Ethereum continues to evolve amid rising prices and increased gas limits, enhancing its network efficiency.
Increase in Ethereum Gas Limit
Ethereum co-founder Vitalik Buterin confirmed that the Layer 1 gas limit has been raised to 37.3 million, with nearly 50% of stakers supporting a further increase to 45 million. This increase allows for greater transaction processing but raises questions about node strain.
Impact on Decentralization and Security
Buterin cautioned that raising the gas limit could adversely affect network decentralization, as increased load may push smaller operators out. He pointed out that recent updates, such as Geth version 1.16.0, improve node efficiency by reducing archive node storage from over 20 terabytes to 1.9 terabytes.
Ethereum Attracts New Investors
Ethereum is attracting fresh market interest, with its price nearing $4000. On July 20, analytics firm Lookonchain reported that two new wallets purchased a total of 58,268 ETH, valued at approximately $212 million. Additional large purchases indicate growing investor interest.
With an increased gas limit and swelling investments, Ethereum is again at the forefront of the cryptocurrency market, potentially setting the stage for further growth.
