Ethereum Co-Founder Buterin Proposes Modest Gas Limit Increase for Enhanced Network Throughput
Summary:
Ethereum co-founder, Vitalik Buterin, supports a modest increase in the gas limit for improved network throughput. During a Reddit AMA with Ethereum Foundation's Research Team, Buterin noted the gas limit hasn't been raised in almost three years. Suggesting a 33% rise from the current limit of 30 million to 40 million, he argued that this would enable more transactions per block and boost the network's capacity. However, it could also put stress on hardware and risk network spam and attacks. Discussions around scalability have reignited as gas fees rose due to increased demand for smart contract operations.
Vitalik Buterin, co-founder of Ethereum, has expressed his support for a small increase in the gas limit, potentially leading to better network throughput. On January 10, during a Reddit "ask-me-anything" session hosted by the Ethereum Foundation's Research Team, Buterin highlighted that no increase in the gas limit has occurred in nearly three years; this marks the longest duration in protocol history. "I believe it’s reasonable to even consider a small increase in the gas limit at present," Buterin commented at the 11th AMA of the research team. He briefly worked out the numbers, suggesting a raise to about 40 million from the present 30 million, indicating a 33% increase.
The average gas limit right after the inception of Ethereum in 2015 was approximately 3 million. Over time, this value has grown in line with increased network usage and acceptance. The Ethereum gas limit is an indicator of the highest amount of gas that can be used for transacting or implementing smart contracts within each block. The gas fee is the cost incurred to perform a transaction or to implement a contract on the blockchain.
The block size is kept in check by setting a gas limit, thereby preventing any negative impact on network performance and synchronization. Additionally, as they generate blocks, validators can dynamically modify the gas limit within specific thresholds.
The upside of expanding the gas limit is that it allows for more transactions per block, thereby theoretically boosting network throughput and capacity. However, this also means increased strain on the hardware and an inflated risk of network spam and attacks.
Currently, the average gas prices, meaning the cost to execute transactions on Ethereum, are roughly 35 gwei or $1.89, as per Etherscan. However, these prices began climbing at the commencement of 2024 and are significantly higher for intricate smart contract operations. Due to the inscriptions frenzy, network gas fees peaked at 150 gwei in May, setting a high for 2023. A gwei is an Ethereum denomination, with one gwei representing one billionth of an ETH.
In November, Ethereum and Bitcoin users reignited the debate on scalability as gas fees soared due to another round of inscriptions enthusiasm. According to a magazine, the stirrings of crypto regulations in the US are fueled by lawmakers' suspicions and apprehensions.
Published At
1/11/2024 6:37:09 AM
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