The Shanghai upgrade is approaching with the most notable feature of allowing ETH staking from 2020 to withdraw. Here are some summaries for our overwhelmed readers about the amount of information from the event and the latest developments in Ethereum’s technology.
Ethereum Development Roadmap
After The Merge, the Ethereum founder in November 2022 updated the future development roadmap for the project, including 5 phases of parallel implementation including:
– The Surge: Implement upgrade EIP-4844 (Danksharding) to reduce fees on layer-2, integrate zkEVM and rollups scaling solutions, aim to increase transaction speed to 100,000 tps. This change is aimed at general users on Ethereum.
– The Scourge: Ensuring fairness in the validator’s transaction selection, handling issues related to MEV. This change is aimed at general users on Ethereum.
– The Verge: Building a merkle tree to reduce the amount of data that must be stored to be able to participate in transaction verification, verification through SNARK technology. This change targets Ethereum validators.
– The Purge: Simplified technical aspects of Ethereum, removing unnecessary old historical data via EIP-4444 upgrade. This change serves Ethereum developers.
– The Splurge: a series of upgrades to help Ethereum run smoothly after implementing the above stages, finalizing EIP-1559.
Shanghai and the latest updates
About Shanghai
Shanghai, or more accurately called “Shapella”, is the next upgrade as the following predetermined route The Merge – Ethereum’s historic upgrade from Proof-of-Work (PoW) to Proof-of-Stake (PoS) consensus.
One of the key proposals on the Shanghai hard fork is EIP-4895, which unlocks a huge amount of ETH staking for the Ethereum 2.0 upgrade of The Merge.
Before participating as validators for PoS, stakingers agreed that their ETH and transaction validation rewards will be locked until Shanghai takes place. In fact, Ethereum has Open ETH 2.0 staking contract from December 2020which means that it has been almost 3 years that the money has been detained.
In addition, the Shanghai hard fork includes an “EVM Object Format (EOF) proposal set – which includes six proposals EIP-3540, EIP-3670, EIP-4200, EIP-4570 and EIP-5450 – to help upgrade virtual machines. Ethereum (EVM). Readers can gain a deeper understanding of the recommendations through the following article.
Current staking assets on Ethereum
As of the time of writing, the amount of staking being locked is 17 million ETH, worth about $28 billion, at a price of $1,649. This amount of ETH staking has been steadily increasing since Ethereum opened the staking contract for The Merge in December 2020.
Therefore, the upcoming ETH price will definitely be affected if stakers decide to take profits after 3 years. Therefore, it is better for investors to “be careful of firewood” at this sensitive time.
Shanghai Schedule
Regarding the specific schedule, Shanghai is estimated to take about 6-12 months from The Merge for the network to be more stable. Ethereum developers also anticipate the end of March 2023 can run the upgrade.
However, it is very likely that Shanghai will continue to be delayed like The Merge before. The reason is because if Ethereum runs tests 3 weeks apart, like between testnet Sepia and Zhejiangthen maybe the last test on testnet Goerli It will fall around March 20. The Shanghai hard fork is likely to be moved to mid-April.
EIP-4844 and proto-danksharding
After Shanghai, the development team plans to have another hard fork in the fall of 2023 to realize another important proposal. EIP-4844helps to activate the mechanism proto-danksharding to increase processing throughput and reduce transaction fees on solutions Layer-2 form rollups of Ethereum.
Thus, 2023 will mark two extremely important upgrades of Ethereum. Previously, in September 2022, the “transformation” step of this chain, The Merge, received a rain of praise for smoothly implementing the expected changes.
Updated Layer-2 Solutions to Ethereum’s “Congestion” Problem
The perennial problem of Ethereum that is talked about most is the slow transaction speed, high gas fees, thus affecting the scalability of this blockchain. From there, Layer-2 solutions were born, notably Optimistic Rollups and ZK-Rollupshere are some of the latest updates coming from these two solutions.
Optimism upgrade to Bedrock
Optimism understands quickly as a scalable solution (scaling) but still ensures the security (security) for Ethereum. In addition, this protocol will help reduce transaction fees and at the same time have smooth compatibility with the Ethereum Virtual Machine (EVM).
The upcoming “Bedrock” upgrade is expected to help Optimism bring a competitive edge over its main rival, Arbitrum. Specifically, Bedrock will help improve:
- Reduce the transfer time from Ethereum to Optimism by 4 times;
- Reduce the cost of transferring data to Ethereum by 20%;
- Reducing the difference with Ethereum’s Geth client to 500 lines of command, making the two more synchronized;
- Applying mechanism EIP-1559 like Ethereum to update transaction gas fees;
- Clearing the way for other proof-of-data solutions like ZK-Rollups.
Bedrock was originally scheduled to take place on March 15, 2023, however the developers later announced a delay to 04/05/2023 due to detecting some errors in the system.
Update for the Collective: We have rescheduled the Bedrock upgrade vote to Cycle 11 (March 2 – April 5) to resolve bugs uncovered by vigilant community members as part of the Bedrock bug bounty contest.
— Optimism (✨🔴_🔴✨) (@optimismFND) February 17, 2023
The upgrade is now getting a lot of attention thanks to the outstanding features it brings, the OP price right after the project announced the information has been announced. up nearly 30% and set new ATH at 2.9 USD.
zk-Rollups speed up
From a technology perspective, Zero-Knowledge Rollups (zk-Rollups) most support the privacy of a transaction, allowing for some degree of anonymity.
The creator of Ethereum is Vitalik Buterin once said zk-Rollups will be the “game changer”DAt the same time, this will be a potential long-term solution for blockchains.
Polygon applied zk-rollups . technology own for a while and recently announced the launch of a beta version Polygon zkEVMon 03/27/2023.
Roses are red
Violets are blue
Poems are hard
Mainnet Beta is hereON MARCH 27, Polygon #zkEVM launch the future of Ethereum scaling
🚢💜🚢💜https://t.co/OqSOYTn8Uv pic.twitter.com/kpXavea3ff
— Polygon (@0xPolygon) February 14, 2023
Matter Labs also announced a rebranding of their open source zk-Rollups as zkSync 2.0 to the zkSync Era, but does not say when the entire network will go live.
Earlier this week, the developers Scroll – another layer-2 of Ethereum – has announced that it is bringing zkEVM to the Goerli testnet.
Other units developing layer-2 zkEVM include ConsenSys (the company behind the MetaMask wallet) and StarkNet, the blockchain network being built by StarkWare, but has not set a time to deploy to the Ethereum mainnet.
Synthetic Kyptos
