Starknet will begin subsidizing transaction fees for users before its upgrade roll-out is complete.<\/p>\n
Starknet, a leading Ethereum Layer 2, will introduce upgrades designed to significantly reduce transaction fees alongside Ethereum\u2019s long-awaited Dencun upgrade.<\/p>\n
Announced on March 12, Starknet will implement a wave of fee-saving measures in parallel to Ethereum\u2019s March 13 Dencun upgrade through its 0.13.1 version. The Starknet Foundation said the new version will \u201cdramatically reduce” transaction fees on the network by driving down the \u201cdata availability costs, fixed costs, and marginal costs\u201d associated with Starknet transactions.<\/p>\n
Starknet estimates the upgrades will double the fee savings expected to be unlocked through Dencun. While not all of the fee optimizations will be deployed on March 13, the Starknet Foundation will begin subsidizing the difference between current fees and their expected price once all of the upgrades have been activated in the future.<\/p>\n
\u201cTo cut user fees even earlier, the Starknet Foundation is introducing its early fee-reduction effort, which aims to implement expected results of this long-term vision as early as possible,” said Eli Ben-Sasson, StarkWare\u2019s CEO. \u201cAs part of the program, the Foundation will provide tokens to adjust transaction fees to match conservative estimates of future network fees when decentralization takes effect.\u201d<\/p>\n
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The new measures also follow Starknet ushering in a 50% reduction in computation costs and a 25% drop in data availability expenses with the launch of its\u00a0v0.13.0 upgrade<\/a>\u00a0in January.<\/p>\n Starknet is the fifth-largest Layer 2 network with a total value locked (TVL) of $1.66 billion, according to L2beat.<\/p>\n The highly-anticipated Dencun upgrade<\/a> is set to significantly reduce the fees associated with transacting on Layer 2. EIP-4844<\/a> or proto-danksharding, the main Ethereum Improvement Proposal included in Dencun, will dramatically improve data availability by replacing gas-intensive calldata with Binary Large Objects (blobs), which do not compete with Ethereum transactions for gas.<\/p>\n Diego Oliva, CEO of the Starknet Foundation, said that Starknet users will enjoy a greater fee reduction post-Dencun than any other Layer 2. \u201cThis is because Starknet fees have the highest proportion of data availability costs, where the savings are being made,\u201d Oliva said.<\/p>\nDencun<\/h2>\n