AlexandraWe are welcoming you to our weekly digest! Here, we discuss the latest trends and advancements in account abstraction, chain abstraction and everything related, as well as bring some insights from Etherspot’s kitchen.
The latest news we'll cover:
- Particle Network Integrates Elastos Mainnet for Web2 Logins and Gasless Transactions
- GasHawk Raises $1.6M in Preseed Round to Revolutionize On-Chain Transactions
- Squid Launches Version 2.0 to Simplify Cross-Chain Abstraction
- Proposed Change Could Save Ethereum from L2 ‘Roadmap to Hell’
- Stackup Shuts Down Bundler and Paymaster Services
Please fasten your belts!
Particle Network Integrates Elastos Mainnet for Web2 Logins and Gasless Transactions
Particle Network has integrated the Elastos Smart Chain (ESC) Mainnet, simplifying user onboarding for Web3 applications.
Announced at Bitcoin Nashville 2024, this milestone allows users to engage with Elastos dApps using Web2 logins, such as Google, without requiring crypto wallets or seed phrases. The integration also enables gasless transactions, making dApps more accessible to Web2 users and expanding adoption.
Elastos’ BeL2 protocol, which utilizes Bitcoin for collateral, allows users to interact with the Elacity marketplace without needing ELA tokens for gas fees. This streamlines the user experience while maintaining the decentralized benefits of security, peer-to-peer interactions, and personal data control.
Pengyu Wang, Founder of Particle Network, emphasized that this integration simplifies Web3 by providing a unified address and balance across blockchains, enhancing accessibility for developers and users.
Jonathan Hargreaves, Elastos’ Global Head of Growth, highlighted the significance of this milestone in bringing Web3 experiences closer to mainstream adoption, comparable to current social media and sharing apps.
GasHawk Raises $1.6M in Preseed Round to Revolutionize On-Chain Transactions
GasHawk is excited to announce the successful completion of its $1.6 million pre-seed funding round, with participation from a distinguished group of funds and angel investors.
Backed by AppWorks, RedBeard Ventures, Alchemy, 3SE Holdings, Avid3, Andromeda Capital, and Artemis Capital, as well as renowned angels such as Roneil Rumburg (CEO Audius), Vijay Michalik (Head of Product at Superfluid), and Dawson Botsford (CTO at Earnifi & Bankless DAO), GasHawk is set to scale its innovative on-chain transaction layer.
GasHawk is focused on making life onchain more efficient, safe, and secure, starting with a service that helps retail and institutional users save up to 95% on transaction fees. The company is now planning to expand its transaction layer IP and build new services centered around crypto transactions.
Squid Launches Version 2.0 to Simplify Cross-Chain Abstraction
Squid, a cross-chain liquidity routing and swap protocol, has unveiled Version 2.0, revolutionizing cross-chain swaps with a new architecture that abstracts away the complexities of multiple chains.
The update enhances performance, reduces costs, and expands functionality into areas like 1:1 stablecoin transfers, real-world asset transactions, and advanced routing.
Squid 2.0’s graph-based architecture intelligently routes transactions through over 110 liquidity sources across 77 chains, automatically selecting the most cost-effective and fastest paths. This innovation marks a shift from simple routing algorithms to a more advanced, adaptive system, delivering real-time quotes and swaps in under 20 seconds.
As competition in the cross-chain space intensifies, Squid integrates liquidity from Osmosis, Astroport, and various Ethereum layer-2s, Bitcoin, and soon Solana. The platform’s “token-first” approach aggregates balances across chains, solving user experience issues related to wrapped stablecoins and fragmented liquidity.
Squid’s advancements bring the industry closer to a seamless, noncustodial, multichain environment, offering a “Coinbase-like” user experience while maintaining full decentralization.
Proposed Change Could Save Ethereum from L2 ‘Roadmap to Hell’
Ethereum’s roadmap has faced mounting criticism from multiple fronts, as fee revenue has dropped 99% in recent months and competitors like Solana and Bitcoin continue to challenge its dominance. Critics claim Ethereum’s L1 is being drained by L2 networks, which take the majority of transactions and fee revenue while contributing little back to the base layer.
Despite this, Ethereum Foundation researcher Justin Drake remains optimistic, suggesting that a few strategic roadmap adjustments could lead to Ethereum processing 10 million transactions per second (TPS) within the next decade. He argues that Ethereum’s current path of scaling via L2s, such as Optimistic and ZK rollups, has already led to a 20x increase in transaction volume.
The roadmap envisions Ethereum L1 remaining the most decentralized and secure layer, while L2s handle fast, cheap transactions. However, some critics argue that this focus on L2s is too extreme and that the base layer should be scaled further to better support high-volume DeFi activity.
Drake’s main proposal is to implement a shared sequencer run by Ethereum validators, which would allow synchronous transactions and composability between different L2s. This would mean that rollups (L2s) could work together more effectively, preventing the fragmentation seen today. A shared sequencer would allow L2s to coordinate transaction orderings and enhance cross-chain communication, improving the user experience and keeping the Ethereum ecosystem more unified.
If these changes are implemented, Ethereum could achieve:
- 10 million TPS capacity, allowing for mass adoption and usage across the globe.
- A more unified ecosystem where L2s are no longer siloed and fragmented.
- Stronger fee revenue for Ethereum, as a more interconnected system would drive higher transaction volumes on L1.
This change is still in discussion and not yet part of the official Ethereum roadmap, but it represents a potential shift toward addressing the challenges posed by the rapid expansion of L2s.
Stackup Shuts Down Bundler and Paymaster Services
Stackup, a leader in account abstraction, is making a bold shift with the launch of a new product aimed at optimizing on-chain financial operations for businesses. Known for their collaboration with industry leaders like Trust Wallet and Eco, Stackup was the first to deploy a mainnet ERC-4337 wallet in 2022, paving the way for smarter blockchain wallets.
Through their work with enterprises, Stackup identified a major challenge: businesses were struggling to efficiently manage on-chain operations. Initially, the focus was on setting gas fee limits via paymaster services, but they soon realized that this was just part of a much bigger issue.
To address this, Stackup is developing a comprehensive solution designed to streamline on-chain financial management. The new product will enable organizations to:
- Manage role-based transactions
- Automate recurring payments
- Gain real-time insights into on-chain cash flow
The goal is to offer businesses a user-friendly interface that simplifies operations while maintaining the decentralized benefits of blockchain technology.
Stackup’s CEO, John Rising, emphasized that the new product is designed to “liberate teams from operational chaos” and provide full control over blockchain finances. This move is seen as a step toward empowering organizations to master blockchain operations and shape the future of on-chain financial management.
In support of this transition, Etherspot is offering 3 months of free access to their Developer Plan, providing Stackup builders with a robust Account Abstraction infrastructure. Developers can utilize tools like Arka Paymaster and ERC-4337 Skandha Bundler with full support during the migration. Full details are available in Etherspot’s migration guide, ensuring developers have all the necessary resources to continue their work seamlessly.
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