Ethereum is a decentralized platform that enables users to create and run smart contracts, decentralized applications, and other innovations on a global network. Ethereum is constantly evolving and improving, and one of the most anticipated upgrades is the Cancun Deneb upgrade hard fork. This upgrade will introduce several enhancements and features that will make Ethereum more scalable, secure, and user-friendly.
The Cancun Deneb upgrade is the next planned upgrade to the Ethereum blockchain, following the recent activation of the Shanghai upgrade. The Cancun Deneb upgrade consists of two parts: Cancun and Deneb. Cancun represents an additional upgrade to Ethereum’s execution layer, which is responsible for processing transactions and smart contracts. Deneb represents the upgrade to Ethereum’s consensus layer, which is responsible for securing the network and reaching agreement on the state of the blockchain.
The Cancun Deneb upgrade will include several Ethereum Improvement Proposals (EIPs), which are documents that describe new features or changes to the Ethereum protocol. Some of the most notable EIPs that are expected to be included in the Cancun Deneb upgrade are:
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EIP-4844: Proto-Danksharding. This EIP introduces a simplified version of sharding, which is a technique that aims to improve the scalability of the Ethereum network by dividing it into smaller partitions called shards. Each shard will operate independently, processing transactions and smart contracts in parallel, thereby increasing the network’s capacity to handle a higher transaction throughput. Proto-Danksharding will also increase data availability for rollups, which are a Layer 2 technology that bundles together transactions and processes them off-chain, reducing congestion and fees on the main chain.
EIP-2537: Precompile for BLS12-381 curve operations. This EIP adds a new precompiled contract that allows smart contracts to perform operations on a specific elliptic curve called BLS12-381. This curve is used for various cryptographic purposes, such as signature aggregation, verifiable random functions, and threshold signatures. By adding this precompile, smart contracts will be able to perform these operations more efficiently and securely, enabling new use cases and applications on Ethereum.
EIP-4788: Beacon state root in EVM. This EIP adds a new opcode that allows smart contracts to access the state root of the Beacon chain, which is the core component of Ethereum 2.0. The Beacon chain is responsible for coordinating the transition from Proof of Work (PoW) to Proof of Stake (PoS), as well as managing the sharding system. By accessing the Beacon state root, smart contracts will be able to verify cross-shard transactions and communicate with other shards, enhancing interoperability and functionality.
The Cancun Deneb upgrade is important because it will bring significant benefits and improvements to the Ethereum network and its users. Some of the main advantages of the Cancun Deneb upgrade are:
Scalability: The Cancun Deneb upgrade will increase the scalability of the Ethereum network by introducing Proto-Danksharding and enhancing data availability for rollups. This will result in reduced congestion and lower fees, making Ethereum more efficient and user-friendly.
Security: The Cancun Deneb upgrade will enhance the security of the Ethereum network by transitioning from PoW to PoS, as well as adding new cryptographic features such as BLS12-381 curve operations. PoS will ensure that malicious actors have more to lose if they attempt to disrupt the network, promoting a higher level of security and stability. BLS12-381 curve operations will enable new forms of cryptography that will improve privacy and verifiability on Ethereum.
Usability: The Cancun Deneb upgrade will improve the usability of the Ethereum network by simplifying the transaction fee mechanism with EIP-1559, as well as enabling new smart contract functionality with EIP-4788. EIP-1559 will make transaction fees more predictable and efficient for users, providing a better user experience. EIP-4788 will allow smart contracts to access the Beacon state root, enabling cross-shard communication and verification.
The exact date for the Cancun Deneb upgrade has not been announced yet, but it is anticipated to go live in the second half of 2023. The upgrade will require a hard fork, which means that all nodes on the network will have to update their software to be compatible with the new protocol rules. The developers are currently working on testing and finalizing the specifications for the upgrade, as well as coordinating with various stakeholders such as miners, validators, exchanges, wallets, and Dapp developers. The upgrade will be preceded by several TestNet deployments, which will allow the developers and the community to test the upgrade and identify any potential issues or bugs.
The upgrade will be mostly backward compatible, which means that most of the existing applications and transactions on Ethereum will continue to work as usual. However, you may want to keep an eye on the official announcements and updates from the Ethereum developers and community, as well as your preferred service providers such as exchanges, wallets, and Dapps. You may also want to monitor the network activity and performance before and after the upgrade, as there may be some fluctuations or disruptions during the transition.
If you are an Ethereum developer, you may want to familiarize yourself with the new features and changes that the Cancun Deneb upgrade will bring to the Ethereum protocol. You may also want to update your code and tools to be compatible with the new protocol rules, as well as test your applications on the testnets before the mainnet launch. You may also want to take advantage of the new opportunities and possibilities that the Cancun Deneb upgrade will enable for your applications and users.
The Cancun Deneb upgrade is a major milestone in the ongoing evolution of the Ethereum network. The upgrade will introduce several enhancements and features that will improve the scalability, security, and usability of the Ethereum network. The upgrade is expected to go live in the second half of 2023, following extensive testing and coordination. The upgrade will bring significant benefits and opportunities for both users and developers on Ethereum, advancing towards a brighter future for the decentralized space.