According to Crypto Rover, Vitalik Buterin has released a proposal aimed at simplifying Ethereum’s Layer 1 (L1) architecture to make it more similar to Bitcoin’s streamlined model (Source: Crypto Rover, Twitter, May 3, 2025). This initiative is expected to reduce complexity in Ethereum’s core protocol, potentially improving transaction efficiency and security. Traders should monitor Ethereum’s network upgrade timelines and community response, as increased network simplicity could influence transaction fees, on-chain activity, and ETH price volatility in the short term. Market participants are advised to follow further developments to anticipate potential trading opportunities arising from protocol changes.

According to Vitalik Buterin, Ethereum is exploring a backwards-compatibility strategy by moving the old EVM from consensus-critical client code to a RISC-V implementation, ensuring that all existing smart contracts remain functional without modification (source: Vitalik Buterin Twitter, May 3, 2025). This approach aims to streamline client development and reduce consensus risks, while maintaining uninterrupted support for legacy contracts—a key trading concern for users relying on established DeFi and NFT protocols.