Key Points:

  • The Ethereum merge is likely to be complete between September 15 and 20. Ethereum developers have confirmed this. 
  • The most popular smart contract network has completed the final tests for the update. All tests were conducted on the Goerli testnet on Wednesday.
  • The Ethereum merge is one of the main talking points in the cryptocurrency space over the last few weeks. 
  • Ethereum’s (ETH) value has consistently increased because of the recent hype

There is some exciting news for crypto enthusiasts. Ethereum developers have confirmed that the Ethereum Merge will take place in September. The developers have set a target between September 15 and 20 for the launch. The leading smart contract network completed its final Goerli Merge on Wednesday.

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What is Ethereum Merge?

The Ethereum Merge is a straightforward transition of the Ethereum blockchain. The Merge intends to shift the smart contract network from the existing proof-of-work mechanism to the proof-of-stake (PoS) model. The PoS model is touted to be faster and much more energy efficient than the PoW model. 

Ethereum will turn its back on energy-intensive computers that are also called miners. Instead, the network will now rely on the proof of stake model.

The upgrade to the PoS model will transform the way Ethereum orders transactions to be more energy efficient. A whopping 99.9% reduction in energy consumption is expected. Besides, the issuance cut is projected to fall by around 90% because of new protocols. Therefore, miners will not earn for adding new blocks to the Ethereum chain. 

Countdown to Ethereum Merge 

Now that the tentative launch date is known, the Ethereum Merge is arguably the most expected crypto event this year. As of now, the tentative dates given by the developers are September 15 and September 16. However, the launch date could change if any barriers or complications arise. It is also important to note that they will approve the final date range during the developer’s call in the upcoming week. 

All eyes are on the launch as the highly anticipated day inches closer. At the current price of ETH, which is a little under $1,900, Ethereum’s market capitalization is $227.3 billion. It controls around 18.8% of the market capitalization of all cryptocurrencies.

Why is Proof-of-Stake important?

The Proof-of-Stake model has been discussed since 2014 in the crypto space. However, because of a series of delays, it has remained under the shadows of the PoW model. 

The update has attracted wide acceptance from the Ethereum community and a slew of major cryptocurrency projects. PoS validators don’t need to mine blocks to keep the network functional, unlike proof-of-work. Instead, they can create new blocks when they are chosen and validate existing ones when they are not.

What are your thoughts on The Merge? Are you looking forward to it? Share your thoughts with us, we would love to hear from you. 

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Feature Image Source: Photo by Zoltan Tasi on Unsplash