According to jesse.base.eth, the Ethereum Pectra upgrade has successfully doubled blob capacity and enabled smart wallet functionality for every user wallet, with the upgrade executed flawlessly (source: @jessepollak, May 7, 2025). This development directly increases network throughput and efficiency, which can lower transaction costs and benefit DeFi and NFT traders. Looking ahead, the Ethereum team targets a more than 10x blob capacity increase and over 2x L1 capacity boost by year-end, potentially positioning Ethereum as the leading onchain platform for high-volume trading and institutional adoption. Traders should closely monitor Ethereum ecosystem assets and layer-2 solutions for increased activity and volatility as these upgrades roll out.

According to Alice und Bob (@alice_und_bob), Ethereum is rolling out its Pectra upgrade today, introducing significant trading-focused enhancements such as smarter wallets with batch calls, the ability to pay gas fees with USDC, and passkey-based signing. The upgrade doubles available blobspace, removes the validator ETH limit, and incorporates multiple optimizations, all of which improve network efficiency and scalability (source: Alice und Bob on Twitter, May 7, 2025). These features are expected to lower transaction costs and increase on-chain activity, potentially boosting ETH price volatility and liquidity. The focus on stablecoin gas payments and improved wallet usability could attract new retail and institutional traders, impacting both Ethereum and related altcoins. Polkadot is noted as lacking only simplified passkey access, highlighting competitive dynamics in the smart contract platform space.

According to Vitalik Buterin, there is a plan to implement Fusaka on Layer 1 with PeerDAS, targeting a 48/72 blob limit. This development is crucial for traders as it may enhance scalability and efficiency in blockchain transactions. The goal is to initiate a Fusaka testnet with these parameters immediately after the Pectra system goes live, which could significantly impact transaction throughput and trading activities on the blockchain. (Source: Vitalik Buterin's Twitter)

According to Vitalik Buterin, Fusaka's integration on Layer 1 with PeerDAS and a 48/72 blob target/limit is planned for 2025, with the aim to establish a testnet post-Pectra's launch, suggesting potential scalability improvements and new opportunities for traders.