Why Ethereum Looks Better Than Ever
The Ethereum (CRYPTO: ETH) blockchain is closer to migrating to a proof-of-stake consensus mechanism than ever before. Since its creation, the smart contract-enabled blockchain ran on a proof-of-work mechanism. Now a shift to proof of stake is set to take place on Sept. 19. The date was tentatively proposed and accepted by developers indicating that confidence of finishing the project in about two months is reachable.
Now known as The Merge, the upgrade to proof of stake is one of the most highly anticipated events in cryptocurrency history. When considering the value and popularity of Ethereum, a move of this scale is sure to garner considerable attention. The upgrade is more than deserving of all the hype it is receiving. A change to proof of stake will eliminate many of the issues that Ethereum currently faces. With a proof-of-stake mechanism, the blockchain will use less energy compared to power-intensive proof-of-work mining. Instead, validators will stake 32 ETH to earn the chance to verify transactions and earn the block reward rather than having to solve complex math problems that are used on proof-of-work blockchains. Furthermore, proof of stake will increase speeds on the network, which will help minimize troublesome transaction fees when user traffic is high.
For developers, users, and investors of Ethereum, the possibility of a completed upgrade is a refreshing change since the upgrade has been delayed six times since 2017. Although the Sept. 19 date is only tentative, it represents some much-needed progress.
Source Fool.com
