Base expects Ethereum fees to drop up to 100x after Dunkin upgrade

Dunkin' next promotion You preach A new era for Ethereum, which could significantly reduce transaction fees, up to 100 times.

This crucial upgrade, which was supported from day one by Coinbase's Layer 2 core network. It also aims to address one of the most pressing challenges in blockchain: high transaction fees.

Ethereum transaction processing fees

The Dencun upgrade, scheduled for March 13, is expected to revolutionize the blockchain industry by improving efficiency and scalability, with EIP-4844 or the initial transformation of the blockchain within it.

The Base Network, in collaboration with the Optimism Foundation, the Ethereum Foundation, and other Ethereum development teams, has been at the forefront of this initiative. Over the past two years, these teams have dedicated themselves For the EIP-4844 initiativewith the aim of increasing the capacity to make data available for successive operations.

Read also: Will Ethereum’s Dunkin Update Really Lead to a Cost Revolution?

This effort should significantly reduce transaction fees solveFor Ethereum L2 networks such as the core network.

“We believe that fast, low-cost transactions on a secure, decentralized L2 network are essential to enabling everyone, everywhere to access the chain,” he said. declared A Base spokesperson.

Average transaction fees on the Ethereum network have also increased to around $2.30. That’s an increase of around 200 times compared to the previous year. This highlights the urgent need for scalable and cost-effective solutions.

Dencun upgraded to improve second-tier solutions

The Dencun upgrade introduces blob-bearing transactions. This is a new method that significantly reduces the data storage footprint on the consensus layer by storing data off-chain and referencing it by hash. This method works on Simplify the transaction verification process while significantly reducing costs. Analysts expect transaction fees to drop to $0.02.

The significant reduction in fees is expected to accelerate adoption of Ethereum's scaling roadmap. This should also make L2 networking solutions more attractive and competitive. A lot.

“This long-awaited upgrade is expected to reduce Ethereum's L2 networking costs by at least 10x, making Ethereum more scalable and efficient,” says Lukas Otomuro, head of research at IntoTheBlock.

Read also: What are gas fees? A beginner's guide to understanding blockchain

For this reason, the blockchain community is eagerly awaiting the Duncan upgrade. The initiatives undertaken by Base and its peers highlight the collective effort towards a more scalable, efficient and profitable ecosystem.

Overall, this spirit of collaboration paves the way for new applications and use cases, starting with Games on TBBasket to order book exchanges with closed borders, thus promoting a more dynamic on-chain economy.