Pectra Goes Live: Here’s What It Changes for Ethereum

On May 7, 2025, Ethereum successfully implemented the Pectra hard fork—its most significant upgrade since The Merge in 2022, which transitioned the network to a Proof-of-Stake consensus model.

The rollout was delayed multiple times due to: 

• Issues uncovered on the Holesky testnet
• The required activation of the Sepolia network 
• The need for additional auditing of changes to the execution layer 

While the delays drew criticism from parts of the developer community, they ultimately strengthened confidence in the technical stability and security of the proposed EIPs.

Specifically, Pectra introduces coordinated upgrades to both the execution and consensus layers, with a focus on improving scalability, user experience, and network efficiency.

Delayed But Delivered: What Led Up to Pectra

Before reaching the milestone of the Pectra upgrade, Ethereum had already undergone a series of major protocol transformations. 

1. The Merge (September 2022)

This upgrade completed Ethereum’s transition to Proof-of-Stake, reducing the network’s energy consumption by over 98% and lowering gas fees. It also laid the groundwork for future improvements in protocol architecture.

2. Shanghai (April 2023)

Shanghai enabled validators to withdraw staked funds for the first time. The change unlocked the liquid staking market and strengthened trust in Ethereum’s PoS model. 

3. Cancun-Deneb (2024) 

This upgrade introduced proto-danksharding, a foundational step toward Layer 2 scalability.

Against this backdrop, Pectra represents a natural progression in Ethereum’s upgrade path, emphasizing: 

• Technical flexibility
• Faster network responsiveness
• Continued compatibility with existing infrastructure

At the same time, each new upgrade adds another layer of interdependence across the Ethereum ecosystem. While this expands the toolset available to developers, it also increases the complexity of maintaining and auditing the network.

Smart Accounts and a Smoother User Experience

A key highlight is EIP-7702, which enables standard user addresses to temporarily function as smart contracts. 

The proposal introduces a range of features, including:

• Paying transaction fees in tokens other than ETH
• Bundling multiple actions into a single transaction 
• Implementing time-limited session keys 
• Simplifying interactions with dApps
• Lowering the barrier to entry for new users

In effect, EIP-7702 is a step toward more customizable Ethereum wallets, without requiring users to deploy their own smart contracts.

Moreover, Pectra includes EIP-3074, which allows externally owned accounts (EOAs) to execute functions previously reserved for smart contracts.

More on the topic: EIP-3074 Explained in Simple Terms

Ethereum Staking Revamp: Faster, Larger, More Flexible

The Pectra upgrade introduces several key changes to Ethereum’s staking architecture that could significantly reshape validator behavior.

• EIP-7251

Raises the maximum validator balance from 32 ETH to 2,048 ETH. Previously, large stakeholders were required to split their holdings across numerous validators, increasing operational overhead and placing additional strain on the network. Under the new framework, they can consolidate their funds while maintaining full control. Paradoxically, this shift could incentivize participation from smaller validators, as simplified infrastructure may lower the operational barrier to entry, potentially strengthening Ethereum’s decentralization.

• EIP-6110

Shifts validator deposit processing to the execution layer—the component responsible for handling transactions and smart contracts within the Ethereum network. Previously, deposits were processed through the consensus layer, resulting in activation delays of up to 12 hours. Under the new framework, validators can be activated in less than 15 minutes. The change is particularly relevant for staking services that rely on operational flexibility and rapid response to network conditions.

For more on whether Ethereum slot times could be reduced to 8 seconds, read our article: Proposed Ethereum Upgrade: Speed Gains at Validators’ Expense?

• EIP-7002

Allows smart contracts to initiate validator exits, giving staking pools the ability to automate fund withdrawals based on predefined conditions or reallocation needs. The result is a more flexible and resilient staking infrastructure, allowing services to respond more quickly to market shifts or technical disruptions without requiring manual intervention from operators.

Scalability, Data Handling, and Storage Efficiency

Additionally, the Pectra upgrade targets scalability and data handling improvements:

• EIP-7691

Doubles the number of blobs per block. Blobs (short for “block objects,” a term introduced by Vitalik Buterin) are large data packets temporarily attached to blocks without significantly increasing the burden on the network. They are a critical component for L2 solutions such as rollups, which use blobs to post transaction data without overloading the mainnet. Increasing blob capacity enhances L2 throughput and contributes to lower fees through more efficient data storage and processing.

More on the topic: What Are Rollups? The Need and Purpose Behind This Technology

• EIP-7685

Introduces a unified communication mechanism between Ethereum’s consensus and execution layers. Previously, data exchange between the two relied on custom, transitional processes that added complexity and made protocol upgrades more difficult. The new approach standardizes request and response flows, streamlining the implementation of future EIPs and improving the overall reliability of Ethereum’s architecture.

• EIP-2935

Introduces support for accessing historical state roots through system-level contracts using Merkle trees with prefixes—a specific type of cryptographic tree in which each node contains a reference to a previous state. This technology allows nodes to verify and retrieve data from past blocks without storing full archival copies of all historical states. As a result, it reduces storage requirements and improves the performance of analytical tools. The proposal is particularly important for validators and researchers who need reliable access to historical blockchain data. In effect, EIP-2935 helps minimize the number of archival nodes while increasing the efficiency of working with historical state data.

Cryptographic Enhancements and Security

The Pectra upgrade includes support for the BLS12-381 elliptic curve, strengthening Ethereum’s cryptographic infrastructure. 

This curve is commonly used in modern protocols for its ability to efficiently process aggregated signatures (digital signatures from multiple parties compressed into a single record). Aggregated signatures streamline the verification of multiple transactions, reduce network overhead, and accelerate data validation. 

The addition is particularly important for developers building zero-knowledge protocols, where fast, reliable verification of large data volumes is critical.

Life After Pectra: More Flexibility or More Friction?

Pectra strengthens the areas Ethereum has been steadily developing for years. However, the lead-up to its launch left a mixed impression. 

Developers missed several initial deadlines due to unprepared testnets, and ongoing debates within the dev community only deepened the sense of uncertainty.

Amid the delays, a recent post by Vitalik Buterin on his personal blog drew attention. He called for simplifying the Ethereum protocol, pointing to Bitcoin’s concise and transparent architecture as an example. Unsurprisingly, the comment drew a wave of sarcasm from Bitcoin maximalists, who questioned the years of effort spent solving problems they believe Satoshi Nakamoto addressed from the start. 

It’s difficult to disagree: increasing complexity at the base layer inevitably leads to:

• Greater risk of errors 
• More complicated audits
• A higher barrier to entry for new participants in the ecosystem 

Today, the key question is whether Ethereum can continue to scale its functionality while maintaining technical elegance.

What remains to be seen is whether the new features will perform reliably under real-world conditions and whether they will live up to the community’s high expectations.