Ethereum’s Layer-2 solutions have achieved major milestones in decentralization, scaling, and reducing fees by July 2025. Vitalik Buterin spearheads these innovations, with vigorous support coming from the Ethereum Foundation and an array of technical teams. This integration is a significant step in the direction of Ethereum’s future goal of modular scaling. Our upgrades prioritize data availability and data interoperability between different ecosystems to give the best possible experience to Ethereum users.
Ethereum's Layer-2 networks have now "reached key decentralization milestones." This progress goes a long way toward improving the security and reliability of the network, characteristics that really lie at the heart of blockchain technology.
Those scaling solutions have allowed Ethereum to process transactions at a 17-fold increased clip from previous versions. By cutting fees on a proportional basis, the network has become more accessible and cost-effective to a broader range of users.
Even Ethereum co-founder Vitalik Buterin was clear about the strategic importance of these upgrades in a recent blog post. In his remarks, he stressed that such improvements are desperately needed. Together, they’ll position Ethereum to effectively handle an ever-growing list of decentralized applications and more user activity.
These new upgrades, notably Pectra, Fusaka, and Glamsterdam, allow for a greater degree of real-time availability and interoperability across the network. These improvements are meant to make it easier to operate and allow for effortless coordination between multiple Layer-2 solutions.
Base, one of these new popular rollups, now processes 40% of all Ethereum’s total capacity. This helps it achieve the higher throughput and lower cost needed to serve a wide array of financial applications.
The scalability and versatility offered by Layer-2 solutions has led to a more widespread adoption of these networks throughout the decentralized finance (DeFi) ecosystem. More than $42 billion initiative today is being collateraled across the ecosystem, with a wide range of DeFi protocols already adopting these solutions.
Such advancements further underscore Ethereum’s commitment to continuous innovation and scalability. The Layer-2 innovations make network activity much stronger. They further reinforce its position as the leading platform for dApps and blockchain tech overall.