Dencun: The Ethereum upgrade that revolutionized scalability with proto-danksharding

Ethereum’s Dencun upgrade arrived to transform the network. In early 2024, Ethereum completed its Cancun-Deneb upgrade, simply known as Dencun, implementing proto-danksharding and bringing about fundamental changes that many have been anticipating for years. This evolution marks a turning point in the network’s scalability and opens new possibilities for users, developers, and investors within the ecosystem.

What is the Dencun upgrade and why did it change everything?

Ethereum’s Dencun upgrade represents a strategic milestone in Ethereum 2.0’s roadmap. Named after Deneb, the brightest star in the Cygnus constellation, this upgrade integrated multiple protocol improvements designed to address the network’s most pressing challenges: high gas fees and limited transaction processing capacity.

The most significant aspect of this upgrade was the introduction of proto-danksharding via EIP-4844, an innovation that fundamentally changed how Ethereum manages data. But beyond this main feature, Dencun included a comprehensive set of technical enhancements that optimized both network performance and security.

Proto-danksharding and blobs: The true revolution

Proto-danksharding, formalized in EIP-4844, introduced a revolutionary concept: “blobs” or data packages. These are temporary data structures stored on the Beacon Chain that allow developers to handle significantly larger volumes of information without congesting the network.

Unlike traditional storage on the Ethereum mainnet, blobs are processed more efficiently and disappear after a certain period, freeing up space and drastically reducing storage requirements. This mechanism laid the groundwork for the eventual implementation of full danksharding, where the network will be sharded into multiple parallel chains capable of processing transactions independently.

The EIPs that composed Dencun: Beyond proto-danksharding

Dencun was not just about proto-danksharding. The upgrade included several complementary improvements:

• EIP-1153: Introduced transient storage operation codes, allowing smart contracts to utilize more efficient temporary memory, significantly reducing gas costs.

• EIP-4788: Improved the connection between the consensus layer and execution layer, enabling contracts to access Beacon Block Root information directly.

• EIP-5656: Added more efficient memory copy operations (MCOPY), optimizing the execution of complex smart contracts.

• EIP-6780: Restricted the use of SELFDESTRUCT in contracts, enhancing overall network stability and security.

These improvements work synergistically, creating a more agile and robust network.

The real impact: Cost reduction and increased scalability

Since the implementation of Dencun, the effects have been tangible. The upgrade fulfilled its main promise: drastically reducing gas fees, especially on Layer 2 solutions like Arbitrum and Optimism.

Users of these platforms experienced cost reductions of up to 100 times compared to pre-Dencun levels. What previously cost several dollars now costs cents. This transformation has democratized access to sophisticated decentralized applications and enabled developers to explore use cases previously prohibitive due to costs.

Performance also improved significantly. Ethereum moved from processing around 15 transactions per second to speeds that, combined with Layer 2 solutions, allow thousands of transactions per second. This enhancement has positioned Ethereum as a viable platform for high-volume applications.

Dencun and the Layer 2 ecosystem: A perfect symbiosis

Dencun was specifically designed with Layer 2 in mind. With the introduction of blobs, scalability solutions like Arbitrum, Optimism, Polygon, Base, and other Layer 2 networks gained a powerful tool to compress and transmit data more efficiently.

For users, this translated into smoother and more affordable experiences. For developers, it meant being able to create complex applications with viable economics. For investors and institutions, it opened new opportunities within DeFi, NFTs, and beyond.

The path toward full danksharding

Although Dencun was a significant leap, it was not the final destination. Proto-danksharding is just the first step on the journey toward full danksharding. This future implementation will shard Ethereum into multiple parallel chains, each capable of processing transactions independently, exponentially increasing the network’s capacity.

Experts estimate that full danksharding could make Ethereum 100 to 1,000 times more scalable than before Dencun. This is not speculation; it is the clear vision of the Ethereum development team.

Final reflection: Dencun as a catalyst for transformation

Ethereum’s Dencun upgrade was not just a technical update; it was a turning point. It demonstrated that Ethereum could adapt and evolve according to the ecosystem’s needs. With the introduction of proto-danksharding and its complementary EIPs, Ethereum addressed scalability and cost issues that had limited its adoption.

For the cryptocurrency market, Dencun represented validation of Ethereum 2.0’s vision and opened new growth opportunities. As the ecosystem continues to expand and Layer 2 solutions gain traction, it is clear that this upgrade was one of the most important in Ethereum’s history, positioning the network for a decentralized, scalable, and efficient future.