Covalent, a leading network for historical data availability, is adapting its innovative solution to cater to the future advancements of Ethereum, specifically in relation to the Ethereum Improvement Proposal 4844 (EIP-4844). Covalent’s robust infrastructure allows users and developers to access structured and verifiable data from a vast repository of billions of data points. This data has enriched over 280 million wallets and is shaping the AI and DeFi industries with valuable information.
As Ethereum scales, it needs to periodically discard historical rollup data to maintain efficiency. However, this practice renders the rollup data irretrievable after just 18 days. To address this issue, Covalent has emerged as the primary solution with its “Ethereum Wayback Machine.” This solution provides a permanent decentralized gateway to historical data, which is crucial for Ethereum’s evolving ecosystem.
To understand the impact of Covalent’s solution, we can look at the Total Value Locked (TVL) in various Ethereum Layer 2 (L2) solutions that utilize Ethereum’s Blob storage for rollup data. Currently, the TVL of these L2 platforms is approximately $5.4 billion. Covalent supports six of the top 10 L2 projects that utilize blob storage, highlighting its essential role in enhancing data access across these networks. The utility of blobs is being explored for other applications, indicating a growing need for long-term data.
While Ethereum introduced blobs to reduce gas fees, they are only available for a limited time. Covalent’s Ethereum Wayback Machine overcomes this limitation by providing perpetual access to the data. This sets a new standard for data permanence within the blockchain ecosystem and meets the demand for decentralized data infrastructure. Unlike other emerging technologies, Covalent’s solution integrates historical data and offers permanent access, which is crucial for developers creating decentralized applications.
Covalent’s position in the market aligns with the increasing preference for Ethereum’s native Data Availability solutions. With its extensive network and expanding database, Covalent addresses scalability, decentralization, and efficiency issues in the Ethereum ecosystem. The Ethereum Wayback Machine becomes more important as the network grows, and Covalent’s commitment to immediate data access demonstrates its dedication to a decentralized environment.
Covalent is a trusted platform used by Fidelity, Rainbow Wallet, Consensys, and many others. Its data infrastructure solves the problem of Long-Term Data Availability for Ethereum and offers extensive access to on-chain data from various blockchains.