Ethereum's Fusaka Upgrade Reduces Gas Fees but Sparks Surge in Dust Attacks

Ethereum's Fusaka upgrade reduced gas fees by over 50%, spurring a rise in low-value transactions used for spam and phishing.

Post-upgrade, dust transactions now account for 10%-15% of total Ethereum transactions and 25%-35% of daily active addresses according to analysis.

Attackers exploit these low costs by sending trivial stablecoin transfers to seed wallets and trick users into copying incorrect addresses, leading to significant financial losses.

Ethereum's Fusaka upgrade, introduced in December 2025, aimed to enhance scalability and reduce gas fees. While it succeeded in making transactions more affordable, it inadvertently created new challenges. The reduction in fees led to a surge in low-value transactions, often referred to as "dust" transactions. These transactions are used for spam and phishing attacks, where attackers send tiny stablecoin amounts to users' wallets to seed data or trick users into copying incorrect addresses according to reports.

The surge in dust transactions has raised concerns among developers and users. These attacks now account for a significant portion of Ethereum's activity, inflating metrics like daily active addresses and transaction volumes. For example, 26% of active addresses are linked to sub-penny stablecoin dust transfers. This trend has led to increased scrutiny from network developers, who are exploring solutions like EIP-8075 to introduce dynamic gas pricing and smaller, more frequent upgrades to manage spam while preserving the benefits of lower fees according to analysis.

What Are the Implications of the Dust Transactions Surge?

The surge in dust transactions has several implications for Ethereum's network and its users. First, it has created a challenge in distinguishing genuine user activity from spam. This issue is compounded by the fact that 43% of stablecoin balance updates involve transfers of less than $1, with 38% of those transfers under a single penny. These transactions are often used for address poisoning, where attackers seed wallets with minimal cost to later execute scams according to reports.

Second, the surge in dust transactions has led to increased security concerns. The economic viability of these attacks has risen due to the lower gas fees, making it easier for attackers to execute large-scale spam campaigns. For instance, the top attacker address alone sent nearly 3 million dust transfers to over a million unique recipients. These attacks have already led to $740,000 in losses.

How Are Developers Addressing the Dust Transaction Issue?

To address the dust transaction issue, Ethereum developers are exploring several solutions. One proposed solution is EIP-8075, which aims to introduce dynamic gas pricing to better manage spam according to analysis. This would allow the network to adjust gas prices based on demand, making it more expensive for attackers to execute large-scale spam campaigns.

In addition to EIP-8075, developers are also planning to release smaller, safer upgrades twice a year to manage growth and address emerging issues like spam according to reports. These upgrades are expected to include improvements in network security and spam filtering mechanisms. For example, the upcoming EIP-7918 is expected to set a fair floor price for data blobs, which will test the sustainability of the new fee market according to analysis.

What Does the Future Hold for Ethereum's Network?

The future of Ethereum's network will be shaped by the balance between scalability and security. While the Fusaka upgrade has improved scalability and transaction throughput, it has also highlighted the need for robust spam control measures according to analysis. The challenge for developers is to ensure that these measures do not undermine the accessibility and performance improvements brought by the upgrade.

Moreover, the surge in dust transactions has sparked a debate over the role of Layer 2 solutions in Ethereum's future. Vitalik Buterin has emphasized the need for Layer 2 solutions to offer unique value-adds like privacy and application-specific features rather than just being scaling tools according to reports. This shift in focus will be critical in defining the future of Layer 2 solutions on Ethereum.

As the network continues to evolve, the focus will be on finding a balance between managing spam and maintaining the benefits of lower fees. The success of this balance will be a key indicator of Ethereum's long-term health and sustainability. For investors and users, the key will be to monitor the network's ability to adapt to these challenges while continuing to provide value to its users.