Before the Dencun upgrade, Layer 2, although called a scaling solution, was not really cheap, the fee was still around $0.5 to $1 for a Swap order. Why? Because Layer 2 had to send all transaction data to Layer 1 for security. They had to use Calldata space. Calldata was very expensive and had to be stored permanently.
๐ธ The Solution EIP4844 introduced a new data storage concept called Blobs. Imagine the Ethereum bus:
Before L2 data had to buy VIP seats inside the bus, competing with regular passengers. ๐ Expensive tickets.
Now with Blobs, Ethereum attached a trailer behind the bus. L2 data is thrown into this trailer. ๐ Dirt cheap because it does not take up seat space.
๐ธ The SelfDestruct Mechanism, this is the key to the 90% fee reduction:
Data in the old Calldata is stored permanently on the Blockchain. This is wasteful as old transaction history does not need to clog up Node RAM.
Data in Blobs is stored temporarily for only about 18 days.
18 days is enough time for Validators to verify fraud proofs.
Afterward, the data is automatically pruned from the network and only kept by Archive Nodes.
๐ Ethereum sheds the burden of storing junk ๐ Blob rental fees are negligible.
๐ธ Immediately after activation, L2 gas fees crashed. Fees are reduced by 80-90% to below $0.001. This paves the way for high frequency trading applications like GameFi or DePIN to thrive.
๐น EIP4844 transformed Ethereum from an expensive supercomputer into a cheap database layer for L2s. The gas war is over; now begins the App war.
When L2 transaction fees are cheaper than sending an SMS, which sector do you think will explode first?
News is for reference, not investment advice. Please read carefully before making a decision.
