EIP-7702 Overview
EIP-7702 is a proposal to add a new Transaction type to set bytecode of an Externally Owned Account during Transaction execution. After Transaction execution, the Externally Owned Account will no longer contain the injected bytecode.
The main difference between an EIP-7702 Transaction and other transactions is the inclusion of a "authorization list" property, a set of (chain_id, contract_address, nonce, y_parity, r, s) tuples that depict what Contract bytecode(s) should be injected onto the Externally Owned Account during execution.
Applications of EIP-7702 include:
- Batching: allowing multiple operations from the same user in one atomic transaction. One common example is an ERC-20 approval followed by spending that approval, a common workflow in DEXes that requires two transactions today. Advanced use cases of batching occasionally involve dependencies: the output of the first operation is part of the input to the second operation. Example
- Sponsorship: account X pays for a transaction on behalf of account Y. Account X could be paid in some other ERC-20 for this service, or it could be an application operator including the transactions of its users for free. Example
- Privilege de-escalation: users can sign sub-keys, and give them specific permissions that are much weaker than global access to the account. For example, you could imagine a permission to spend ERC-20 tokens but not ETH, or to spend up to 1% of total balance per day, or to interact only with a specific application.