This article was first published on The Bit Journal: Will the activation of Ethereum’s Fusaka upgrade finally address the network’s transaction processing capacity? Read on to find out.
Ethereum co-founder Vitalik Buterin has commended the recently activated Fusaka upgrade, which aims to boost transaction processing while preserving decentralization and security. The upgrade will also support DeFi growth and scaling, enabling the network to handle millions of transactions daily.
According to an X post by Buterin, Ethereum completed the upgrade on December 3, bringing to life one of the network’s most highly publicized steps towards attaining the much-awaited long-term scalability. The key innovation, dubbed EIP-7594 (PeerDAS), will allow nodes to verify block data without downloading the entire chain, improving efficiency and functionality.
The upgrade allows nodes to verify block data without downloading everything, improving efficiency.
Buterin specifically praised the Fusaka upgrade, saying it would deliver key technical improvements that align with the network’s long-term vision of attaining robustness and accessibility, and of becoming a global settlement layer. By leveraging the PeerDAS innovation, the Fusaka upgrade combines the features of all previous protocol improvements and testnets while addressing prior infrastructure challenges. Additionally, the upgrade is designed to maintain network security and decentralization, which are integral to Ethereum’s design philosophy.
According to Buterin, the upgrade introduces caps on memory usage, code access, and ZK-proof verification cycles, enabling the limitation of worst-case execution scenarios. The purpose of these measures is to strengthen node performance as Layer-2 activity grows, while also blocking builders’ increasing reliance on zero-knowledge proofs to verify efficiency. As a part of Ethereum’s ongoing development roadmap, the Fusaka upgrade specifically targets scaling solutions such as sharding.
The upgrade supports scaling and helps Ethereum handle millions of daily transactions and maintain its leading smart contract ecosystem.
The blockchain scaling technique called sharding can split the network into smaller shards, allowing nodes to process a fraction of transactions while still maintaining security and dramatically increasing throughput. The developers have sold the Fusaka upgrade as a technical advancement within the network’s capacity to handle more transactions while maintaining Ethereum’s distributed nature as a blockchain validator. Writing on a GitHub post, Buterin stated:
As Ethereum continues its ongoing multi-phase improvement program following the successful Merge that heralded the proof-of-stake consensus mechanism, Vitalik Buterin’s acknowledgement of the Fusaka upgrade is proof that the development teams are working towards achieving the network’s strategic priorities. This should eventually lead to greater transaction throughput while reducing costs for users and developers on the platform.
The activation of the Fusaka marks a breakthrough in matters of blockchain scalability, bringing to an end a decade-old roadmap for Ethereum’s sharding vision. The network now plans to spend the next two years enhancing PeerDAS stability while increasing L1 gas limits to achieve massive throughput. For users and investors, the upgrade represents not just a technical improvement but a reaffirmation of Ethereum’s long-term value.
Fusaka upgrade: A technical update designed to help Ethereum handle the increasingly large transaction batches from layer-2 networks that settle on top of it.
PeerDAS: Fusaka’s most significant improvement, Peer Data Availability Sampling (PeerDAS), was introduced via EIP-7594, which changes how Ethereum handles data storage.
Sharding: A scaling solution that divides the blockchain into multiple smaller, parallel chains called “shards.”
This refers to a comprehensive network update (or “hard fork”—a change that isn’t backwards-compatible) that activated on Ethereum’s Mainnet on December 3, 2025.
The upgrade dramatically scales data availability through PeerDAS and prepares Ethereum for 100,000+ TPS.
The upgrade’s most significant impact is enabling Layer 2 rollups — separate blockchains like Arbitrum, Optimism, Base, and zkSync that bundle thousands of transactions together and post summaries to Ethereum for security.
X/Vitalik Buterin
CoinGecko
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