There will be no more Ethereum 2.0 as the name has been changed to help with scaling issues.

Ethereum 2.0 is dead, consensus layer longevity! The project to upgrade Ethereum, the world's best-known but most complex computing blockchain, has turned into an organized “consensus layer” and “execution layer” as ETH moves towards its goal of becoming a useful, scalable, proof-of-stake (PoS) blockchain confirmation network.


There will be no more Ethereum 2.0 as the name has been changed to help with scaling issues.


Actually Ethereum 2.0 isn't really dead… at least not yet. According to the developers at the Ethereum Foundation, it's basically a terminology change to refer to the "upgrade" aspect of efforts. The name change aims to clarify “explain this evolution, reduce confusion, and prevent FUD within the community.”


Short background for improvement.

Ethereum has been following a “roadmap” for several years in its quest to achieve scalability on a global scale. Its founder, Vitalik Buterin, has acknowledged that the network has always faced difficulties at scale in its current form, and the announcement of the Ethereum Foundation name change confirms that major upgrades are always part of the plan.

The plan is ambitious and confusing in its complexity and Ethereum has endured delays, delays, and changes in direction over the years. Switching from Proof of Work (PoW) to Proof of Stake (PoS) involves substantial changes to Ethereum's protocol and economic model—especially when there are thousands of contracts, DeFi structures, and DApps actively running on the network that must remain in consensus and continue to operate. across switches. It's like trying to change the rail gauge on a large train network… while the train is still running.

Ethereum developers are also figuring out quickly how to manage all of this too. The latest plan is to have a PoS "consensus layer" (aka Eth2) running alongside the current PoW "execution layer" (Eth1) until the two can be combined. Ethereum will at some stage remove all PoW miners from its network with a “difficulty bomb” (at the point of “merging”) which makes it instantly unprofitable to continue mining, leaving only the PoS confirmation algorithm. The event is now slated to take place sometime in 2022.

That process was described under the generic term "Ethereum 2.0" until this week, but developers feel it adds to the confusion and leads to the belief that Eth1 and Eth2 are stages rather than components. There have also been a number of scams reported as bad actors exploit obfuscation to sell or list “ETH2” assets.

Apart from the name change, all aspects of the upgrade roadmap remain the same and in place, the developer said.


Read more....

IMF urges El Salvador to drop bitcoin as legal tender at'huge threat

MicroStrategy buys another BTC and posts mixed results in Q4 2021


Will the name change and protocol change solve Ethereum's problems?

Ethereum is popular, but in recent years it has struggled to keep up with network demand.  As with BTC, transaction fees are very high as miners struggle to handle requests. This has left a lot of funds "stuck" in the wallet (it would cost more than the total transaction value to send them anywhere) and high transaction volume DeFi applications stalled.

There is also the issue of whether ETH can even be classified as an illegal security by a major regulator like the SEC at some point. This recently had an impact on Ripple's XRP network, which has fallen from its position as one of the most popular assets in the industry. Unlike Bitcoin, Ethereum started out by “pre-mining” ETH assets that were shared among its early founders—and could see the position of leading developer Buterin defined as “issuer,” leading to legal issues. Vitalik was also the head of fundraising during the pre-ICO road show which is well documented in videos all over the internet.

Then there is the Proof of Stake itself

“Proof of Stake”, or PoS, has become a trendy buzzword in the blockchain world, but it comes with a few problems. As if its proponents are trying to position it as a more efficient and eco-friendly way to process and record blocks of data on the blockchain, it provides block confirmations (and block rewards/subsidies) to those who “stake” a portion of their ETH assets. The more you bet, the better your chances of confirming the block—and earning more ETH.

Post a Comment

If you like the post, please share it with your friends. Comment on the post. If you like the posts on this site, subscribe.

Previous Post Next Post