Ethereum core developers have announced plans to end support for the Holesky testnet by September 2025, marking another phase in the network’s testnet transition.
The decommissioning of testnets is a routine process for Ethereum. In previous years, developers retired Kiln, Ropsten, and Rinkeby in 2022, followed by Goerli in 2023.
Launched in September 2023, Holesky has been one of Ethereum’s two primary testnets, alongside Sepolia, playing a key role in staking, infrastructure development, and protocol testing.
Holesky Testnet Faces Disruptions During Pectra Upgrade Testing
However, Holesky recently faced disruptions during testing for the Pectra upgrade.
Despite weeks of restoration efforts, the network remains limited in its ability to support certain community testing scenarios due to a congested validator exit queue.
According to the Ethereum Foundation’s latest update, fully exiting validators will take up to a year, making Pectra testing impractical on Holesky.
To address these challenges, developers have introduced a new testnet, Hoodi, which will activate the Pectra upgrade on March 26 ahead of its expected mainnet release in Q2 2025.
The Ethereum Foundation has advised staking operators and infrastructure providers to migrate to Hoodi for validator testing.
While Holesky remains operational for now, developers are considering repurposing it for internal stress tests, including gas limit experiments and protocol-level testing before its eventual phase-out next year.
Ethereum Exchange Supply Hits Record Low
Ethereum has also suffered amid the recent market downturn, dropping by around 30% over the past month, according to data from CoinMarketCap.
The token is currently trading at $1,940, largely flat over the past day.
However, a significant on-chain metric supporting ETH’s long-term bullish case is its rapidly declining exchange supply.
As of now, only 6.38% of Ethereum’s total supply remains on centralized exchanges, marking the lowest level since its inception.
This trend suggests that investors are moving ETH into cold storage, a signal that they intend to hold rather than sell.
Last month, Ethereum experienced an unprecedented level of short selling, with futures contracts on the Chicago Mercantile Exchange (CME) reaching a record high of 11,341.
The surge in bearish bets, up over 40% in just a week and 500% since last November, indicated growing pessimism about Ethereum’s short-term outlook.
Meanwhile, Ethereum’s transaction fees have also plummeted to their lowest level since late August, averaging just $0.41 per transfer.
The significant decrease marks a stark contrast to the $15.21 high seen in the past two years, indicating potential bullish sentiment for Ethereum’s long-term price outlook.
Historically, low transaction fees on the Ethereum network signal reduced congestion, meaning fewer users are competing to process transactions. This can be seen as a healthy sign for the network, especially for potential long-term growth.
The post Ethereum Core Developers to Phase Out Holesky Testnet by September 2025 appeared first on Cryptonews.
Credit: Source link