SummaryThe Ethereum network experienced an update - the merge which involves transitioning network’s consensus mechanism to proof-of-stake - in mid-September 2022.There is already an industry around managing staking to maximize performance and revenue from validator nodes.While potentially disruptive and somewhat confusing for non-technical people, the forked chains have not historically performed particularly well.By Benjamin DeanThe Ethereum network experienced an update in mid-September 2022. The update, called "the merge," involved transitioning the network's consensus mechanism to proof-of-stake.The Ethereum network has been running two blockchains since April 2022. The two blockchains are the original blockchain, using a proof-of-work consensus mechanism, and the "beacon" chain, which implements proof-of-stake. This has allowed people to stake their ether for some time now. However, they haven't been able to unstake their ether yet.This will eventually change, the first step is the two chains coming together to form one - hence "merge" - on the path to the next step, termed the "Shanghai hard fork." This update will allow staked ether to be unstaked.If you want to learn more about consensus mechanisms, you can learn more here.What does the shift to proof-of-stake mean for Ethereum?A new business model with proof-of-stakeFirst, new ether is now distributed to those who stake their ether holdings to validator nodes on the ...
What Happened In Crypto This Week?
