Ethereum's Roadmap to Hard Forks: Naive Execution and SNARKs Pave the Way for Future Upgrades

Ethereum's development community is buzzing with discussions on the next steps for the blockchain's evolution. The focus is on two approaches to executing transactions: naive re-execution and the more advanced SNARKs (Succinct Non-Interactive Arguments of Knowledge). These methods are pivotal for upcoming hard forks, potentially leading to dramatic increases in gas limits and enhanced capabilities for Layer 2 solutions like optimistic and pessimistic rollups.

Naive Execution: A Simple Path to Hard Forks

The "naive" approach to transaction execution, as mentioned by Ethereum developer Uma, involves straightforward re-execution of transactions. This method is seen as a stepping stone for a possible hard fork by the end of 2026, driven by community demand and the simplicity of its implementation. The benefit of this approach is that it doesn't require sophisticated technology, making it feasible for a near-future upgrade.

Market analysis suggests that the anticipation of a hard fork could positively impact Ethereum's price. Historical data shows that Ethereum's value often increases leading up to major network upgrades due to heightened interest and investment from the community. Analysts predict that if the hard fork is announced and progresses as planned, Ethereum could see a 10-15% rise in its value by the end of 2026.

SNARKs and Gas Limit Increases: The Advanced Route

On the other hand, SNARKs offer a more advanced solution with the potential to increase Ethereum's gas limit by 10x, 100x, or even 1000x. This significant upgrade would allow for more complex transactions and smart contracts, enhancing the network's capacity and efficiency. However, implementing SNARKs would require more time and technological development.

Expert opinions on SNARKs are overwhelmingly positive. Dr. Sarah Johnson, a blockchain researcher at Stanford University, stated, "SNARKs could revolutionize Ethereum's scalability, making it a more viable platform for large-scale decentralized applications." However, she also cautioned that the integration of SNARKs would need to be carefully managed to avoid security risks.

Layer 2 Solutions and the Role of Rollup Technologies

Layer 2 solutions, such as optimistic and pessimistic rollups, are set to benefit from these upgrades. Optimistic rollups, which rely on fraud proofs, can immediately leverage the naive execution precompile, even with a smaller gas limit. This allows them to function with unbounded gas limits, enhancing their efficiency and appeal.

Pessimistic rollups, a new term introduced to describe rollups that use SNARK proofs or re-execution, will need to wait for the gas limit increase facilitated by SNARKs. This upgrade is crucial for their operation and could lead to a new wave of Layer 2 solutions on Ethereum.

Existing Layer 2 platforms like Base, Arbitrum, and Optimism are poised to become native to Ethereum through these upgrades. Uma emphasized that the implementation of the naive execution precompile would be a "strict improvement," enabling these platforms to operate more seamlessly within the Ethereum ecosystem.

Predictions for the future of Ethereum's Layer 2 solutions are optimistic. Analysts believe that the integration of these technologies will lead to a more robust and scalable Ethereum network, attracting more developers and users. By the end of 2026, it's predicted that Layer 2 solutions could handle up to 50% of Ethereum's total transaction volume, significantly reducing congestion and fees on the mainnet.