Key Points
The Ethereum network has recently made a significant adjustment.
It has increased its gas limit to more than 30 million.
Over half of the network’s validators have signaled their approval of this change.
Data from gaslimit.pics shows that the average gas limit on the Ethereum network has almost hit 32 million gas units in the past day.
This surpasses the previous limit of 30 million.
Traders are even predicting that it could rise further to a maximum of 36 million gas units.
Ethereum’s Historic Change
This is a historic moment for the Ethereum network.
It’s the first time such a change has been made since the implementation of its proof-of-stake consensus mechanism.
At the time of writing, about 51.1% of validators have approved the gas limit adjustment without the need for a hard fork.
The last time Ethereum adjusted its gas limit price was in 2021.
During that period, it doubled its gas limit from 15 million to 30 million gas units.
The term ‘gas’ within the Ethereum ecosystem refers to the computational effort required to process transactions or smart contracts.
Each block on the network has a gas limit.
This limit determines the maximum amount of gas that can be consumed by all transactions within a single block.
By increasing the gas limit, the Ethereum network can process more transactions per block.
This could potentially improve the network’s productivity.
It could also reduce congestion and help blocks to process transactions faster.
Moreover, the increase in capacity could lead to lower transaction fees.
This would benefit crypto traders who frequently use the Ethereum network to transfer assets.
However, a higher gas limit could also result in larger block sizes.
This could potentially increase the computational load on nodes.
While this won’t directly affect traders, it could lead to more advanced hardware requirements for validators.
This could potentially impact the network’s decentralization and security.
