© Reuters
JANUARY 2024 – Ethereum improves its scalability and profitability with significant upgrades and Tier 2 solutions. The Goerli testnet recently introduced the Dencun upgrade, which is a pivotal development in Ethereum’s journey to better scalability. This upgrade encompasses EIP-4844 and is designed to pave the way for proto-danksharding and blob transactions, which should significantly reduce Layer 2 fees.
Meanwhile, Arbitrum, a product from Offchain Labs, uses Optimistic Rollups to improve transaction processing. By processing transactions off-chain and then summarizing them on-chain, Arbitrum aims to increase throughput and security, reflecting a concerted effort to refine the functionality of the Ethereum network. These innovations are seen as key to supporting the growing field of decentralized finance.
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