Ethereum L2s average transaction fees have been reduced by up to 99% post-denomination
Ethereum's layer-2 (L2) protocols have seen significant reductions in transaction fees, with some protocols recording up to 99% reductions since Dencun's upgrade to Ethereum on March 13. They made it one of the most significant improvements.
Starknet, the popular Ethereum-based L2, has seen a 99% reduction in gas fees since its upgrade. The protocol shared a screenshot of its latest gas bill, which it says has dropped to $0.04, compared to over $6 before the Denkun update.
A number of other L2 platforms, including Optimum, Base, and Zora OP Mainnet, have seen significant reductions in gas fees since Denkun's update. Average transaction fees for Optimism dropped to $0.05, $0.064 for Base, $0.5 for Arbitrum and $0.16 for zkSync Era. Within 24 hours of the update, Optimism and chains saw significant gas bill reductions with Optisism's tech stack, like Base.
Arbitrum One, one of the most widely used L2 platforms, plans to launch its ArbOS update later today to introduce blob support for Arbitrum package chains.
The Denkun hard fork introduced nine different Ethereum Improvement Proposals (EIPs), introducing EIP-484 databases and introducing a new type of transaction data called L2s blobs. The latest data bypasses the traditional “call data” process for publishing data on the Ethereum mainnet, offering faster transactions with lower fees. It was two years in the making of the denkun reform.
Related: CoinShares Acquires Valkyrie's ETF Business
The Ethereum Foundation's Tim Beiko called Denku “the most complicated fork we've shipped since the merger” and, along with Byzantium, “one of the most comprehensive EIPs in the fork.”
Scalability and lower gas fees were the main goals of the recent Ethereum update. Early indications suggest that the hard fork has helped many L2s reduce transaction costs. Experts believe that Denkun may be a temporary solution, but it will not be enough to help scale the Ethereum network.
As the number of packages using blobs continues to increase and the battle for blob space is predicted to heat up, the low cost of L2 chains using blobs may see additional charges in the future, resulting in higher transaction costs.
