What is the Ethereum Fusaka Update?

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The Fusaka version, which is the 20th major update to the Ethereum network and has entered the testing phase, opens the door to a new era in terms of both efficiency and security in the blockchain infrastructure. This update aims to make Ethereum's first layer (Layer 1) faster, more secure and less costly.

What is the Fusaka Update?

Fusaka, Ethereum's 20th major network upgrade, represents a significant milestone in terms of both efficiency and security in the blockchain infrastructure. This upgrade aims to increase transaction capacity, reduce costs, and make the network more sustainable on Ethereum's Layer 1.

The name ‘Fusaka’ comes from the combination of two different developments: “Fulu” is the name of the update to Ethereum's consensus layer, while ‘Osaka’ represents the Japanese city hosting the 2025 Devcon event. The combination of these two concepts, Fusaka, symbolises Ethereum's new era both technically and symbolically.

What Does the Fusaka Update Entail?

The most notable feature of the Fusaka Ethereum update is the full implementation of the PeerDAS (Peer Data Availability Sampling – EIP-7594) system. This technology, whose infrastructure was prepared with the Pectra upgrade, will begin to be actively used in the Ethereum ecosystem with Fusaka.

For Layer 2 networks on Ethereum to operate securely, data from these networks is periodically transferred to the main network. However, this data transfer placed a significant burden on nodes. While the ‘Blob’ system introduced with the Dencun update streamlined this process, nodes still had to store all the data, limiting efficiency.

With Fusaka, the full activation of PeerDAS will mean that nodes will only need to store one-eighth of the data set, rather than the entire set. This will significantly reduce the storage load and lower the costs of Layer 2 chains. Furthermore, this optimisation will allow more blobs to be added per block, thereby increasing transaction capacity and overall network speed.

Additionally, the dynamic structure of blob transaction fees occasionally caused price imbalances. To prevent this issue, a base fee system will be introduced to define a minimum price level for blob fees.

Block Gas Limit Increase

The Fusaka update expands the amount of gas allowed per block to increase Ethereum's transaction capacity. This change enables the network to process more transactions simultaneously while reducing the risk of congestion.

Furthermore, the Blob Fee Reserve Mechanism introduced with EIP-7918 maintains cost stability by balancing fluctuations in transaction fees during periods of high demand. This ensures that the number of transactions per block increases while fees remain at a more predictable level.

When Did Ethereum Fusaka Go Live?

The Ethereum Fusaka update was officially activated on the Ethereum mainnet at 00:49 Turkish time on 4 December 2025.

Why is the Fusaka Update Important?

One factor highlighting the importance of the Fusaka update is the comprehensive improvements made to the Ethereum Virtual Machine (EVM). The EVM is the fundamental structure on which all smart contracts running on Ethereum and Layer 2 networks are executed.

The EVM Object Format (EOF) introduced with Fusaka enables smart contracts to be written in a more organised, efficient, and secure manner. The clear separation of code and data facilitates contract verification and optimisation. For developers, this translates to fewer errors, faster execution, and more stable applications.

The newly added CLZ (Count Leading Zeros) operation code (EIP-7742) enables cryptographic operations to be performed more efficiently. It increases processing speed, particularly in complex cryptographic processes such as digital signature verification and zero-knowledge proofs.

Furthermore, with secp256r1 (EIP-7212) support, Ethereum becomes compatible with security standards used on mobile devices. This means users will be able to access Ethereum applications using biometric authentication methods such as Face ID or fingerprint recognition instead of entering a seed phrase.

These developments clearly demonstrate why Fusaka is so important, making Ethereum a more accessible, secure, and innovation-friendly ecosystem for both developers and users.

The Impact of the Fusaka Update on the Crypto Market

The Fusaka update is not merely a technical innovation within the Ethereum ecosystem; it stands out as a significant development that will have a direct impact on the crypto market. This upgrade is of great interest to both ordinary users and developers.

Even for users who only hold ETH or occasionally make transactions, Fusaka will offer a cheaper and faster network experience. Transaction fees on Layer 2 networks are expected to decrease by 40 to 60 per cent. This means that a transaction costing £0.05 could drop to £0.02-0.03. Thanks to increased transaction capacity and network efficiency, Ethereum will become more stable and reliable overall.

Important innovations are also coming for DeFi users. Transactions made in decentralised finance applications will now be faster and more economical. Increased block capacity and smart contract improvements will enable new financial products that were previously impossible.

For developers, Fusaka will provide a more efficient working environment on Ethereum. New virtual machine (EVM) improvements will facilitate the writing, testing, and securing of smart contracts. Furthermore, mobile-compatible wallets and advanced authentication systems will offer broader integration possibilities.

From a Layer 2 networks perspective, Fusaka significantly increases scalability. Networks such as Arbitrum, Optimism, Base, and zkSync will now be able to send more data to Ethereum, reducing network congestion. With balanced fees, users will be able to transact at lower costs. These more efficient networks will gain a competitive advantage for both users and developers.

Fusaka also has positive implications for validators and node operators who ensure the network's security. Reduced bandwidth requirements make node setup more accessible. Furthermore, with the new system, validators will be able to see block proposal times in advance and conduct their operations in a more predictable manner.

Overall, the Fusaka Ethereum update is making waves in the crypto market as a step that directly impacts Ethereum's performance, security, and usage costs. With this development, Ethereum is becoming a stronger, more scalable, and sustainable ecosystem for both users and developers.

ETH/USDT and ETH/TRY Rise

Following the implementation of the Fusaka update, the price of Ethereum showed an upward movement in the markets. The update's improvement in network efficiency and reduction in transaction costs strengthened investor confidence. This situation supported the upward trend in both the ETH/USDT and ETH/TRY pairs.

With Fusaka becoming active, Ethereum's transaction capacity increased while Layer 2 network costs decreased. These developments reinforced expectations that the network will become more scalable and sustainable in the long term. The resulting positive sentiment in the market increased demand for Ethereum prices to react upwards in the short term.

According to experts, the decrease in transaction fees and the increase in network performance resulting from the update could lead to more intensive use of Ethereum in the DeFi and NFT ecosystems. This could create a foundation that supports ETH's value appreciation in the medium term.

2025-12-11

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The information, comments, and evaluations contained in this content do not constitute investment advice. This content is not intended to be prescriptive in any way and is intended to provide general information. It does not constitute investment advice. CoinTR cannot be held responsible for any transactions made based on this information or any losses that may arise.

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