Ethereum News Today: Ethereum Faces a Scaling Challenge: Striving for Both Efficiency and Decentralization

Ethereum Gas Limit Reaches Four-Year Peak

Ethereum has recently increased its gas limit to 60 million, the highest level seen in four years. This significant milestone highlights the network's ongoing commitment to scaling and improving performance. Backed by more than 513,000 validators, this move demonstrates a strong consensus among developers and stakeholders to boost transaction capacity and ease network congestion.

Anthony Sassano, a well-known Ethereum advocate, described the new gas limit as just the starting point. He shared on the Bankless podcast that the community aims to eventually triple this figure to 180 million, emphasizing that there is room for even greater expansion as the network evolves.

Understanding the Gas Limit Increase

The gas limit sets the maximum computational effort allowed per block, directly influencing how many transactions and smart contracts Ethereum can handle. The recent jump to 60 million—up from 45 million at the end of 2024—was achieved without a hardfork, relying instead on decentralized agreement among participants.

Core developer Toni Wahrstätter remarked that reaching this level would have seemed impossible just a year ago. He also suggested that further increases are possible. Vitalik Buterin, Ethereum’s co-founder, has proposed a fivefold rise in the gas limit by adjusting the costs of resource-intensive operations. This approach would make complex actions like SSTORE or large contract calls more expensive, while reducing fees for simple transfers, thereby encouraging more efficient use of network resources.

Upcoming Protocol Changes and Competitive Landscape

The Fusaka upgrade, set for December 3, 2025, will formally integrate the 60 million gas limit into Ethereum’s protocol. According to Cointribune, this update is projected to enhance Layer 1 throughput by 33% and could boost Layer 2 rollup performance by as much as 133%. These advancements are part of Ethereum’s broader plan to stay competitive with faster blockchains such as Solana, which currently boasts average transaction fees of just $0.0022 compared to Ethereum’s $0.31. Rather than engaging in a race to the bottom on fees, Ethereum is focusing on targeted scaling to preserve decentralization and security, while enabling Layer 2 solutions to offer low-cost transactions.

Rapid Progress and Future Directions

In less than a year, the conversation around increasing the gas limit has shifted from doubt to action. Recent protocol improvements, including EIP-7623 and EIP-7883, have optimized block size management and client efficiency, paving the way for the latest increase. Developers are now exploring additional enhancements, such as discouraging inefficient cryptographic operations and improving network performance during periods of high activity. Buterin’s vision of a blockchain that incentivizes efficient development through dynamic gas pricing is gaining momentum, with some experts suggesting the gas limit could be multiplied by five by 2026.

Challenges and the Path Forward

Despite these advancements, Ethereum’s scaling journey is not without challenges. There are ongoing concerns about centralization risks due to increased hardware requirements and the potential exclusion of some validators. Nevertheless, the decentralized “Pump The Gas” campaign, which rallied independent stakers and pools, has showcased the network’s robustness. As Ethereum continues to evolve toward a more scalable and efficient system, its ability to maintain both inclusivity and performance will be crucial for its future success in the Layer 1 blockchain space.