EIP-4844: How Ethereum Achieves Cost Revolution Through Data Blobs

Ethereum has long faced a persistent issue—the transaction fees remain high during congestion. Whenever network traffic surges, users have to pay exorbitant Gas fees for each transaction, which has become the biggest obstacle for ordinary users to participate in on-chain activities. The EIP-4844 in the Ethereum Cancun upgrade has emerged to fundamentally change this situation.

Proto-Danksharding: A New Transaction System

EIP-4844 (i.e., Ethereum Improvement Proposal 4844) is not a simple parameter adjustment, but rather a completely new transaction processing framework. This innovation is called Proto-Danksharding, which introduces a brand new data carrying method to the Ethereum network.

Unlike traditional transaction data that is stored directly on the blockchain, EIP-4844 creates a temporary and efficient data storage model. Its core innovation is the introduction of the new concept of “data Blob”.

What is a Blob? Why does it change the game?

Imagine you want to send a large item. Regular express delivery can only fit inside a package, but the Blob in EIP-4844 is like a temporary external space—it can be bound to a transaction but won't be directly processed by the Ethereum Virtual Machine (EVM).

The beauty of Blobs lies in their temporality. These data packets only need to be retained in the Ethereum network for a short period (typically a few block cycles) before being cleared. This means they can transmit massive amounts of information without permanently occupying block space, greatly reducing storage costs.

How EIP-4844 Works: Expanding Block Capacity

In simple terms, EIP-4844 adds an additional data processing channel to Ethereum blocks. The amount of data that traditional blocks can accommodate is fixed, while with the Blob mechanism, each block can now process more information.

Ethereum developer Ben Edgington once described: EIP-4844 allows data packets to be directly bound to the block without the need for traditional storage processing. This design ensures that the network does not become overloaded due to increased data volume, while also making transaction processing smoother and more efficient.

Two Major Changes Users Will Directly Experience

Transaction Speed Soars: Thanks to the efficient processing of Blobs, the transaction confirmation time on Ethereum will be significantly shortened. From waiting for multiple block confirmations to relatively instant feedback, this upgrade in experience is comparable to switching from a regular train to a high-speed train.

Gas fees plummet: Blob provides a cost-effective way to transfer data. Users no longer need to pay high fees for massive transaction data, which means more people can afford on-chain transactions, especially those with small transactions.

Towards Complete Danksharding

It is important to clarify that EIP-4844 is just the prologue. Its true mission is to pave the way for the future complete Danksharding upgrade. Danksharding is a grander vision—enabling Ethereum to handle massive transactions while maintaining the network's security and decentralization features.

The deployment of EIP-4844 in the Cancun upgrade marks a significant step for Ethereum towards this ultimate goal. The cost optimization and speed improvements achieved today through Blob are just the beginning of this long-term plan. In the future, when complete Danksharding is implemented, Ethereum will completely solve its scalability challenges.