Ethereum’s Radical Overhaul: Buterin’s Proposal to Replace EVM with RISC-V Amid Falling Revenues and Scaling Issues

Vitalik Buterin, co-founder of Ethereum, has come forward with a groundbreaking proposal that could potentially redefine the foundational layer of Ethereum. Buterin suggests that Ethereum’s current Virtual Machine (EVM) contract language should be replaced with RISC-V instruction set architecture versions by April 2025.

RISC-V, an open-standard, free processor architecture distinguished for its efficiency and versatility, could dramatically accelerate Ethereum’s execution layer, according to Buterin.

In his proposal, Buterin pinpointed several bottlenecks hindering Ethereum’s growth – improved availability sampling, a more competitive environment among block producers, and enhancements in ZK-proving. Zero-knowledge proofs, which are essential technologies facilitating faster, cheaper, and more private transactions, would necessitate “radical steps” for Ethereum to retain its competitiveness, Buterin said.

He went on to express his optimism for the beam chain initiative, stating, “This could significantly simplify the consensus layer of Ethereum. However, similar improvements in the execution layer might require equally drastic changes.”

This proposal comes at a time when the Ethereum community is grappling with scaling issues. It signifies that a complete revamp of the execution layer could be crucial for Ethereum to weather the forthcoming wave of blockchain innovation.

In the face of collapsing transaction fees, Ethereum’s struggle to increase revenue is intensifying. Transaction fees, the largest revenue source for the network, have hit a record low in years.

The transaction fees on the Ethereum base layer averaged around $0.16 per transaction in April 2025, the lowest since 2020. Blob fees, which are special fees generated by Ethereum’s layer-2 solutions, have also plummeted. As of the week ending March 30, blob fees accounted for a mere 3.18 ETH, equivalent to $5,000 at current rates, marking a shocking 95% drop since mid-March.

Experts attribute this decline not to economic conditions but to users migrating to the Ethereum base layer from more cost-effective and faster layer-2 networks such as Arbitrum and Optimism. This shift has resulted in reduced revenues for Ethereum, leading to concerns that Ethereum’s base layer is being “cannibalized” by its scaling solutions.

Brian Quinlivan, a director at Santiment, commented, “Fewer users are conducting regular transactions. Instead, they are opting for smart contracts or layer-2s that are less expensive.”

Should this trend persist, Ethereum could face severe financial strains. Investor sentiment is already fragile, with some analysts predicting Ether (ETH) prices could plummet to near $1,100 if the situation worsens.

Buterin’s RISC-V proposal has elicited mixed reactions from the Ethereum community. While some developers are applauding the initiative as a bold move to future-proof Ethereum, others are concerned about the inherent risks of this massive project, which would involve rebuilding parts of Ethereum from scratch.

Questions also arise regarding the transition of old smart contracts to the new system, potentially causing complications for backward compatibility. Nevertheless, this proposal underscores the need for evolution for Ethereum to remain relevant amidst the emergence of next-gen blockchains, which lure users and developers with their impressive speeds and minimal waiting times.

A draft proposal for public comment is currently in progress in response to the proposal. If approved, it could mark the beginning of a new era for Ethereum, one where it prepares itself for a future teeming with competition.