Ethereum's Pectra Upgrade Drives 26,000 Wallets to Smart Account Format

Ethereum’s recent Pectra upgrade is driving a significant increase in the adoption of smart wallets, transforming how users engage with the network. The upgrade, which includes the implementation of EIP-7702, has enabled over 26,000 Ethereum wallets to transition to a new smart account format. This format allows regular Ethereum wallets to operate like smart contracts, enhancing their functionality without compromising their original address or flexibility.

EIP-7702 introduces a new standard that merges the capabilities of Externally Owned Accounts (EOAs) and Smart Contracts. Traditionally, EOAs could send transactions but lacked programmability, while Smart Contracts could automate tasks but couldn’t initiate transactions. With EIP-7702, EOAs can now delegate control to smart contracts, unlocking features such as automated spending, scheduled payments, and multi-step actions within a single transaction. Additionally, users can pay fees in tokens other than ETH, adding another layer of convenience.

To activate these features, Ethereum EOA users need to authorize a smart contract that governs their wallet activity. This contract acts as the logic layer for transactions, enabling advanced functionalities. Users who wish to revert to a basic wallet can point their address to a burn contract, effectively stripping away the programmable features.

The rapid uptake of smart accounts is evident not only on Ethereum but also on various layer-2 networks. As of the latest data, 13,013 smart accounts exist on Ethereum’s mainnet. Layer-2 solutions like Optimism, Binance Smart Chain, Base, and Gnosis have also seen widespread adoption, with 5,588, 5,261, 2,851, and 229 smart accounts respectively. These accounts have collectively triggered nearly 124,000 authorizations since the upgrade launched, with Binance Smart Chain leading with 69 active contracts, closely followed by Ethereum at 66.

Exchange and wallet providers are also embracing this shift. WhiteBIT leads with the highest number of smart account authorizations, at 6,922, followed by MetaMask at 5,188. OKX Wallet accounts for 3,452 authorizations, while unidentified sources comprise another 3,988 accounts. This widespread adoption indicates a growing trend towards more programmable and flexible wallet solutions, driven by the Pectra upgrade and the EIP-7702 standard.