Ethereum becomes up to 98% faster with new upgrade: no hard fork needed

The Ethereum network is about to make a major efficiency improvement. With the introduction of the so-called Fast Confirmation Rule (FCR), transactions and deposits to exchanges and Layer-2 networks should be processed significantly faster.

According to researchers at the Ethereum Foundation, deposit confirmation times could drop to around 13 seconds. In many cases, this means an acceleration of 80% to even almost 98% compared to the current situation.

Faster bridge between Layer 1 and Layer 2

For years, one of the biggest bottlenecks within the Ethereum ecosystem has been the time it takes to move assets from the main network (Layer 1) to scaling solutions such as Layer-2 networks or to centralized trading platforms.

The new Fast Confirmation Rule should drastically speed up that process. This reduces the amount of time capital is “stuck” while bridging networks, which can reduce both costs and inefficiencies.

For users, this means a smoother experience when depositing or moving crypto. Exchanges can function more quickly as entry and exit points, while Layer-2 networks benefit from a faster flow of liquidity.

No hard fork required

It is notable that this upgrade does not require a hard fork. Instead, the rule is implemented directly in the network’s consensus clients. As soon as nodes run the new software, the Fast Confirmation Rule is automatically applied.

This lowers the technical threshold for adoption and increases the chance that the improvement will be widely rolled out relatively quickly. Implementation is expected in the coming months.

Better efficiency and lower reorganization risk

Although a “fast-confirmed” block is not yet fully final, according to developers it offers a comparable degree of certainty against so-called chain reorganizations, situations in which previously confirmed transactions are still reversed.

In addition, the update can contribute to a more efficient fee structure, including in the market for so-called blob fees that are important for scale solutions. Infrastructure providers, such as RPC services and cross-chain bridges, can also benefit from faster confirmations and lower operational risks.

With this step, Ethereum is once again focusing on scalability and ease of use. In a market in which speed and costs are becoming increasingly important, the Fast Confirmation Rule can play a crucial role in the further adoption of the network.

In the short term, this will have little effect on the Ethereum price, but this is of course an important step for the network.