Vitalik Buterin, the co-founder of Ethereum, wants to put a cap on the total transaction calldata in a block in order to decrease the total transaction calldata gas cost throughout the network.
Ethereum founder’s blog on the Ethereum Magicians forum, EIP-4488, raises worries about high fees on Layer-1 blockchains for rollups, as well as the amount of time it takes to establish and deploy data sharding. He says that a short-term solution is to reduce rollup costs further and to promote an ecosystem-wide transition to a rollup-centric Ethereum.
Ethereum, the highly praised altcoin which Citadel CEO says will replace Bitcoin, is struggling badly for its high transaction fees.
While Buterin mentioned an approach in which the gas cost parameters might be reduced without introducing another block size limit, he sees a security risk in reducing the calldata gas cost from 16 to 3.
The proposal by Buterin aims to reduce the massive stress on the Ethereum Network by issuing a decrease-cost-and-cap. He believes that 1.5 MB would be enough to prevent most of the security risk.
Ethereum community raises concerns
As TheCoinRise reported in April this year about Ethereum’s sudden rise in transaction fees by 77% shifted many of its users to other chains like Tron and Cardano.
The implementation of the proposal, if accepted, would require a regular network upgrade. This will lead to a repricing scenario of the backward-incompatible gas for the ecosystem.
The upgrade would also imply that miners will have to comply with the fresh rules to prevent the addition of new transactions when the total calldata reaches the maximum as per the limit.
The Ethereum community, however, is discussing other options like the soft limit implementation. Some investors raised questions about the congestion during Ethereum-based NFT sales, which might require users to pay higher fees as compensation for the lack of execution gas.
As per data from TheCoinRise, Ethereum is forming a ‘cup and handle’ pattern on the weekly chart, and a breakout might lead to $6.5K price levels.