EIP-2612

Definition ∞ EIP-2612 is an Ethereum Improvement Proposal that extends the ERC-20 token standard to allow gasless approvals. This EIP introduces a permit function, enabling users to sign an approval message off-chain, which can then be submitted on-chain by a third party without the user paying for gas. It significantly improves user experience by reducing transaction costs and simplifying interactions with decentralized applications. The permit function leverages elliptic curve cryptography for secure off-chain signing, maintaining the integrity of the approval process.
Context ∞ EIP-2612 is a significant development for the Ethereum ecosystem, particularly for decentralized finance applications seeking to reduce user friction and transaction costs. News often highlights its adoption by various DeFi protocols as a way to enhance liquidity provision and user engagement. This improvement contributes to making Ethereum more accessible and efficient for a broader user base.