Ethereum continues to release upgrades, with Pectra being the next in line. Fusaka, a less well-known enhancement, will then take center stage.
In the first quarter of 2025, the Ethereum protocol is scheduled to undergo another significant upgrade, known as Pectra, as it continues its evolutionary journey. Developers have been developing this upgrade for an extended period, incorporating and deleting EIPs as they conduct functionality reviews. Nevertheless, numerous individuals were uncertain about the steps following the imminent Pectra upgrade. This is the point at which the Fusaka upgrade is implemented.
The Pectra Enhancer: Ethereum Fusaka Upgrade
Due to various factors, developers were compelled to abandon certain enhancements initially intended for the Pectra upgrade. The Fusaka upgrade will now include a portion of these EIPs. It is essential to mention that the anticipated improvements will assist Ethereum and its associated Layer-2 solutions in maintaining their Decentralized Finance (DeFi) growth momentum.
As per Christine Kim, the core Ethereum developer and Vice President of Galaxy Research, stakeholders have not yet finalized the scope of Fusaka. This complicates the process of estimating the launch date.
Nevertheless, she observed that the developers would concentrate on the original 12 code changes in the original Pectra EIPs for Fusaka. These modifications are further divided into PeerDAS and EOF Code changes. Developers may now concentrate on which modifications must be implemented with Fusaka and which may need to be eliminated when Pectra is operational.
EIP 7549 is one of the significant Ethereum Improvement Proposals proposed for Fusaka. This EIP will enhance the main chain’s capacity to scale by utilizing Layer-2 rollups. This enhancement will “implement a new networking protocol to increase blob capacity while maintaining the computational load on nodes,” as stated in a Galaxy Research note from October.
Fusaka will be accompanied by other significant EIPs, such as EIP 3670 for “Code Validation” and EIP4750 to improve “Functions.”
It is important to note that Fusaka may contain more than the 12 EIPs, a decision that core developers will make when the upgrade is entirely focused.
The Undertone of the ETH Price
Amidst the expanding competition within the broader DeFi ecosystem, Ethereum L2s remain among the most significant beneficiaries. Nevertheless, Ethereum’s spot valuation may necessitate this upgrade, as it may be the missing component that initiates a new run.
In the past few weeks, the price of ETH experienced a significant decline, which resulted in it falling below the $4,000 threshold.
The price of ETH was $3,479.25 at the time of this writing, representing a 1.09% increase in the past 24 hours. The enhanced functionalities accompanying additional upgrades can facilitate the adoption of the ETH ecosystem. This trend could drive the price of ETH to a new high by fostering increased demand.
In addition to Fusaka and Pectra, Ethereum developers are considering upgrading the Beam Chain consensus layer. This proposition has been the subject of silence in recent times.
