Ethereum's market capitalization surged 42% in just five days, driven by the successful implementation of the Pectra upgrade on its mainnet. By May 12, Ether’s value rose to approximately $2,550, with a market cap exceeding $308 billion, surpassing both Coca-Cola and Alibaba. Coca-Cola's market cap stands at around $303.53 billion, and Alibaba's at $303.72 billion. The price increase followed enhancements to layer-2 scaling and user experience for validators and smart wallet accounts. Initially slated for a March 2025 launch, the Pectra upgrade faced delays due to technical challenges but was deployed on the Holesky testnet and subsequently on the Sepolia testnet. Key features of the upgrade include the ability for externally owned accounts to operate as smart contracts and the increase in validator staking limits, facilitating operations for large stakers. Following the upgrade, Ether's price surged from about $1,786 to $2,550. However, cybersecurity experts have raised concerns about potential vulnerabilities introduced by the upgrade, warning that attackers might exploit new mechanisms to drain funds without user approval.

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