The next leap of Ethereum? Proposing Block time Halving to accelerate Decentralized Finance

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The next leap of Ether? proposes to accelerate Decentralized Finance by reducing Block time Halving

Author: Ritika Gupta

Compiled by Jessica

Can shortening the Block confirmation time speed up Decentralized Finance and Rollups?

The 6-second block time (Slot Time) proposed by the Ethereum aims to achieve faster transaction confirmation and more efficient Decentralized Finance circulation.

Is this the next major leap for the blockchain, or just a marginal adjustment to the block time?

As a Layer 1 Block chain, the value of Ethereum (ETH) goes far beyond price speculation. Its true core competitiveness lies in having the largest Decentralized Finance ecosystem in the entire chain, with a total locked value (TVL) as high as $609.2 billion.

Now, it seems that they are doubling down on this core scenario. According to the upcoming 'Glamsterdam' upgrade proposal EIP-7782, they plan to reduce the block time of Ethereum from 12 seconds to 6 seconds.

With the implementation of the Pectra upgrade and the advancement of this new proposal, 2025 may become the most revolutionary year in the history of Ethereum. But is this just a routine technical adjustment, or the true evolution of the on-chain ecosystem?

The chain reaction caused by the adjustment of the underlying

Interestingly, proponents of the upgrade have referred to the shortened block time as the 'largest Rollup solution in the history of Ethereum.' This statement is not without merit - currently, each Block takes 12 seconds to complete the proposal, verification, and on-chain process. After the Halving, the feedback efficiency of the L1 layer can be significantly optimized without increasing Gas limits or throughput.

In other words, Ethereum will not process more transactions, but will process them faster. Assuming the blockchain continues to run for 1 hour, the number of blocks generated will double from 300 to 600.

The key is that the gas limit remains unchanged, and each block still carries the same amount of computation, and this change alone may make the transaction fees more stable.

Due to the increased frequency of transaction packaging, users no longer need to pay extra fees for quick confirmation of payment. The actual effect may be a decrease in the average cost of a single transaction.

Source: Artemis Terminal

From a technical perspective, the EIP-7782 proposal may be a profound change. Simply reducing transaction fees could significantly increase network participation — especially as the L1Block chain is currently experiencing its strongest phase of actual demand since its inception.

But ETH is not just a regular L1, it is also the cornerstone of Decentralized Finance. Therefore, the core question is: Will the reshaping of the Decentralized Finance ecosystem in this upgrade be comparable to its optimization of user experience?

Shorter Block time, more accurate Decentralized Finance execution

The essence of Decentralized Finance is the ability to complete transactions, lending, and profit generation without the need for banks or intermediaries. However, all these functions are still subject to the block time of the ETH network. Currently, each transaction on average requires 12 seconds for confirmation.

Taking the token exchange on Uniswap as an example: A 12-second delay in a volatile market may mean significant spreads, often forcing users to pay higher fees to avoid transaction backlog. If the time is Halving to 6 seconds, system response will be more agile, prices will be more synchronized, and user execution efficiency will naturally improve.

Its derivative impact is: more efficient trading may attract deeper liquidity, thereby driving more user deposits.

Data Source: Decentralized FinanceLlama

Therefore, shortening the block time may seem like a minor adjustment, but it actually has far-reaching implications: faster Blocks mean a more compact market, better user experience, and stronger incentives for holding and using ETH. Overall, this is a structural change that strengthens the fundamentals and on-chain activities.

ETH2.24%
DEFI11.94%
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