After a 45% price drop in Q1 2025, Ethereum (ETH) may be gearing up for a revival. The highly anticipated Pectra upgrade is set to pass final testing on May 7, paving the way for its mainnet launch.
This network upgrade combines two improvement bundles—Prague and Electra—into Pectra, featuring 9 Ethereum Improvement Proposals (EIPs). These changes aim to simplify onboarding for retail traders while making the world’s second-largest blockchain more attractive to institutions.
👉 Discover how Pectra could reshape Ethereum’s future
What Is the Ethereum Pectra Upgrade?
Pectra is a major Ethereum upgrade focused on:
– Enhancing staking efficiency
– Improving user experience (UX)
– Advancing the rollup-centric scaling roadmap
– Strengthening decentralization
Originally, Prague targeted execution-layer upgrades, while Electra focused on consensus-layer improvements. Merged into Pectra, this upgrade is now scheduled for May 7, 2025—potentially Ethereum’s largest update ever.
Key EIPs in the Pectra Upgrade
As of March 2025, Pectra includes nine EIPs:
| EIP | Description |
|---|---|
| EIP-2537 | Adds cryptographic precompiles with 120+ bit security (vs. BN254’s 80-bit). |
| EIP-2935 | Stores historical block hashes for stateless clients. |
| EIP-6110 | On-chain validator deposits. |
| EIP-7002 | Lets validators trigger withdrawals via execution-layer credentials. |
| EIP-7251 | Raises max staking limit per validator from 32 ETH to 2,048 ETH. |
| EIP-7549 | Boosts data availability for Layer 2 (L2) solutions. |
| EIP-7685 | Enables validator smart contracts to execute specific actions. |
| EIP-7702 | Improves UX for externally owned accounts (EOAs). |
| EIP-7742 | Decouples blob counts between consensus/execution layers. |
Consensus-layer EIPs: 6110, 7002, 7251, 7549, 7742
Execution-layer EIPs: 2537, 2935, 6110, 7685, 7002, 7702, 7742
Pectra’s Major Features
1. More Efficient Staking
- Current limit: 32 ETH per validator. Large stakeholders must run multiple nodes.
- EIP-7251 raises the cap to 2,048 ETH, reducing node overhead while keeping the 32 ETH minimum for small validators.
- Expected to lower P2P messaging and computational loads (vs. 1M+ daily active validators in 2024).
2. User Experience (UX) Upgrades
- EIP-7702: Bundles multiple actions into one transaction and enables gas fee sponsorship.
- Introduces “permission downgrades” (e.g., daily 2% spending limits for ERC-20 tokens).
- EIP-7002: Allows smart contracts to trigger validator exits, improving trustless staking pools.
3. Enhanced Rollup Scaling
- EIP-7549 and PeerDAS (EIP-7594) optimize L2 data availability, reducing gas fees for rollups.
👉 Why Ethereum’s L2 ecosystem matters for investors
How Could Pectra Impact ETH’s Price?
Galaxy Research VP Christine Kim notes:
“As Ethereum shifts to a rollup-centric model, L2 upgrades will drive ETH’s value more than base-layer (L1) changes. UX, interoperability, and security on L2s are critical.”
Potential Catalysts:
– Institutional interest from higher staking limits.
– Increased L2 activity lowering fees and boosting adoption.
– Speculative rallies around upgrade milestones.
FAQs
1. When will Pectra go live?
- Target: May 7, 2025, pending final testing.