Ethereum 2.0 Upgrade Moving to Completion with Beacon Chain’s Upgrade

Ethereum is shifting rapidly to the new ETH 2.0 upgrade in systematic steps. Right now, the network is operating similarly to two semi independent networks, Ethereum and Ethereum 2.0. With the new Altair upgrade this month, the two chains will move one step forwards towards a complete merger.

 

Ethereum 2.0. Why is it Important?

Ethereum is the most important programmable blockchain network in existence right now. While other systems like Cardano, Polkadot and others claim to be programmable chains, they are nowhere near Ethereum’s capability or usage right now. Ethereum is the favourite tool for both Non Fungible Token (NFT) sector and the Decentralized Finance (DeFi) and they regularly use its programmable capability for different capabilities.

 

The need for Ethereum 2.0

However, Ethereum had its challenges from its early days of existence. The cryptocurrency project started with a lot of promise but its network’s limitation were laid bare during the 2017-2018 bull run. As transactions grew in the system, transactions began to pile up and fees saw a big spike to ridiculous levels. It was clear that the Ethereum development team had a lot to do before it was to be considered as a viable solution that can work uninterrupted with manageable transaction times and fees. It was back then that the new Ethereum 2.0 concept was born.

Ethereum co-founder and developer Vitalik Buterin and much of the rest of the Ethereum development team supported and advocated for this radical departure from the status quo of the network and move towards what they believe is a much more sustainable solution. The major upgrades included a shift to a Proof of Stake (PoS) system from the currently more popular Proof of Work (PoW) one and dividing the network into better scalable shards. With this upgrade, the network aims to become a progressive powerhouse within the crypto community and become a beacon of change. The network also eventually added fee burning mechanism to become a deflationary asset for the first time in its existence.

 

How the Upgrade is Going?

Ethereum right now has two parallel chains that are working quite independently overall. There is the Ethereum legacy chain and there is the Ethereum 2.0 chain. Before the latest Altair upgrade, the Eth 2.0 hadn’t move completely to a PoS system. With the new upgrade, it has completed the shift and no remnants of the old PoW remain. The stage is now set for a complete merger of the two systems in the near future.

Image Source: pixabay.com

Talha Dar

Talha Dar

Cryptocurrency and blockchain enthusiast. Working on free economy and borderless solution side of things. Live and breathe crypto!

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