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The platform’s developers are debating a new update to the Ethereum network. Called “Shanghai,” this new hard fork aims to implement improvements that include more network scalability and accelerate the Ethereum Virtual Machine (EVM) development.

Referred to as Ethereum Improvement Protocols (EIP), three updates immediately could be part of the Shanghai upgrade.

In September 2022, Ethereum underwent a significant upgrade with The Merge. The currently proposed network improvement could free up the ethers (ETH) used in deploying the platform’s proof-of-stake (PoS) mechanism.

This way, in addition to the crypto assets allocated to the network, possible rewards for using the balance will be available for redemption. Until now, this withdrawal was scheduled to occur between six and twelve months after the PoS mechanism was implemented in Ethereum.

New Ethereum Update

Ethereum may face a new update in March 2023, according to developers’ forecast. Shanghai plans to include improvements to the platform, including updating the network’s EVM.

In November 2022, Shandong testnet began implementing these improvements in a testing phase before integration with the main network, the Beacon Chain.

Most of the changes discussed for the Shanghai hard fork are aimed at creating more secure smart contracts executed on the network. For example, one proposal advocates creating more secure cryptographic proofs for Ethereum by increasing interoperability with the platform’s main chain.

Like Shanghai, the latest update to the Etheruem network was initially developed on the platform’s test networks. After the testing phase was completed, the hard fork was integrated into the Beacon Chain, and this was the latest update to the platform until then.