Ethereum is a decentralized, open-source blockchain system that enables smart contract functionality. This enables its ability to facilitate decentralized applications (DApps) and create new digital assets via smart contracts.
UNDERSTANDING THE ETHEREUM UPGRADE.
The Ethereum Dencun upgrade also known as the “Cancun-Deneb” is an highly anticipated and significant transformation of the Ethereum network, the upgrade which consists of two execution layer upgrades, the EIP-6780 and EIP-5656, (Ethereum Improvement Proposals).
- EIP-5656 aims to reduce the cost and complexity of memory copying by introducing the MCOPY.
- EIP-6780 introduces changes to the SELFDESTRUCT opcode to make it more practical in the future with other planned ethereum improvements.
The Dencun upgrade is an upcoming Ethereum upgrade that follows the Shanghai upgrade which enabled staked ETH withdrawals in April 2023. The impending Ethereum upgrade will implement nine EIPs.
Dencun marks the start of “The Surge” era in the Ethereum roadmap. According to Ethereum co-founder Vitalik Buterin, Ethereum will focus on removing its scalability bottlenecks and will aim to hit “10,000 transactions per second and beyond” during The Surge. - Techopedia, 23
Below is a record of past groundbreaking Ethereum Upgrade Timeline and Impact on the Ecosystem till date.
When will the Upgrade kick-start?
Although, the Ethereum team has yet to announce when Dencun will be implemented on the mainnet.
The Ethereum Dencun upgrade is set to progress through several stages, including testnet deployment and the mainnet launch. The following stages have been outlined.
- Testnet Deployment: The upgrade will be first applied to the Goerli testnet on January 17, 2024, then to the Sepolia testnet on January 30, and finally to the Holesky testnet on February 7.
- Mainnet Deployment: The developers aim to deploy the changes on the mainnet by the end of February 2024, pending the results of the testnet forks.
The PRO’s - Ethereum Dencun Upgrade
- Boost Start: This is expected to have a significant impact on Ethereum’s capabilities and overall functionality, indicating a commitment to ongoing improvement and innovation within the network.
- Security: Addressing unresolved issues facing the Ethereum network, including security and scalability.
- Scalability: The major effect on the Ethereum ecosystem is the introduction of new processes such as "proto-danksharding," which will increase data availability for layer-2 rollups, leading to reduced transaction costs for users, and expected to enhance Ethereum’s scalability, optimize gas fees, improve network security, and implement a number of other features.
The CON’s - Ethereum Dencun Upgrade.
The upgrade, like any major network upgrade, may have potential risks. One such risk is the possibility of miscommunication or a lack of clarity, which may contribute to uncertainties and potential backlash.
Summary
Network upgrades, like the Dencun Upgrade, is a major milestone and crucial for enhancing ethereum’s capabilities, improving scalability, security, and overall performance, thereby paving the way for expansive growth.
In Addition, these upgrades are essential to keep the platform competitive, adaptable, and aligned with the evolving needs of its users and developers within the rapidly changing landscape of blockchain technology.
