- Ether’s market cap soared 42% following Ethereum’s Pectra upgrade, surpassing Coca-Cola and Alibaba, with Ether now valued at over $2,550.
- The upgrade boosts scalability and introduces new features, but cybersecurity experts warn of potential vulnerabilities.
Ethereum’s latest milestone is making waves across both the crypto world and traditional finance. Following the long-anticipated Pectra upgrade, Ether’s market cap skyrocketed by 42%, pushing its total valuation to over $308 billion and vaulting it ahead of corporate giants like Coca-Cola and Alibaba. Ether now ranks as the 39th-largest asset globally, according to data from 8marketcap
The Pectra upgrade, successfully deployed to Ethereum’s mainnet on May 7, marks a significant leap forward for the network’s scalability, efficiency, and functionality. Originally planned for March 2025, the upgrade faced delays due to technical issues and malicious activity during earlier testnet phases. Ethereum developers responded with a new testnet, “Hoodi,” which paved the way for a stable rollout.
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Among the most notable features of Pectra are enhancements that allow externally owned accounts (EOAs) to function like smart contracts, accept token payments, and even cover gas fees in non-ETH assets. Moreover, the validator staking limit has jumped from 32 ETH to 2,048 ETH, catering to institutional players and large-scale validators. The upgrade also improves layer-2 support by increasing the number of data blobs per block, a crucial factor for scaling Ethereum-based applications.
These technical leaps have translated into massive investor confidence. ETH’s price surged from $1,786 to around $2,550 within five days of the upgrade, underscoring the market’s bullish response.
However, alongside the excitement, cybersecurity experts have raised red flags. Smart contract auditor Arda Usman warns that the upgrade could introduce new vulnerabilities, particularly via off-chain signed messages that malicious actors might exploit to drain user funds. These concerns highlight the need for continuous monitoring and proactive security measures.
In conclusion, the Pectra upgrade represents a landmark moment for Ethereum, signaling its growing dominance in the global asset landscape. Yet, as the network scales new heights, maintaining a strong security posture will be key to ensuring lasting success.
