Ethereum Plans to Launch Pectra Fusaka Version
The Pectra upgrade is expected to activate mainnet in November 2024. HCCVenture will provide analysis of the expected impact of Pectra on the Ethereum network, including users, stakers, and validators, as well as investors holding ETH. We will also talk about the expected launch of this new Fusaka version.
INSIGHTS
10/25/20245 min read


What is Pectra? What's special about this upgrade?
Prague-Electra, or “Pectra,” is the name of the upcoming Ethereum upgrade. Since it was first announced in November 2023, every detail of Pectra has been in flux, except for its name. Initially, developers intended it to be a minor update, to be deployed on mainnet in the same year as Dencun, which was activated on March 13, 2024. However, discussions have been divided over what to prioritize beyond the Verkle transition.
The Verkle transition is a major change to how state data is stored on Ethereum. State includes account balances, contract code, and storage data. Developers are looking to move from the current Merkle Patricia Tree structure to the new Verkle structure. This reduces the size of proofs of state data, making it easier for nodes to share data. The long-term vision is to enable users to run lightweight nodes without maintaining a full record of state, relying on proofs provided by other nodes, supporting decentralization.
Due to the complexity of changing the state data structure, the developers decided that the upgrade after Pectra, called Fulu-Osaka or "Fusaka", would focus entirely on Verkle. To minimize technical risk, no other major changes were incorporated alongside Verkle. The goal was to complete Pectra quickly before focusing all efforts on implementing Verkle.
Pectra was conceived in late August 2024?
By the end of August 2024, Pectra had become the largest Ethereum upgrade to date, with 20 Ethereum Improvement Proposals (EIPs) included. By early September, developers were considering adding more EIPs. However, the large scale of Pectra has caused concern and debate among the development community and stakeholders, as extensive testing is required to ensure that no hidden bugs are introduced when EIPs are deployed simultaneously.
In May 2024, the Ethereum Foundation's EthPandaOps engineering team proposed splitting Pectra into two parts to reduce risk, but the idea was rejected due to concerns about affecting the Verkle transition schedule. However, in September, researcher Alex Stokes raised the idea again in a developer call and this time it was approved, with the view that splitting the upgrade would allow for the first part to be deployed within six months.
As a result, Pectra was split into two hard forks, with the first eight EIPs being deployed in the first batch. These eight EIPs have begun testing on the devnet since July 2024. The developers will continue to finalize the remaining 12 EIPs for deployment after the initial eight EIPs are deployed on the mainnet.
Overview of Pectra
As of October 2024, Ethereum developers have agreed to extend Pectra to add EIP 7742, which will likely include an increase in blob capacity, along with nine other EIPs. The Pectra upgrade is expected to be deployed on mainnet in early 2025, with a total of 10 code changes.


Pectra aims to address three main goals: address Ethereum’s key shortcomings as a proof-of-stake blockchain, improve the user experience (UX) when interacting with smart contract applications, and improve Ethereum’s data provisioning capabilities. However, improving UX and improving Ethereum as a data provisioning layer (DA) can be at odds, as the DA layer encourages users to migrate to rollups rather than interact directly with smart contracts on Ethereum. However, UX improvements can have a ripple effect, improving the user experience of both Ethereum and rollups.
Notably, Pectra is not focused on strengthening ETH as a store of value or improving Ethereum’s censorship resistance. After the Merge upgrade, censorship resistance has become a higher priority as over 50% of Ethereum blocks are now produced by OFAC-compliant relays, which can exclude transactions involving sanctioned addresses. Changes to reduce ETH issuance and improve censorship resistance will be considered in upgrades following Pectra.
Overview of Fusaka
The next upgrade after Pectra, called Fusaka, does not yet have a specific timeline as the scope of the upgrade has not been finalized by the developers. Fusaka is expected to focus on the 12 code changes that were removed from Pectra, with a focus on changes related to EOF and PeerDAS. The developers will reassess these changes based on their priority and readiness once Pectra is complete.
EOF (EVM Target Format) brings major improvements to the way EVM processes code, making smart contract deployments more predictable, secure, and cost-effective. In addition to EOF and PeerDAS, Fusaka is also considering other initiatives such as inclusion lists and SSZ transition. Of these, inclusion lists and SSZ are the most ready code changes, while the account abstraction initiative is less likely to be implemented in Fusaka as it is still in research and development.
Overall, the initiatives within Fusaka are at various stages of readiness, from early research to deployment readiness. These changes could have a major impact on the Ethereum ecosystem and ETH value, but more time is needed to assess in more detail. The next report will clarify the impact of EIPs within Pectra on stakeholders and ETH value.
Expected impacts


The Pectra upgrade will primarily impact validator node operators, requiring them to update to take advantage of the improvements from EIP 7251, EIP 7549, and EIP 6110. However, EIPs like 2935 and 7685 do not provide immediate benefits but will support in the future when stateless clients become a reality.
End users and ETH holders will not see any direct benefits from these changes, but they do enhance the security and resilience of Ethereum. These changes are unlikely to have a major impact on the value of ETH, other than short-term volatility around the time of the upgrade.
EIPs like 7002, 2537, and 7702 will enable trustless staking pool designs, privacy-enhanced decentralized finance protocols, and secure user-controlled accounts.
In the short term, DA improvements to Ethereum are expected to reduce protocol revenue from Layer 2 (L2) rollups, increase the profit margins of L2 arrangers, and reduce transaction fees for L2 end users. These impacts are expected to be similar to those seen after the activation of EIP 4844 in the Dencun upgrade.


Conclusion and evaluation
Despite the uncertainty around Pectra’s scope and timeline, Ethereum remains a leader in advancing the Web 3 era, where collaboration takes place via a decentralized blockchain. To maintain this position, Ethereum needs to continue to scale while dealing with issues such as maximum extracted value (MEV) and transaction censorship. While Ethereum has competitors, it still holds the advantage in terms of network development and research.
Pectra will bring UX improvements to attract new users, but over time, rollups will play a major role in solving the major challenges of Web 3. This may make Ethereum upgrades less directly impactful to users as they migrate to rollup solutions. The most important changes in the future will likely be on rollups, requiring analysis of their security and scalability within the Ethereum ecosystem.
Join the HCCVenture community to get the latest market information. Once again we give our opinion on potential projects in the crypto market. This is not investment advice, consider your investment portfolio
Data from: data by HCCVenture
Join our telegram community: HCCVenture
HOLD Coin CVenture
A news and analysis platform focused on evaluating the crypto market, tailored for long-term investors.
HCCVenture © 2024. All rights reserved.
Contact to us
Gmail : holdcoincventure@gmail.com


Full social media : https://linktr.ee/holdcoincventure
HOLD Coin CVenture is a cryptocurrency investment community with a medium to long-term vision. The group consists of market analysts who provide in-depth insights into the cryptocurrency market through on-chain analysis, macroeconomic perspectives, and evaluations of the potential of blockchain projects.
The group focuses on enhancing macroeconomic and on-chain perspectives for both domestic and international investors. We offer valuable insights and guidance on identifying promising projects and making informed investment decisions.
The direction of HOLD Coin CVenture is to become one of the strongest market analysis communities in Vietnam.