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    Ethereum Dencun Update

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    ›Ethereum Dencun Update
    Ethereum Dencun update. How have transaction costs changed?
    Ethereum
    EIP 4844 introduces a new Ethereum transaction format, "BLOB_TX_TYPE", designed specifically for short-term data storage in a more accessible way.

    Concept of Blob

    A BLOB (Binary Large OBject) is a large packet of data (4096 field elements of 32 bytes each) that is separate from normal data transactions or calldata in Ethereum. Blobs are specially formatted and designed to store data on the blockchain, but only for a short period of time, as they are destroyed after about 2 weeks.

    • EIP 1559 (Regular transaction): Imagine a highway with a dynamic toll system. When a highway is congested, tolls increase to reduce traffic, and vice versa. Each vehicle (transaction) pays a base toll (base fee), which is used to maintain the highway (burnt), and may pay extra (tip) for priority lanes.
    • Blobs Fee Market: Now consider a separate set of lanes on this highway dedicated specifically to trucks carrying heavy loads (blobs operations). These lanes have their own toll system, independent of the passenger car lanes. Tolls for trucks are adjusted based on how busy these lanes are, so that trucks do not interfere with passenger cars and vice versa.
    • Application in Ethereum: In Ethereum, regular transactions (cars) and transactions with large data packets (trucks) coexist. With separate charging mechanisms, both mechanisms can operate efficiently without overloading the network, allowing for a smoother flow of both regular and large data transactions.

    L2 rollups after EIP 4844

    • Blobs rollover transactions: L2 rollups pack their data into blobs. These blobs are then included in blobs transactions on the Ethereum mainnet. This process makes the data available without requiring it to be processed through calldata. which would permanently store the data on L1.
    • Off-load data availability: Blobs ensure that the necessary data is available for rollover transactions on the Ethereum mainnet for a certain period of time. However , since these blobs are not processed by the Ethereum Virtual Machine (EVM), they do not increase the computational load on the mainnet.
    • Temporary Storage: Blobs are stored on the Ethereum network for a limited time ( for example, several days or weeks). After this period, the data may be truncated because its immediate availability is no longer critical to the security and operation of rollups.
    • Security and verification:
    • Security and verification:
    • Security and verification: Even if the blobs data is not processed by the EVM, it is still needed to verify the correctness of rollup transactions. The availability of this data on the main network means that any user or smart contract can potentially verify rollup transactions if necessary.< /li>
    • Cost Efficiency: EIP 4844 is designed to make data storage costs more predictable and efficient for layer 2 solutions. By separating the blobs storage fee market from regular transaction fees, L2 rollups will be able to operate with greater cost certainty.

    Change in transaction cost

    Transaction cost before and after 4844 The cost of transactions in various L2

    As can be seen from the graph, the price of transactions in networks that supported 4844 decreased significantly: Base ~300 times, OP ~80 times, Starknet ~600 times, Zora ~600 times, zkSync Era 3 times

    The price of transactions in Arbitrum, Scroll and Linea and other L2 has not yet changed.

    Starknet generates the most blobs and commissions over the past 24 hours

    Share of blobs in L2 networks from the total Commission generated by blobs
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