Adeoye YetundeEthereum never stops growing. As we move through 2024, several key Ethereum Improvement Proposals (EIPs) are set also set to leading blockchain platform. Here are the key ethereum EIPs to watch in 2024.
1. EIP-4844
EIP-4844, also known as proto-danksharding, aims to significantly boost Ethereum’s scalability by introducing a new transaction format called a “blob-carrying transaction.” These transactions can carry extra data that’s not accessible to the EVM, reducing gas costs for roll ups and make way for full danksharding.
This EIP lays the groundwork for full danksharding, which will further improve Ethereum’s capacity and performance.
Key benefits of EIP-4844 include:
- Lower gas costs for rollup transactions
- Increased scalability without sacrificing decentralization
- Sets the stage for full danksharding implementation
2. EIP-4337
EIP-4337 introduces account abstraction, a concept that boost user experience and security on Ethereum. With account abstraction, user accounts and smart contract accounts are treated the same, enabling more flexibility and programmability in account management.
This EIP enables features like:
- Gasless transactions (transactions paid for by a third party)
- Enhanced security through custom verification logic
- Account recovery mechanisms
- Batched transactions for improved efficiency
Account abstraction makes Ethereum more user-friendly and accessible to mainstream users.
3. EIP-1559
EIP-1559 changed Ethereum’s fee market by introducing a base fee that’s burned with each block, along with a priority fee for miners. This EIP aims to make gas fees more predictable and reduce the supply of ETH.
Key benefits of EIP-1559 include:
- More predictable gas fees for users
- Reduced inflation through ETH burning
- Improved security against economic attacks
4. EIP-3675
EIP-3675, also known as the Beacon Chain, marked Ethereum’s historic transition from proof-of-work to proof-of-stake consensus. This upgrade, completed in September 2022 with “The Merge,” brought significant improvements to Ethereum’s energy efficiency, security, and scalability.
Key benefits of EIP-3675 include:
- 99.95% reduction in Ethereum’s energy consumption
- Increased security against 51% attacks
- Paved the way for sharding and other scalability upgrades.
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5. EIP-4444
EIP-4444 aims to reduce the storage requirements for Ethereum nodes by bounding the amount of historical data that execution clients must store. This EIP introduces a “history expiry” mechanism that allows nodes to discard older state data while still maintaining the integrity of the blockchain.
Key benefits of EIP-4444 include:
- Reduced storage requirements for nodes
- Improved node synchronization times
- Increased decentralization by lowering the barrier to entry for node operators
6. EIP-4626
EIP-4626 establishes a standardized interface for tokenized vaults, which are smart contracts that manage assets and generate yield. This EIP aims to improve interoperability, composability, and innovation in the DeFi space.
Key benefits of EIP-4626 include:
- Standardized interface for integrating vaults with other DeFi protocols
- Increased capital efficiency through vault composability
- Easier comparison and analysis of different yield-generating strategies.
7. EIP-5007
EIP-5007 proposes a sustainable funding mechanism for Ethereum’s ongoing development and maintenance. This EIP introduces a “developer block reward” that allocates a portion of block rewards to a developer fund, ensuring a stable source of funding for critical infrastructure and research.
Key benefits of EIP-5007 include:
- Sustainable funding for Ethereum’s long-term development
- Reduced reliance on external funding sources
- Increased resilience and autonomy of the Ethereum ecosystem.
8. EIP-4844
EIP-4844, also known as “shard blob transactions,” is a component of Ethereum’s sharding roadmap. This EIP introduces a new transaction type that allows for cheap data availability on shard chains, enabling higher throughput and lower fees for rollups and other layer-2 solutions.
Key benefits of EIP-4844 include:
- Increased scalability through cheaper data availability on shard chains
- Lower fees and higher throughput for rollups and other layer-2 solutions
- Improved user experience and adoption of Ethereum-based applications
9. EIP-3860: Limit and Meter Initcode
EIP-3860 aims to improve Ethereum’s security and resilience by limiting the maximum size of initcode and metering its execution. Initcode is the code executed during contract creation, and its unbounded size and execution have been identified as potential attack vectors.
Key benefits of EIP-3860 include:
- Reduced risk of denial-of-service attacks through initcode abuse
- Improved gas cost estimation for contract creation
- Better alignment of gas costs with actual resource consumption.
10. EIP-5450
EIP-5450, also known as the “EOF format,” proposes a new encoding format for Ethereum’s consensus layer. This EIP aims to improve the efficiency, simplicity, and future-proofing of Ethereum’s consensus protocol.
Key benefits of EIP-5450 include:
- Simplified consensus layer protocol
- Improved efficiency and reduced network overhead
- Easier implementation and maintenance of consensus clients
The EOF format is designed to be more compact, parseable, and extensible than the current SSZ format, making it better suited for Ethereum’s long-term needs.
Key Takeaways
1. As mentioned earlier, ethereum is constantly growing, with numerous EIPs proposed to improve its scalability, security, and sustainability.
2. EIP-4844 (proto-danksharding) and EIP-4844 (shard blob transactions) are crucial for scaling Ethereum through rollups and sharding.
3. EIP-4337 (account abstraction) enhances user experience and security by enabling gasless transactions, account recovery, and more.
4. EIP-1559 (fee market change) and EIP-3675 (proof-of-stake upgrade) have already transformed Ethereum’s economic model and energy consumption.
5. Other notable EIPs include EIP-4444 (bounded historical data), EIP-4626 (tokenized vault standard), EIP-5007 (sustainable funding), EIP-3860 (limit and meter initcode), and EIP-5450 (EOF format).
Frequently Asked Questions
1. What are Ethereum Improvement Proposals (EIPs)?
EIPs are formal proposals for changes to the Ethereum protocol, including core protocol specifications, client APIs, and contract standards. They allow the community to suggest, discuss, and implement improvements to the Ethereum network.
2. How can I stay updated on the progress of these EIPs?
You can follow the development of these EIPs on the official Ethereum EIPs repository on GitHub: https://github.com/ethereum/EIPs. You can also join Ethereum community forums, such as https://ethresear.ch/, to participate in discussions and stay informed about the latest developments.
3. What impact will these EIPs have on Ethereum’s adoption and use cases?
These EIPs collectively aim to make Ethereum more scalable, secure, and user-friendly. By reducing gas costs, improving transaction throughput, and boosting user experience, these proposals can help drive mainstream adoption of Ethereum and enable new use cases in areas like DeFi, NFTs, and beyond.
4. How can I contribute to the development and implementation of these EIPs?
If you’re a developer, you can contribute to the implementation of these EIPs by participating in the Ethereum core development process, submitting pull requests to the relevant repositories, and engaging in discussions on Ethereum community forums. If you’re not a developer, you can still participate by providing feedback, testing implementations, and spreading awareness about these important proposals.
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