A new Ethereum upgrade proposal, EIP-7781, could dramatically increase the network’s throughput by 50%, making it more competitive with fast blockchains like Solana. Initially proposed on October 5 by Ben Adams, co-founder of Illyriad Games, the improvement aims to reduce slot times from 12 seconds to 8 seconds, allowing the network to process more transactions in a shorter period.
Key Details of EIP-7781
The Ethereum Improvement Proposal (EIP-7781) would also increase the blockchain’s capacity to handle more “blobs.” These blobs are dedicated data-storage compartments that Ethereum’s layer-2 networks, such as Arbitrum and Optimism, store transaction records. This update would increase the number of blobs per block from six to nine, expanding the storage space available for layer-2 chains.
How Slots and Validators Work
In Ethereum’s proof-of-stake system, slots refer to specific time intervals during which a block can be proposed. Validators are selected to propose blocks in each slot, and if successful, the block is added to the blockchain. Reducing slot times from 12 to 8 seconds will allow more blocks to be proposed, effectively speeding up transactions for end-users.
Support and Potential Impact
Ethereum Foundation researcher Justin Drake has expressed support for the proposal, highlighting that it would improve decentralized exchanges (DEX) like Uniswap by 1.22 times, reducing pricing gaps between on-chain and off-chain platforms. This could save users up to $100 million annually. However, the upgrade also poses risks for validators, who may require additional hardware resources to handle the increased load.
Background and Roadmap
Ethereum has historically traded off speed and low transaction fees in favour of decentralization and security. However, EIP-7781 could balance both by boosting throughput while maintaining the network’s robust security. Vitalik Buterin, Ethereum’s co-founder, had previously proposed increasing the network’s gas limit to improve throughput, aligning with this new proposal.
In recent years, Ethereum has focused on third-party layer-2 networks, which handle transactions off-chain but settle them on Ethereum for lower fees and higher speed. This proposal marks a shift back to improving the base layer of the Ethereum network itself, which could lead to faster and cheaper transactions for all users.
The proposal is still in its early stages and must go through Ethereum’s open-source development system. However, if implemented, EIP-7781 could be a significant milestone in Ethereum’s quest to remain competitive in blockchain.