The Ethereum team has marked March 13th for the implementation of the “Dencun” upgrade, following the successful deployment on the final testnet. This upgrade aims to enhance Ethereum’s scalability and efficiency by reducing costs associated with layer-2 transactions. One of the key improvements included in the Dencun upgrade is the introduction of proto-danksharding, a precursor to full danksharding, which is expected to eventually increase the number of transactions processed per second.
The significance of the Dencun upgrade lies in its potential to alleviate ongoing issues of network congestion and high transaction fees that have plagued Ethereum users. By boosting throughput and lowering fees, Ethereum seeks to maintain its leading position in both the decentralised finance (DeFi) and non-fungible token (NFT) markets.
According to data from CryptoSlam, Ethereum remains the dominant platform for NFT sales, with a total volume exceeding US$42 billion. Additionally, Ethereum hosts approximately US$38 billion worth of assets locked in its decentralised applications, representing nearly 60% of the total value locked in the DeFi sector.
The transition of Ethereum to a proof-of-stake consensus model has been a complex and multi-phase process. The Dencun upgrade represents the latest step in the ongoing efforts to optimise Ethereum’s infrastructure.