Jordi Bailina: Ethereum Dencun network upgrade will lead to lower fees

The technical director of the Polygon platform believes that the Dencun update planned for March will reduce the amount of commissions on the Ethereum network.

The Dencun hard fork should be activated on March 13th. The key component of the update is the EIP-4844 with the Proto-Danksharding option used for network scaling.

According to Polygon technical director Jordy Bylin, the hard fork will make it possible to reduce commissions in second-tier networks. Thanks to EIP-4844, the total data capacity of the Ethereum network will triple, which will allow rollups zkEVM, Linea, Scroll and zkSync to reduce gas costs, the businessman believes.

Jordi Bailina believes that data compression costs will be reduced by ten to fifty times, and emphasizes that the Polygon platform will have time to prepare its infrastructure before Dencun is activated.

Earlier, JPMorgan analysts said that increased retail investor activity in February reflects the onset of important catalysts for crypto market growth in the coming months: a reduction in rewards for Bitcoin miners and a major upgrade to the Ethereum network.