What is The Surge: The Next Phase of the Ethereum 2.0 Upgrade?

Original title: What Is The Surge: The Next Phase in Ethereum 2.0 Upgrade?

Original source: Kucoin

Original translation: Plain Language Blockchain

Learn about Ethereum's next major upgrade, The Surge, which focuses on achieving over 100,000 transactions per second (TPS) through second-layer rollup solutions and data availability improvements. Gain insight into how this phase enhances scalability, reduces gas fees, and maintains decentralization, providing a secure and efficient foundation for the future of blockchain.

Ethereum continues to evolve, and the next major upgrade is The Surge. This phase aims to increase scalability without sacrificing decentralization and security. As part of Ethereum's long-term vision, The Surge will increase the network's processing capacity to over 100,000 transactions per second on both the first and second layers. This article will explain in detail Ethereum's next step towards becoming the most scalable and efficient blockchain.

1. What is The Surge?

The Surge refers to Ethereum’s shift toward scalability, primarily through second-layer (L2) solutions and rollup solutions. Ethereum’s founder, Vitalik Buterin, proposed the concept in Ethereum’s roadmap to make the network faster and more efficient. Its main goal is to process more transactions while maintaining decentralization, security, and interoperability.

Currently, Ethereum processes about 15 to 30 transactions per second at the base layer. While this meets the needs of many applications, it can cause network congestion during peak times and drive up gas fees. The Surge aims to address these bottlenecks and improve Ethereum’s ability to serve global applications.

1) Key features of The Surge

The Surge Roadmap | Source: Vitalik Buterin

· 100,000+ transactions per second on L1 and L2 networks: Ethereum is able to process over 100,000 transactions per second through the second-layer rollup solution. Rollup packages multiple transactions and submits them to the Ethereum blockchain, increasing throughput and reducing gas fees.

· Decentralization and Security: The Surge ensures that Ethereum remains decentralized and users can run nodes with minimal resources. Enhanced cryptographic proofs such as SNARKs will further strengthen Ethereum's trustless mechanism.

· Improved data availability through Data Availability Sampling (DAS): DAS enables nodes to verify information without downloading all data, improving efficiency and supporting the expansion of second-layer solutions.

2) Ethereum's path to 100,000 transactions per second

Currently, Ethereum's processing capacity on the first layer is about 15 to 30 transactions per second. However, with rollup and DAS, the network is expected to reach a processing capacity of more than 100,000 transactions per second. Vitalik Buterin emphasized that Ethereum should be viewed as a holistic ecosystem rather than a decentralized collection of blockchains.

This means that cross-chain interoperability between L2s will be improved and the user experience will be smoother. Ethereum's roadmap focuses on building a network where transferring assets between different layers is as easy as sending ETH between wallets.

2. Timeline of The Surge

Ethereum's The Surge includes multiple phases, focusing on continued upgrades on the first and second layers. Here is the expected timeline based on the latest updates and roadmap:

Q1 2024 - Dencun Upgrade (Proto-Danksharding Launch)

Introducing Proto-Danksharding (EIP-4844) to improve data availability through data "blobs". Laying the foundation for further rollup expansion. Ethereum's second-layer solutions are beginning to take advantage of improved data availability for faster and cheaper transactions.

2024–2025 — Rollup Scaling and Proof Systems Mature

Rollups like Arbitrum, Optimism, and zkSync will be updated to improve their scalability. New cryptographic proofs (like SNARKs) will make rollups more trustless. Data Availability Sampling (DAS) systems like PeerDAS and 2D DAS will scale to support higher transaction throughput.

End of 2025 - Gas price optimization and first layer enhancements

Introduce EOF (Ethereum Object Format) to improve smart contract execution efficiency. Multi-dimensional gas pricing may be adopted to distinguish between computing, data and storage fees. Rollup solutions may be integrated directly into the Ethereum protocol.

2026 and beyond - Full launch of Danksharding

Transition from Proto-Danksharding to full Danksharding, splitting Ethereum into multiple shards to further improve scalability. Ethereum aims to achieve a processing capacity of 100,000 transactions per second across the L1 and L2 ecosystems.

After 2026 - Continuous monitoring and upgrades

Introduce advanced consensus mechanisms including post-quantum cryptography to ensure network security. Ethereum will continue to optimize and integrate cross-L2 interoperability to improve the smoothness of the user experience.

This timeline reflects Ethereum's phased approach, ensuring stability and smooth adoption during the transition. Each step of The Surge builds on the previous stage, with the ultimate goal of building a blockchain that can support global-scale applications while maintaining decentralization and security.

3. Key components that may be affected by The Surge

The following are the key elements in the Ethereum 2.0 roadmap that will be affected during The Surge upgrade:

Proposal for "division of labor" between L1 and L2 | Source: Vitalik Buterin

1) Second-layer Rollup: The core of The Surge

The second-layer rollup solution is an important tool to make Ethereum faster and more economical. They package multiple transactions off-chain (that is, outside the Ethereum mainnet) and submit summaries of these transactions to the Ethereum blockchain. This can reduce the load on the mainnet, making transactions faster and cheaper.

There are two main types of Rollup:

· OP-rollup: All transactions are considered valid by default unless someone reports an error within a specified time. This method does not require immediate verification of each transaction, so the processing speed is faster.

· ZK-rollup: Utilizes an advanced mathematical method, zero-knowledge proof, to instantly confirm the validity of a transaction. This method provides instant and secure verification.

The impact of Rollup is already significant. According to L2Beat, the total locked value (TVL) of Ethereum's second-layer network has increased by 216% over the past year, exceeding $38 billion. As more and more people and projects adopt rollup solutions, Ethereum is becoming more scalable and accessible, laying the foundation for the arrival of The Surge.

Ethereum Second Layer TVL | Source: L2Beat

2) Data Availability Sampling (DAS)

Data Availability Sampling (DAS) is a method that helps Ethereum process large amounts of data more efficiently. In a decentralized network like Ethereum, every node must confirm the availability of all transaction data. However, it is not practical for every node to store all the data. DAS solves this problem by allowing nodes to verify data without downloading and storing everything.

There are two main types of DAS:

· PeerDAS: This system uses a peer-to-peer network to distribute the workload. Each node in the network only checks a small portion of the data, and all nodes jointly confirm the entire data set. This method ensures efficient data verification without requiring a large amount of storage.

· 2D DAS: This is an improved version of PeerDAS that further improves verification efficiency. It not only verifies individual pieces of data, but also checks how these pieces are combined together, making Ethereum more scalable and ensuring higher security while maintaining decentralization.

With DAS, rollup can process more transactions without increasing the burden on the Ethereum network. This keeps the system fast, economical, and decentralized, supporting Ethereum's goal of scaling without sacrificing security.

Plasma and Data Compression Solutions

One way to build an EVM Plasma chain (not the only way) is to use ZK-SNARK to build a parallel UTXO tree that reflects the balance changes generated by the EVM and defines a unique mapping of the "same coin" at different points in time. Based on this, a Plasma solution can be built. Source: Vitalik Buterin

In addition to Rollup, Plasma and data compression technologies also help Ethereum achieve efficient expansion. Let's take a closer look at how they work:

· Plasma: Plasma processes transactions off-chain, which means that transactions occur outside the Ethereum mainnet. Instead of submitting every transaction to the blockchain, Plasma only submits summaries of these transactions. This reduces the amount of data that needs to be stored on the main chain, increasing speed and reducing costs. You can think of it as summarizing many small tasks into one report, saving time and resources.

· Data Compression: Compression makes the transaction platform smaller by reducing the amount of data required. For example, Ethereum can switch from standard signatures to BLS signatures, which allows multiple signatures to be merged into one. This not only saves space on the blockchain, but also makes transactions more efficient, especially in systems that process a large number of transactions, such as second-layer networks.

3) Collaboration between Plasma and Rollup

One way to build a Plasma system is to use ZK-SNARK (a cryptographic technology) to track the flow of tokens. The system creates a "parallel ledger" that records the flow of each token over time. Plasma ensures efficiency without sacrificing accuracy and security by submitting only the necessary information summary to the main chain.

Plasma and data compression technology together further enhance the effectiveness of Rollup. These solutions help Ethereum reduce gas fees, process more transactions, and support large-scale applications while maintaining decentralized features.

4. Layer 1 improvements in The Surge

Although Rollup handles a large number of off-chain transactions, Ethereum's main blockchain (Layer 1) still needs to be upgraded to accommodate the growing ecosystem. These upgrades will ensure that Ethereum's base layer remains scalable, efficient, and accessible. Here are the key improvements coming to Layer 1:

1) Increase Gas Limit: The Gas limit determines the amount of data that can be processed in a single block. Increasing the Gas limit means Ethereum can process more transactions in each block, reducing wait times and easing network congestion. However, there are risks in increasing the Gas limit. If the limit is too high, the cost of running a node may increase, which in turn limits the number of people who can participate in the security of the network and reduces decentralization. Ethereum's goal is to find a balance - to keep the network open and decentralized while processing more transactions.

2) EVM Bytecode Improvements: The Ethereum Virtual Machine (EVM) is where smart contracts run. Ethereum will introduce a new bytecode format called EOF (Ethereum Object Format) to improve the efficiency of smart contract execution. This update will reduce Gas fees, making transactions and contract interactions cheaper for developers and users.

3) Multidimensional Gas Pricing: Ethereum will also implement multidimensional Gas pricing, classifying Gas fees according to the type of resources used - computing, data or storage. This approach ensures that users pay reasonable fees based on the actual needs of the transaction, optimizes the cost structure and improves the user experience.

4) Ethereum Native Rollup: Native Rollup is a Rollup that runs directly in the Ethereum protocol. This means that Ethereum will support multiple versions of the Ethereum Virtual Machine (EVM) running in parallel. Native Rollup will improve Ethereum's ability to process transactions without overloading the network. You can imagine a train station with multiple tracks, each track independently handling trains, making the entire system faster and more efficient.

These layer 1 improvements ensure that Ethereum remains scalable and efficient even if Rollup takes on most of the transaction load. Together, they help Ethereum continue to grow as a secure, decentralized platform that supports complex applications and millions of users.

5. The impact of The Surge on users and developers

Ethereum's The Surge upgrade promises to make the network more efficient and affordable, benefiting ordinary users and developers. While some of the technical details are complex, here is a simple explanation of how these changes affect you:

1) Lower Gas Fees: One of the most significant improvements will be the reduction in Gas Fees, especially on Layer 2 networks such as Arbitrum and Optimism. These networks already offer cheaper transactions, with ETH transfer fees currently ranging from about $0.24 to $0.78. After The Surge, transaction fees are likely to drop further, making it more affordable to send ETH or interact with decentralized applications (dApps). Lower gas fees mean users can transact more frequently without having to worry about paying high fees when the network is congested.

2) Improved dApp performance: Developers will benefit from faster transaction speeds, enabling them to build more complex and feature-rich dApps. Whether you are developing a DeFi platform, blockchain game, or NFT marketplace, the scalability improvements brought by The Surge will make operations smoother. Faster transactions will also reduce latency, increase user satisfaction, and encourage innovation in various fields such as decentralized finance (DeFi) and gaming.

3) Stronger interoperability: The ability of different networks to work together will also be improved. Moving tokens and assets on layer 2 networks and the Ethereum mainnet will become more seamless. Users do not need to rely on complex cross-chain bridges to transfer assets. Instead, Ethereum will feel like a unified ecosystem, and interacting with dApps or transferring funds between different layers will be as simple as using a single network.

These improvements make Ethereum more user- and developer-friendly, promoting an ecosystem where both ordinary users and developers can thrive. Whether you are transferring money, developing applications, or exploring new projects, The Surge will bring faster, cheaper, and more convenient blockchain services to the Ethereum community.

6. Security considerations

As the Ethereum network expands, the complexity of maintaining security is also increasing. With the widespread use of Rollups, it is critical to ensure that they are trustless and robust. Rollups rely on cryptographic proofs to confirm transactions, and these proofs must remain secure and guard against potential vulnerabilities.

Vitalik Buterin also highlighted the long-term risks posed by quantum computing. Ethereum developers are already exploring quantum-resistant cryptography to secure the future of the network.

7. The Future After The Surge

After The Surge, Ethereum will continue its comprehensive Danksharding roadmap. This phase will introduce full data sharding, further improving scalability. Other upcoming upgrades include:

· The Splurge: Focuses on other improvements such as better gas pricing and transaction formats.

· The Verge: Improves the efficiency of Ethereum's consensus mechanism by implementing stateless clients.

· The Purge: Optimizes the network by reducing unnecessary data and improving node performance.

The long-term vision of Ethereum is to create a blockchain that can support millions of users around the world without sacrificing security and decentralization.

Learn more about Danksharding, Ethereum’s full sharding upgrade.

8. Conclusion

Ethereum’s The Surge marks an important step towards becoming a global decentralized platform. By focusing on Rollups, data availability, and layer 1 improvements, Ethereum aims to handle over 100,000 TPS while maintaining decentralization and security.

As these upgrades roll out, users will benefit from faster transactions and lower fees, while developers can build more innovative dApps. However, rapid scalability also brings risks. Potential challenges include vulnerabilities in Layer 2 solutions, temporary network outages, and fluctuating gas fees during the transition. Developers and users must stay informed and adapt to changes as Ethereum continues to evolve.

With The Surge, Ethereum has laid the foundation for a scalable, efficient, and secure blockchain future. But as with any major upgrade, careful monitoring and continued adjustments will be key to ensure long-term success. This is just the beginning of Ethereum's ambitious road to development.

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