752
views

Ethereum 2.0 Serenity – A Look at This Monumental Upgrade

The Ethereum 2.0 update continues to be one of the most anticipated crypto events of the year. Ethereum 2.0 is a multi-lab initiative that seeks to take the world’s second most popular cryptocurrency to new heights. The upgrade will introduce a host of new features and functionalities to the network.

Specifically, the new protocol improves the speed, efficiency, and scalability of the entire network. Developers believe the integration will alleviate congestion and lower gas costs for smart contract developers. Importantly, gas is the currency in which smart contract developers pay to execute their protocols. The higher the gas prices, the higher it costs to run a smart contract.

Sharding

To accomplish this task, developers introduced a new form of sharding to the network. Sharding is the dismantling of a database into multiple smaller units. Developers prefer sharding because the groups can handle requests individually. This strategy makes it cheaper to accomplish the core tasks of the Ethereum network – sending Ethereum and utilizing smart contracts. Consequently, token development and Dapp development are more cost-efficient using this technique as well.

Ethereum 2.0 Features

The Ethereum 2.0 update will also increase network bandwidth. This increase will allow for more scalability as the network’s ecosystem grows. Additionally, ETH holders will now gain the ability to stake their tokens. Staking is another way in which blockchains can secure their network. The Proof-of-Stake algorithm allows users to earn Ethereum as passive income by holding their tokens in a network wallet.

3 Phases

According to company documentation, the Ethereum 2.0 update will occur in three phases. The first phase has begun. This phase, known as Phase 0, includes the launch of the Medalla Testnet. This integration stage will provide valuable feedback on the upgrade as over 20,000+ validators signed on to test the multi-client protocol. Notably, developers stated that they intend to have a public test before Ethereum 2.0 Phase 0 is official.

Phase 0 – Beacon Chain

The official launch of Phase 0 brings with it the introduction of a new token labeled ETH2. Anyone holding ETH can trade directly for ETH2 on a 1:1 basis. The trade occurs utilizing a registration contract. Upon the completion of your trade, the original ETH gets burned. Notably, Phase 0 allows the community to stake 32 ETH2 on validator nodes.

Phase 1 – Shared Chain

The next step of the strategy is Phase 1. In this stage, developers will provide randomness for a shard block. The block will split into 64 shards. These shards will have the capability to function on their own. They can also communicate with each other utilizing a new cross-linking protocol.

Phase 2 – Execution Engine

The Ethereum 2.0 upgrade’s final stage will bring together the new PoS network with the existing proof-of-work (PoW) blockchain. From this point, ETH2 will be the token supported by developers. However, there will still be some who decide to keep ETH, just like there are those that still hold ETH classic to this day.

The Current State of ETH 2.0

This month saw some significant progress in the Ethereum 2.0 roadmap. The final testnet Medalla launched earlier in the month. The response so far has been great. Over 30,000 validators have joined the network. Also, over 946,000 ETH is now in staked wallets since the program started.

The testing period is open to the public. This strategy keeps the platform in line with the democratic values of the blockchain sector. According to recent information, the developers hope to run the test until the end of the year. At that point, they intend to ensure that all of the five clients working on the project can communicate. These clients include Prysmatic Labs’ Prysm, ChainSafe’s Lodestar, PegaSys’ Teku, Status’ Nimbus, and Sigma Prime’s Lighthouse.

Ethereum Shifts for the Future

Ethereum live price
Eth
Ethereum
$1.345
price
1.78411%
price change
BUY NOW

Ethereum’s decision to change consensus mechanisms from a PoW over to a PoS was a risky maneuver to take. However, this development team has the skills, experience, and gull to upgrade everything they promised and more. You can expect to see Ethereum continue to dominate the sector for years following this epic hard fork.

Stay up to date with our latest articles

More posts

Here are the Benefits of Auditing Your Smart Contract with SolidProof

Auditing a smart contract is vital to ensure that the code functions as intended. SolidProof offers a wide range of services to help with this process. The company guarantees a sound audit process and an experienced team of auditors.  Here are the benefits of auditing a smart contract with a reputable company such as SolidProof: A wide range of services: SolidProof offers a wide range of services to help with the audit process, including code review, security analysis, and more.…

Smart Contracts Vulnerabilities Specific to The DeFi Space

As the financial world moves increasingly online, it's becoming more and more essential to ensure that all transactions run securely. One way this is possible is through the use of smart contracts.  Smart contracts are computer programs that automatically execute the terms of a contract. They provide a secure way to conduct transactions without relying on third-party intermediaries.  While the use of smart contracts offers many advantages, they are also vulnerable to attack. In this blog, we will explore how…

Malicious Attacks on Smart Contracts that Auditors Can Easily Identify

With many businesses adopting blockchain technology and Smart Contracts, offering reliable security audits in the industry has become increasingly important.  Businesses may protect their assets and contracts by recognizing and preventing harmful assaults. This blog post will explore the different attacks a group of criminals can carry on Smart Contracts. We'll also look at real-world instances of assaults to help you secure your contracts. What are Smart Contracts? Understanding the Benefits of This Technology What are smart contracts? They are…

How Smart Contract Audit Can Help Prevent Hacks

As companies move toward implementing smart contracts, the need for technical audits becomes increasingly essential. Having a third-party auditor check your contracts for vulnerabilities can prevent your company from suffering from a hacking attack.  What are Smart Contracts? A smart contract is a script that automatically carries out a contract's provisions. Smart contracts are self-executing, meaning that once the system verifies the meeting of pre-determined conditions, the contract will automatically execute. This eliminates the need for intermediaries such as lawyers…

Top 10 Ways to Earn Free Bitcoin in 2022

Here are the best ways to earn free Bitcoin when your purse is light. --- Are you interested in Bitcoin, but still hesitant to risk putting money towards it? Alternatively, are you looking to sat every sat possible, but lack the dry powder to buy more? Here’s a secret: you can put more bitcoin in your pocket without spending a dime – or even doing any real work.  That’s not to say you’ll earn much bitcoin without either of those…

Are Gold-Backed Tokens Worth Investing During Crypto Bear Market?

The crypto market is under the complete control of bears, investors taking short positions to profit from declining prices. In this unstable environment, new capitalists are fearful or skeptical when funding projects. Instead, they turn to more reliable assets that would not wipe out their portfolios when or if they flop. Gold-backed tokens represent a category of assets ready to provide portfolio stability and allow investors to overcome the bear market without too many losses. On the contrary, gold-pegged tokens…

What is Taro? Trading Assets and Currencies on Bitcoin

Taro leverages Bitcoin, lightning, and Taproot to enable the peer-to-peer transfer of currencies and assets beyond just BTC. —  Worried that Bitcoin is too boring to play within the growing digital asset economy? Fret no longer.  Using Taro, the original blockchain network can support the decentralized exchange of multiple assets – including fiat currencies. Moreover, the protocol works together with the lightning network, letting users transact – instantly and for free – with non-BTC-denominated balances.  Read below to learn about…

What is Fedimint? The Custody Solution to Bitcoin Privacy

Fedimint combines distributed custody with blind-signed ecash tokens to let Bitcoin users transact in private. --- Despite its growth, Bitcoin still faces some glaring limitations to reaching mass adoption as a fully censorship-proof payments network. One of them is privacy. Bitcoin’s ledger is fully open and public, meaning anyone can track another person’s transactions if they know his public address.  The other is a custody problem. While wallet software UX has improved considerably over time, many Bitcoin holders still store…

What Is a Crypto Bear Trap?

Cryptocurrencies are often incredibly volatile and can see massive price swings in a short time.  This makes them ripe for bear traps. A bear trap is a situation where traders wrongly think a coin is about to reverse a downtrend. These events often result in significant losses.  This guide will discuss crypto bear traps, how to identify them, and the risks involved in these situations. Introducing Crypto Bear Traps A bear trap happens when a trader buys assets, expecting the…

Understanding the GameFi Phenomenon

The GameFi industry is changing the way people think about gaming and finance. It provides a new way for gamers to interact with each other and earn money. It is also giving people a new way to invest their money.  The GameFi industry has the potential to change the way these industries operate. This guide will look more closely into this new business, covering several features. What Is the GameFi Sector? The GameFi sector is a crypto-based industry that uses…