Ethereum developers are narrowing the proposal list for the network’s next major upgrade, Hegotá, with a major focus on improving privacy and giving wallets greater flexibility in handling transactions.
One of the leading proposals could allow developers to build private transaction systems with less reliance on external services and infrastructure.
Ethereum, like other public blockchains, keeps wallet addresses, balances and transaction histories publicly accessible. This transparency can create privacy concerns for businesses managing payroll or treasury funds, as well as individuals who do not want their financial activity exposed.
Most privacy features currently operate through applications built on top of Ethereum. The proposals being considered for Hegotá would move some of the required functionality into the blockchain’s underlying infrastructure.
The main proposal is Frame Transactions, or EIP-8141. It would allow accounts to determine how transactions are authorized, executed and funded instead of requiring all users to follow Ethereum’s standard transaction process.
The change could support features such as third parties paying transaction fees, combining several operations into one transaction or switching the cryptographic method used to authorize transactions without requiring users to create new accounts.
Ethereum Foundation researcher Toni Wahrstätter, who co-authored EIP-8141, highlighted the proposal as developers began narrowing the scope of Hegotá.
A total of 66 proposals are currently being considered for the upgrade. Developers will use the next several core developer meetings to determine which changes can be implemented, tested and realistically deployed in 2027.
Ethereum privacy applications can already use cryptographic proofs to conceal transaction information, but getting those transactions onto the blockchain often requires additional infrastructure. Some systems rely on relayers, which are third-party services that submit transactions on behalf of users.
Frame Transactions is among the proposals being evaluated for Hegotá, which is expected to follow this year’s Glamsterdam upgrade and target a 2027 launch. Developers will now focus on determining which proposals can meet development and testing deadlines.
Two other proposals would complement Frame Transactions by addressing issues that could emerge when multiple private transactions use the same account. EIP-8250, known as Keyed Nonces, would allow transactions to use separate counters rather than being processed through one sequential queue, preventing a delayed transaction from holding up others.
EIP-8272 would provide another piece of the infrastructure by allowing transactions to verify themselves against a recent cryptographic record without depending on data that could change before execution.
Combined, the three proposals could reduce the need for external services currently used by privacy-focused applications on Ethereum.
The proposals would not make Ethereum’s base layer private. Transactions between standard addresses would remain visible on the blockchain. Instead, privacy applications would gain more native functionality and could rely less on outside infrastructure.
Frame Transactions has not been approved for inclusion yet. Its current status means developers are considering it for Hegotá, but it is not guaranteed to ship with the upgrade.
So far, only one proposal has received approval, and it addresses transaction censorship. Today, block builders can determine which pending transactions enter a block. The approved FOCIL proposal would allow a group of network participants to establish a list of transactions that must be included, limiting the ability of an individual builder to exclude transactions.
Other proposals are aimed at increasing block-production speed, changing validator rewards and preparing Ethereum for cryptographic technology designed to withstand potential quantum-computing attacks.
The deadline for submitting new proposals was Aug. 6. The final Hegotá lineup will be determined during the next few core developer meetings.