With information that ETH Merge will officially launch this August. The implementation of ETH Merge will help the old ETH network (Legacy Ethereum Mainnet Blockchain) and Beacon Chain link together, co-exist in a common network and operate as shards in 64 shards of the network. From here, ETH will switch from Pow to PoS., First of all, let’s take a look at some advantages of ETH 2.0!
- Greater scalability: Ethereum must be able to support thousands of transactions per second (TPS) for applications built on the network with greater speed and cheaper fees. The one-two punch of sharding and a PoS algorithm is expected to create greater scale thanks to the addition of more nodes, resulting in higher TPS without using more electricity.
- Greater security: Ethereum must be as secure as possible to thwart attacks so that users including institutions will feel comfortable using it. The aforementioned Beacon Chain is designed to help with network security.
- Greater sustainability: A lesser carbon footprint has become a major theme in the cryptocurrency industry. The PoW consensus algorithm consumes a great deal of energy. Ethereum 2.0 will be better for the environment as there will be no more mining involved. According to Ethereum Co-Founder Vitalik Buterin, whose vision for Ethereum is outlined in the below graphic, Ethereum’s energy consumption will be diminished “by a factor of more than 1,000” with PoS.
Currently, miners continue to mine ETH but must comply with environmental guidelines. The Difficulty bomb mechanism will be activated during the Ice Age period after the ETH Merge is successful to increase the difficulty of mining ETH, forcing miners to stop mining ETH with PoW.