Altcoins, Blockchain, Crypto Mining News, Cryptocurrency, Economy, Hot News, News & Updates

ETH 2.0 Reaches its Milestone!

Ethereum 2.0 reaches the 100,000 ETH milestone!

A post from CryptoQuant confirmed that the amount of Ethereum staked on the ETH 2.0 deposit contract now surpassed 100,000. This indicates that the number of staked ETH is now over 5% of the amount of Ethereum currently in circulation.

Delays because of the people

Vitalik Buterin says that the largest problem that causes delays with ETH 2.0 hasn’t been technical problems. But the people who were working on it.

The CEO emphasized that the project experiences damage by internal conflicts. This is leading to delays in finishing the project.

ETH 2.0 is a response to the ever growing criticism of the power consumption of the proof of work systems. With the blockchain requiring the miners’ computers to solve complicated math problems to approve transactions. This requires high computing power from computers. This translates to high energy consumption by the mining operations.

Ethereum 2.0 will reduce network fees and increase the transaction speeds. This gives scalability to the Ethereum network. They expect to use 99.95% less energy than POW protocols like bitcoin blockchain.

This is not a steady number when compared to the amount of energy that the mining now uses. The company speculates that bitcoin now uses even more energy yearly than countries like Netherlands and Argentina.

There is a rush to find more energy-efficient ways to mine cryptocurrencies. Mining activities are a major concern when it comes to the pollution created by fossil-fuel based energy consumption.

Ethereum 2.0’s Benefits

eth 2.0

Ethereum 2.0 will eliminate the barriers that are now in the network. Things like high gas fees during traffic hours will also be eliminated. Transactions could be faster no matter how congested the network is. And faster transaction speeds means lesser network congestions.

Also, it will increase the security in the network. This provides more scalability and throughput.

However, the primary advantages are in the energy efficiency of the network.

ETH 2.0’s first part is the Beacon Chain. This is what allows the users to stake their coins for new ETH rewards.

After this, the Merge will come. Which is estimated to happen in 2021. However, there are no definite dates given for when this could happen.

Lastly, the shard chains will come. It will allow Ethereum to process more transactions. And it will also increase the capacity of the network to store data.

Shard chains could gain more features as time goes by. The features will be rolled in several stages.

The holders of Ethereum will be rest assured that their coins will be safe in the move from ETH 1.0 to ETH 2.0. All of the data history, transaction records, and asset ownership of ETH coins will stay. Only the new transactions will be carried out on the new network.

📣 Cryptonetwork.News is now on Telegram. Please click [here] to join our channel and stay updated with the latest Cryptocurrency, Blockchain, and Cryptomining headlines.

Leave a Comment

Leave a Reply