A new Ethereum proposal, EIP-3074, could reduce transaction fees by improving support for batch transactions. Ethereum developer Matt Garnett introduced the proposal on Twitter.
Currently, batch transactions are only available in Ethereum’s smart contracts, meaning the feature is primarily used by DApp and DeFi developers. As the proposal explains, the feature allows a wallet to “become” a smart contract wallet without actually deploying a new smart just to batch transactions.
EIP-3074 is primarily motivated by the need for sponsored transactions—the ability for users to send transactions in which the fees are paid for by another party.
Garnett told Crypto Briefing that the proposal could also indirectly improve fees. “I expect there will be an indirect effect on fees paid by users because the intrinsic gas cost of a transaction can be amortized across a batch of transactions.” He added that the expected discount is about 20%.