Crypto enthusiasts are getting more interested in the altcoin, with over 3 million ETHs securing the platform’s launch. The creators explained that they created the Ethereum 2.0 to fix specific problems that the first platform had. Some of those problems include scalability issues and the recent transaction fee rise that has caused some problems for crypto holders globally.
The high gas fee caused some holders to share their displeasure on Twitter, where some concluded that the traffic from numerous DeFi projects caused the problems. The network has numerous pending transactions while charging far more than its previous amount. The ETH 2.0’s presence in the market could significantly change things for ETH, as it would improve services and secure more investors.
Glassnode shared that over 3 million ETH secure the 2.0’s launch
The crypto space is very excited with the asset’s new platform, and this could have necessitated the high amounts of ETHs already securing the platform. Glassnode, a crypto data analytics company, shared that the asset has over 3 million ETH in its deposit contract while mentioning that the feat was an all-time high.
The company shared this information via Twitter, which attracted comments from some crypto holders who anticipate the network’s completion. Experts say that Ethereum 2.0 could significantly change things if the network launches as the creator’s plan. The newly developed network would be cheaper, faster, and ecosystem-friendly.
The platform currently uses the proof-of-work for its Ethereum 1.0 network, and many people complain that the mechanism makes the network slow and very expensive to use. The recent gas fee rise is currently reducing small-scale investors’ profit margins, who complain that the transaction fees have risen to an average of $22 and above.
The problem could drive investors to other networks that support retail trading and secure more investors’ gains. Ethereum miners use the proof-of-work to mine the assets, which is known to be time-wasting and more expensive than the other mechanisms.
Ethereum moves to a cheaper network
Some statistics show that Bitcoin, which currently has the proof-of-work mechanism, consumes a lot of power. Cambridge University shared their report that the asset’s miners use more electricity than Argentina, which has over 40 million citizens. This information shows that the proof-of-work mechanism is quite expensive to work with and could take a major toll on the ecosystem as the miners find more electricity sources.
Ethereum’s change to the ETH 2.0 means moving from its proof-of-work to the proof-of-stake mechanism. The new mechanism works differently and makes mining far cheaper and quicker than the former. Miners want a secured and fast method to mine digital assets without worry much about power and other problems.
The network has an amazing staking plan that would give investors 20% off their assets after a year. The crypto-provider firm launched the first phase of the ETH 2.0 in early December, called the Beacon Chain. The phase allows you to stake using the newly developed network. The new network is presently under development and would not be used until the makers finish the creation.
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