TL;DR
- Ethereum’s upcoming update, known as “Pectra,” aims to enhance the user experience of wallets and address concerns of institutional validators.
- It is expected to include ETH Improvement Proposal (EIP) 3074, allowing regular wallets to function as smart contracts, providing users with new capabilities.
- The participation limit for ETH validators will increase from 32 ETH to 2,048 ETH, enabling large providers to consolidate validators and reduce network operational burden.
Developers of Ethereum are making significant progress with their next update, dubbed “Pectra,” following the success of “Dencun.” The primary goal is to introduce a series of improvements to the ETH blockchain, including changes aimed at alleviating concerns of institutional validators and enhancing the user experience of ETH wallets.
Pectra will bring Ethereum Improvement Proposal (EIP) 3074, which aims to enable regular wallets to function as smart contracts. This will provide users with new capabilities, such as the ability to batch transactions and sign them all at once. Additionally, this update is expected to include enhancements in user experience, facilitating its usage and adoption.
This is how the 3074 flow works:
– User signs a message (off-chain, not a tx)
– User or sponsor sends the message to an invoker contract as a tx
– Invoker uses AUTH and AUTHCALL to verify and call each target contract with the user's address as the sender pic.twitter.com/S0lLh0RnfT— cygaar (@0xCygaar) April 11, 2024
Another significant change expected is an increase in the participation limit for Ethereum validators. The current participation limit is 32 ETH, but with Pectra, it is expected to increase to 2,048 ETH. This will enable large participation providers to consolidate their validators and reduce network operational burden.
Pectra: A Comprehensive Fix for the Ethereum Network
Pectra also aims to address concerns about excessive latency in the network. Currently, there are over 1 million validators operating on the network, raising concerns about network speed and efficiency. With the upgrade, it is expected to reduce latency by allowing large participation providers to consolidate validators and reduce the resources required for participation and validation.
Pectra will enable ETH to take the next big leap forward. It promises a range of significant improvements for the blockchain, including enhancements in the user experience of wallets, an increase in the participation limit for validators, and the reduction of latency in the network. All these improvements aim to keep Ethereum at the forefront of the DeFi ecosystem.
