Ethereum Pectra upgrade advances on Sepolia

Ethereum's (CRYPTO:ETH) highly anticipated Pectra upgrade has successfully launched on the Sepolia testnet, marking a significant step toward its mainnet deployment.

However, potential delays may arise due to unresolved issues from a previous testnet failure on Holesky.

The Pectra upgrade aims to enhance Ether staking, layer-2 network scalability, and overall network capacity through 11 Ethereum Improvement Proposals (EIPs).

It includes features like increased validator stake limits and smart contract capabilities for wallets, which are expected to improve user experience and network efficiency.

Despite the successful Sepolia test, the upgrade on Holesky failed to finalise due to misconfigured validators, causing a network split.

Developers are working to resolve these issues, which may delay the mainnet launch by at least 18 days.

Investors are awaiting further updates on the mainnet implementation during Ethereum's All Core Developers call on March 6.

The Pectra upgrade could pave the way for staked Ether exchange-traded funds (ETFs), potentially boosting institutional participation in Ethereum.

As Ethereum faces competition from networks like Solana (CRYPTO:SOL), the Pectra upgrade is seen as crucial for maintaining Ethereum's appeal.

Industry analysts believe that Pectra's improvements could attract more institutional investors, especially if regulatory environments become more favorable.

The successful deployment on Sepolia indicates that Ethereum is closer to launching Pectra on the mainnet, but further testing and issue resolution are necessary before a final launch date can be confirmed.

At the time of reporting, the Ethereum (ETH) price was $2,270.87.