The post Layer 2 Blockchain Solutions Cost Drop Amidst Ethereum’s Dencun Upgrade appeared first on Coinpedia Fintech News
Ethereum’s Dencun upgrade went live on Wednesday, introducing a mechanism to reduce costs of transactions on layer 2 solutions. The upgrade allows storing data in “blobs” instead of the expensive call data.The average cost of layer 2 solutions- Optimism has dropped to nearly 4 cents, Coinbase’s layer 2 solution fell to 3 cents, while Arbitrum declined to 40 cents. The average fee on zkSync and Zora also fell. Optimism, Arbitrum, and zkSync can now store data in blobs instead of expensive call data at a lower cost. It is believed that the blob mechanism will eventually lead to a 90% slide in transaction costs on layer 2 solutions.