The Ethereum Merge And Misconceptions Explained

There’s a lot of misconceptions about the ETH Merge. Let’s talk about them and share exactly what has changed and what the future holds.

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This is a great resource for everything about the Ethereum Merge: https://ethereum.org/en/upgrades/merge/.

Ethereum switched from proof of work to proof of stake. Not a lot else has changed yet, but it has set a lot in motion. Namely the stakers are now running the network instead of the miners, however there is no notable changes for end users. ETH will stay the same in terms of the ticker and you don’t have to do anything in your wallets to switch over. Another major change is that by switching from proof of work to proof of stake will reduce the energy consumption of Ethereum by ~99.95% which is huge given a major criticism of proof of work blockchains is that they are energy intensive and not environmentally friendly.

For simplicity, we are now calling Eth1 the execution layer where transactions are handles and Eth2 the proof of stake consensus for validators. This doesn’t change anything other than the naming so we can better discuss and explain Ethereum.

For the 4 phases breakdown and all the common misconceptions explained check out the full blog post! Read.cash: https://read.cash/@scottcbusiness/the-ethereum-merge-and-misconceptions-explained-ba757543 Medium: https://scottcbusiness.medium.com/the-ethereum-merge-and-misconceptions-explained-d78c822e711e

Coindesk has a great breakdown that is much more indepth which I used to understand a lot about the phases here: https://www.coindesk.com/tech/2022/08/01/ethereum-after-the-merge-what-comes-next/.

That’s it. The merge was a bit overhyped, even by me. However, it marks the start of a major shift for Ethereum where it will be ahead of most of it competitors that popped up and marketed themselves purely on the basis of doing more transactions at a lower gas fee while Ethereum aims to crush these chains. In the next year I expect many competitors to fall off. Only those with useful applications like Cosmos may stand a chance.

What do you think about Ethereum 2.0? Are you staking? Is this better or worse for Ethereum in the long run? What phase are you anticipating the most? Let me know what you think about this in the comments below and don’t forget to subscribe!

Disclaimer: This is not financial advice and is purely for entertainment purposes. What you see, hear, or read is my personal opinion, and any statements made are based on my views and should not be misconstrued as fact. My crypto portfolio may or may not be simulated

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