New Week in Ethereum 2025-09-12

Week in Ethereum News

September 12, 2025

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Highlight of the Week

• The Weld initiative was announced, merging Ethereum's execution layer specifications and testing repositories to improve developer experience and streamline the testing process.

Eth R&D Protocol Call(s)

• All Core Devs - Execution (ACDE) #220 on September 11:
  • Fusaka upgrade:
    • Devnet-3 expected to finalize in the next day, with all client teams working to fix syncing issues
    • Devnet-5 is now live, with all Block Production Optimizations (BPOs) expected by next week's ACDC call
    • Protocol upgrade process timelines were agreed upon, with shorter intervals between client releases and testnet deployments
  • Glamsterdam upgrade:
    • Progress on Block-level Access Lists (BAL) spec discussions, with first devnet expected by the end of September
    • ePBS breakout call scheduled for September 12
  • The Weld:
    • Announcement of merging execution layer specs & testing repositories
    • Plan to consolidate Python test source code, test frameworks, and vector generation under a single repository by Q4 2025
  • EIP discussions:
    • EIP-7932: Secondary Signature Algorithms and EIP-7980: Ed25519 transaction support were discussed, with concerns raised about post-quantum readiness
    • EIP-7976: Increase Calldata Floor Cost and EIP-7981: Increase access list cost were presented to address worst-case block sizes
    • EIP-2780: Reduce intrinsic transaction gas was discussed, proposing to reduce base transaction cost to 6k gas
  • Ansgar Dietrichs will chair ACDE from call #222 until the end of the year during Tim Beiko's leave

Fusaka upgrade

• Devnet updates:
  • Fusaka-devnet-3 is recovering from syncing issues, with a comprehensive bug feedback document compiled by the EthPandaOps team
  • Fusaka-devnet-5 launched with larger scale testing similar to devnet-4
  • Client teams are targeting Monday for all code to be on trunk branches, with near 100% participation recovery expected once fixes are deployed
• Upgrade schedule (assuming testing goes well):
  • Client releases expected by September 22 at the earliest
  • Holesky testnet upgrade + 1 week
  • Sepolia upgrade + 2 weeks after Holesky
  • Hoodi upgrade + 2 weeks after Sepolia
  • Mainnet upgrade date to be determined after Hoodi safely upgrades
• Holesky Testnet Shutdown Announcement was published, affecting the Fusaka deployment timeline

Layer 1

• The Weld initiative was announced to merge Ethereum's execution layer specifications and testing repositories
  • The main goal is to improve developer experience by eliminating the need for resolver tools and simplifying test coverage
  • During a brief transition period, external contributions to the test repository will be paused to allow for cleanup
  • After the transition, developers will direct their PRs to the consolidated "execution-spec-tests" repository
• Post-quantum cryptography discussions emerged during ACDE #220:
  • Concerns were raised about proposed Ed25519 signatures not being quantum-resistant
  • Ongoing work on Falcon post-quantum signatures was mentioned
  • Developers emphasized the need to abstract signatures early to accommodate future cryptographic changes

Research

• Post-Pectra Effects on Ethereum: Reorg Rate, Propagation, and Block Size - Analysis of network performance after the Pectra upgrade, examining reorg rates, block propagation times, and block sizes
• The road to Post-Quantum Ethereum transaction is paved with Account Abstraction (AA) - Discussion on how Account Abstraction can facilitate the transition to post-quantum cryptography for Ethereum transactions
• Open, Application-Driven FHE for Ethereum - Proposal for implementing Fully Homomorphic Encryption (FHE) in Ethereum applications to enhance privacy
• Payload Chunking - Research on improving data availability through payload chunking techniques
• Gossipsub's Partial Messages Extension and Cell Level dissemination - Proposal for enhancing the Gossipsub protocol to improve network efficiency
• Ethereum's Leaky Gas Tank: Unveiling 13 Costly Gas Model Inconsistencies - Identification of inconsistencies in Ethereum's gas model that could be exploited or lead to inefficiencies

Layer 2

• Ronin is Coming Home to Ethereum with Optimism's OP Stack - Ronin, the blockchain behind Axie Infinity, announced its migration to Ethereum's Layer 2 ecosystem using Optimism's OP Stack technology, strengthening its security and interoperability.

• Fairblock Unlocks Confidential Payments on Arbitrum - Fairblock launched a new confidentiality solution on Arbitrum that enables private transactions and auctions while maintaining blockchain transparency, addressing a key challenge for DeFi traders and businesses.

Stuff for Developers

• Foundry:

  • Nightly Release (September 12, 2025) - Latest nightly includes looser transaction gas limit restrictions ahead of the Osaka upgrade, with a new --enable-tx-gas-limit flag for enforcement.
  • v1.3.5 Released - Bugfix release addressing issues with cast state overrides, now allowing comma-separated values.

• New Cheatcode: vm.getStorageSlots - Foundry added a new cheatcode that allows developers to retrieve storage slots for contracts, improving debugging and testing capabilities.

• EIP-7928 Breakout Discussion - The second breakout session for EIP-7928 (Block-Level Access Lists) was held on September 10, with 17 posts discussing implementation details and potential improvements.

• EIP-7932: Secondary Signature Algorithms - Recent discussions on implementing secondary signature algorithms for Ethereum, with a focus on inclusion in the upcoming Glamsterdam upgrade.

Security

• PQ Interop #9 - The ninth Post-Quantum Interoperability meeting was held on September 10, discussing implementation progress and security considerations for quantum-resistant cryptography in Ethereum.

Ecosystem

• Holešky Testnet Shutdown Announcement - The Ethereum Foundation announced that the Holešky testnet will be shut down two weeks after the Fusaka upgrade finalizes, with testing operations expected to migrate to the Hoodi testnet.

• State of EthMag: Sep 2025 - The Ethereum Magicians forum published its monthly state update, highlighting recent improvements and community engagement metrics.

• ERC-8004: Trustless Agents - A new ERC proposal for standardizing trustless agent interactions on Ethereum gained significant traction with 68 posts in the discussion thread.

Notable at app layer

• DRIP: The DeFi Renaissance Incentive Program on Arbitrum - Arbitrum launched a new incentive program aimed at revitalizing DeFi development and adoption on its Layer 2 platform.

• Pascal Building Clearinghouse for Onchain Finance - Pascal unveiled its clearinghouse solution for onchain finance on Arbitrum, aiming to streamline settlement processes for decentralized financial instruments.

• Variational Reinventing Derivatives Onchain - Variational launched a new derivatives platform on Arbitrum, bringing traditional finance instruments to DeFi with improved capital efficiency.

Centralization watch: threatening the value of your ETH

• 🚨 Lido at 24.06%, still too close to the 33.3% threshold.
• Client diversity (via clientdiversity.org):
  • Execution layer: Geth ~41% & Nethermind ~38%
  • Consensus layer: Lighthouse ~42.71% & Prysm ~30.91%
  • Any client bug over 33.3% could mean loss of finality.
• Better geographic diversity is optimal, particularly outside of North America & Europe.

Client Releases

• Execution layer:
  • Geth v1.16.3: Released last week with preparations for the Fusaka release, state history rewrite, fixes for Osaka devnets, performance improvements, and bug fixes.

EIPs/Standards

• EIPs (Core, Networking, Interface):

  • EIP-2780: Updated abstract and added equivalent gas-limit increase, with several commits refining the proposal.
  • EIP-7773: Added Ansgar as author and proposed EIP-2780.
  • EIP-7932: Removed redundant argument to sigrecover and added missing return statement in sigrecover_precompile function.

• ERCs (Application Layer):

  • ERC-7943: New Ethereum standard aimed at setting a baseline for real-world asset tokenization, solving industry fragmentation with standardized functions for compliance.
  • EIP-8016: Added tests and reference implementation, with additional fixes for typos.
  • EIP-7904: Simplified the proposal.

Onchain Stats

• Fees (via ultrasound.money):
  • Gas: 0.1 to 13.5 gwei, 0.5 gwei average; zero net issuance at 16.3 gwei
  • 18.01k ETH net issuance this week
• ETHUSD: $4,286 – $4,762, currently $4,506, all time high $4,946
• ETHBTC: currently 0.038 (Flippening at ~0.165)

Regulation/Business/Tokens

• BitMine makes second huge ETH grab, expanding its investment in Ethereum by another $200 million, bringing its ETH stockpile above $9 billion.
• Spot ETH ETF inflows hit $216M, but data suggests $5K Ether price is not 'programmed' as ETH price and spot ETF flows have perked up.
• ETH builds $7.5B base as analysts predict $6,500 Ether by year-end, with heavy accumulation and record institutional flows setting the stage for a potential $6,800 target in Q4.
• Joseph Lubin teases future rewards for Linea holders as price dips 20%, with the token trading at $0.024, down 20% in 24 hours.

Enterprise

• New Ethereum standard aims to set baseline for real-world asset tokenization with EIP-7943 author Dario Lo Buglio stating that the standard's goal is to solve industry fragmentation with standardized functions for compliance.
• RWA tokens surge 11% weekly as onchain value peaks at $29B, with the total onchain value of real-world assets almost doubling since the start of the year as financial institutions flood into the space.
• Latin American devs favor Ethereum and Polygon over new chains, according to a report where researcher Luiz Eduardo Abreu Hadad told Cointelegraph that while devs are drawn to established ecosystems, the region can create new platforms.

Miscellaneous

• Polygon fixes RPC node bug, with consensus returning to normal after a bug impacted some remote procedure call (RPC) nodes, causing them to fall out of sync, but did not impact onchain block production.
• SEC chair says most tokens are not securities, backs 'super-app' platforms with SEC's Paul Atkins commenting on Project Crypto, proposing one regulatory framework for trading, lending and staking digital assets.
• From 55% to 20%? How Japan plans to fix its crypto tax rules with Japan's crypto overhaul promising relief for investors in a bid to boost Web3 innovation.

Upcoming Dates of Note

• Sep 16-19: EDCON in Osaka, Japan - Join the global Ethereum community to explore the latest in Ethereum technology through workshops, keynotes, and networking opportunities.
• Sep 23-25: ETHSofia in Sofia, Bulgaria - The first major Ethereum community conference in Bulgaria, bringing ETH enthusiasts, professionals, and developers to the IT heart of the Balkans.
• Sep 25: Pragma New Delhi in New Delhi, India - Bringing developers onchain to build the future of the internet.
• Sep 26-28: ETHGlobal New Delhi in New Delhi, India - Bringing developers onchain to build the future of the internet.
• Oct 1: ETHVenice in Venice, Italy - Join the third edition in the beautiful San Servolo Island to learn more about blockchain, technology and with an eye towards art.
• Oct 1-2: TOKEN2049 Singapore in Singapore - TOKEN2049 is the world's largest crypto event, joining the crypto ecosystem's decision-makers to connect, exchange ideas, network, and shape the industry.