Ethereum is preparing to explore major improvements to its network’s efficiency with the introduction of a new proposal, EIP-7781, which aims to increase throughput by 50%. The proposal also seeks to reduce block times by four seconds, further boosting network performance.
Competition with emerging networks
While Ethereum faces competition from networks like Cardano and Solana, which have made significant technical advances, this proposal could help strengthen Ethereum’s position in the ever-evolving blockchain landscape. Firms like VanEck have suggested that Solana could outperform Ethereum in some areas.
Proposal Overview
Introduced by Ben Adams, co-founder of Illyriad Games, EIP-7781 focuses on improving latency aggregation and increasing blob capacity. Blobs act as temporary data structures designed to reduce network fees, improving overall efficiency.
A crypto trader known as Cygaar noted the importance of the proposal, saying its approval would be a “huge first step in improving Ethereum’s L1 performance.” As competing networks continue to innovate, it is imperative that Ethereum maintains a competitive edge.
Support and approval
The proposal has received support from Ethereum Foundation researcher Justin Drake, who stressed that it aligns with the foundation’s vision and the ambitions of co-founder Vitalik Buterin. Implementing EIP-7781 is set to distribute bandwidth more efficiently and reduce bandwidth requirements during peak times, putting Ethereum in a good position to succeed in a rapidly changing market.
Conclusion
As the market evolves and new players emerge, EIP-7781 represents a critical step for Ethereum in enhancing its capabilities and ensuring its sustainability in the blockchain ecosystem. As the proposal progresses, it could usher in a new era of efficiency for decentralized cryptocurrency exchanges and the broader Ethereum network.