Ethereum News Today: Ethereum's Fusaka Upgrade: Scaling Without Sacrificing Security or Decentralization

Ethereum's Fusaka upgrade, a pivotal step in the network's scalability roadmap, has successfully cleared its final testnet phase, setting the stage for a mainnet launch on December 3. The upgrade, now active on the Hoodi testnet, introduces a suite of Ethereum Improvement Proposals (EIPs) designed to enhance transaction speed, security, and efficiency, positioning the blockchain to compete more effectively with high-throughput rivals like Solana and Sui, according to a TradingView report.

The Fusaka upgrade's activation on Hoodi follows successful deployments on Holesky and Sepolia testnets earlier in October. Developers have confirmed the mainnet rollout will proceed in three stages: initial activation, a data capacity expansion for blob storage, and a subsequent hard fork to further scale the network. This phased approach underscores Ethereum's commitment to iterative improvements while minimizing risks to the live network, as reported by Forklog.

Central to Fusaka's enhancements is EIP-7594, which introduces Peer Data Availability Sampling (PeerDAS). This protocol allows validators to verify small data fragments instead of entire blobs, significantly reducing node operational costs and improving data availability for Layer 2 networks. Additional EIPs, such as EIP-7825 and EIP-7935, will increase the gas limit and enable parallel smart contract execution, potentially boosting Ethereum's transaction throughput to 12,000 transactions per second (TPS) from its current 3,100 TPS, as detailed by CryptoRank.

The upgrade also aligns with Ethereum's broader "Surge" roadmap, which prioritizes scalability without compromising security or decentralization. Co-founder Vitalik Buterin has long emphasized the "blockchain trilemma"—balancing scalability, security, and decentralization—and Fusaka represents a critical step in resolving this challenge. The upgrade follows the Pectra update in June, which streamlined staking and wallet usability, and precedes the next major phase, Glamsterdam, slated for early 2026, a point also highlighted by CryptoRank.

Market reactions to the testnet success have been cautiously optimistic. Ethereum (ETH) traded at $4,021 as of October 25, with its 50-day simple moving average (SMA) at $4,229 indicating short-term strength. Analysts at VanEck argue that Fusaka could strengthen Ethereum's monetary properties by reducing Layer 2 fees, increasing economic activity, and enhancing the base layer's security. Some forecasters, including XWIN Research and BitMine's Tom Lee, have projected a price target of $10,000 for ETH in the current cycle, while others like The Long Investor see potential for $13,500 by 2029, as reported by CoinDesk.

On-chain data also suggests growing confidence among large holders. Santiment reported that "whales" (wallets holding 100–10,000 ETH) have resumed accumulation, reversing prior selling pressure. This trend, coupled with Ethereum treasury firms outpacing Bitcoin counterparts in supply dominance, highlights institutional interest in the network's post-upgrade prospects, according to a Yahoo Finance report.

As Ethereum approaches its December 3 mainnet activation, the focus shifts to whether the upgrade will catalyze broader adoption and price momentum. With Fusaka addressing critical scalability bottlenecks and laying the groundwork for Glamsterdam, the blockchain's next phase could redefine its role in the evolving decentralized ecosystem.