- When it comes to major Blockchain platforms, Ethereum is always considered one of the most advanced.
- Ethereum 2.0 or most commonly referred to as ‘Serenity,’ about to release its upgrade this year.
- Phase 0 was expected to be launched on June 30 and has added the ‘Beacon Chain, which will most probably incentivise the brand new Proof of Stake (PoS) consensus mechanism.
When it comes to major Blockchain platforms, Ethereum is always considered one of the most advanced. Ethereum ETH is about to introduce a new upgrade to its mainnet. Ethereum 2.0 or most commonly referred to as ‘Serenity,’ about to release its upgrade this year. Phase 0 was expected to be launched on June 30 and has added the ‘Beacon Chain, which will most probably incentivise the brand new Proof of Stake (PoS) consensus mechanism. Phase 1 of the Serenity update expected to release by early 2021, and Phase 2 expected to launch later in 2021.
Previously, regarding the new Ethereum upgrade, many controversial cases have arisen. About a month ago, TRON’s CEO had hosted a poll on the social media’ Twitter’ to decide which upgrade TRON 4.0 or Ethereum 2.0 is the better. The majority of voters (almost 52%) were in favor of TRON 4.0, but it only heated the rivalry between TRON and Ethereum. Keeping aside the long saga of TRON and Ethereum competition, the new features and major changes could, in a way, help to end Bitcoin’s dominating position in the cryptocurrency industry.
Ethereum Serenity Has Major Upgrades Could Possibly Dominate Bitcoin
But, firstly, what is holding back Ethereum from becoming a Blockchain superpower or, more importantly, why cannot it surpass Bitcoin? One big problem on the Ethereum platform is network congestion. The 90% network utilisation brings down Ethereum’s transactions per second to a meager 25, and the average confirmation time is around 6 minutes. On the other hand, cryptocurrencies like Litecoin, Bitcoin Cash, Cardano have a much higher throughput. Hopefully, the new upgrade will resolve all the scalability and mining.
How Introducing Proof of Stake Mechanism Would Add to Ethereum’s Efficiency
The replacement of the Proof of Work(PoW) with the Proof of Stake (PoW) mechanism is a huge milestone for Ethereum because not only is PoW extremely inefficient it also suffers from significant issues of scalability and accessibility. Accessibility because PoW demands complete hardware for the miners to operate transactions. Major Blockchains like Bitcoin, Litecoin still implement the PoW mechanism. The recently launched Beacon chain has already implemented the Proof of Stake (PoS) mechanism.
In the newly launched Phase 0, the current Ethereum platform will simultaneously run with the new Ethereum 2.0 platform. However, as of now, no transaction or smart contracts or any DApps can be executed on the Beacon chain, which means that it has minimal usage. Surprisingly, the Ethereum demand had increased in this short period.
Most probably, the investors and traders were accumulating ETH before the release of Phase 0 of ETH 2.0. However, the current increase in gas limit and many other events have inclined Ethereum towards a bullish market.
Sharding And Ewasm to Solve Major Issues Like Scalability and Provide a Wider Exposure to Developers
Further, two more new features sharding and eWASM added to the Ethereum 2.0 mainnet. Sharding is a new technology that will help scale and thus contribute to the efficiency of Ethereum’s efficiency. In the existing version, data added to the chain had to be verified by nodes participating. It was a very hectic process that had increased the mining fees as well as affected Ethereum’s throughput. Sharding will divide nodes into sets, and they will only verify the data that they have received. This will reduce congestion as well as increase the platform’s efficiency.
Besidesxisting Ethereum Virtual Machine (EVM) will be supplanted by a new assembly developer language known as ‘eWASM’. Technically, for developers, it is good news because they will be able to use more common programming languages like C, C++, with requisite knowledge of only Ethereum-based language.