highly anticipated upgrade to the Ethereum network, known as Dencun, is set to launch on March 13, marking a significant milestone for the world’s second-largest cryptocurrency. The upgrade, which has already been deployed to the Holesky testnet, will introduce proto-danksharding, reduce transaction costs, and improve the overall performance of the network.
The decision to launch Dencun on March 13 was made in a call with developers just one day after it was deployed to the testnet. This upgrade is part of the network’s “The Surge” era, which aims to enable Ethereum to handle over 100,000 transactions per second on rollups.
One of the most anticipated features of the Dencun upgrade is Ethereum Improvement Proposal 4844 (EIP-4844), which introduces “Shard Blob Transactions” or Proto-Danksharding. This allows the network to accept transactions with large amounts of data, making it easier for rollups to interact with the ecosystem. By offering lower fees, rollups can provide a trustless scaling solution for Ethereum, without sacrificing decentralization.
Addressing High Gas Prices and Enhancing Scalability
High gas prices have been a major concern for the Ethereum community, as they hinder regular users from interacting with the network’s Layer1. EIP-4844 is expected to significantly reduce fees, making Ethereum more competitive and scalable. This will ensure the viability of rollups as scalability vehicles, even as full data sharing remains a future goal.
Validation of Investors’ and Validators’ Confidence
In addition to the upcoming upgrade, the Ethereum community has more reasons to celebrate. Data shows that over 25% of the total ETH supply has been staked, with a large portion staked through platforms like Lido and Coinbase. This milestone highlights investors’ and validators’ confidence in Ethereum’s future and demonstrates positive sentiment within the community.
Strong Performance and Promising Future for Ethereum
Ethereum’s performance in recent weeks further reinforces this positive sentiment. The token has experienced a 5.5% gain in the past week and a 9.4% gain in the past two weeks. Compared to Bitcoin’s 3% loss over the past month, Ethereum has sustained a 7% gain. These figures indicate a strong performance for Ethereum and suggest a promising future for the cryptocurrency.
Enhancing Accessibility with the Ethereum Protocol Fellowship Program
While Ethereum has been a popular choice among developers in the blockchain space, it hasn’t always been the most accessible network. To address this, the Ethereum Foundation launched the Ethereum Protocol Fellowship (EPF) program in 2021. The program aims to onboard developers and provide hands-on learning opportunities. Building on its success, the foundation has now launched the EPF study group (EPFsg), a precursor to the EPF program. This 10-week program helps participants delve into topics such as protocol design, testing methods, and research.
With the Dencun upgrade, increasing staking participation, and initiatives like the EPF study group, Ethereum is clearly making strides to improve its scalability, accessibility, and adoption. As 2024 approaches, the Ethereum community has high hopes for the network’s development and price performance.
Analyst comment
Positive news. The launch of the Dencun upgrade on March 13 will significantly improve Ethereum’s performance, reduce transaction costs, and introduce the highly anticipated Proto-Danksharding feature. This will make Ethereum more competitive, scalable, and accessible. The high staking participation and positive price performance of Ethereum reinforce positive sentiment within the community. Overall, the market is likely to respond positively to these developments with increased adoption and price growth.
