{"id":25013,"date":"2022-09-28T11:44:21","date_gmt":"2022-09-28T06:14:21","guid":{"rendered":"https:\/\/coinswitch.co\/switch\/?p=25013"},"modified":"2024-03-29T12:42:45","modified_gmt":"2024-03-29T07:12:45","slug":"ethereums-many-avatars-post-merge","status":"publish","type":"post","link":"https:\/\/coinswitch.co\/switch\/crypto\/ethereums-many-avatars-post-merge\/","title":{"rendered":"Ethereum\u2019s many avatars, post-Merge"},"content":{"rendered":"

The Ethereum Merge<\/a>\u2014the most closely-watched event in the crypto calendar this year\u2014went smoothly. What\u2019s next? A lot, it seems. To be sure, the monumental switch paves the way for Ethereum\u2019s mass adoption as a chain. Yet, it turns out that this is a small step that achieved only 55% of the targeted result, leaving investors gasping about the goals left unaccomplished.<\/p>\n

Thankfully, Vitalik Buterin\u2019s speech at the annual Ethereum Community Conference (EthCC) in Paris on 20 July dropped some hints about what to expect going forward. Ethereum\u2019s creator claimed<\/a> that \u201cafter the Merge, we will be able to build an Ethereum client that doesn\u2019t even know the proof of work phase happened.\u201d In a jocular manner, Buterin also threw some light on post-Merge goals that Ethereum aims to accomplish, also naming them in chronological order: The Surge, The Verge, The Purge, and The Splurge.<\/strong><\/p>\n

The Merge: Consensus layer<\/h2>\n

Much has been written about the Merge, but a quick refresher may be in order. The Ethereum blockchain transitioned from proof of work to proof of stake consensus mechanism by \u201cmerging\u201d Ethereum’s execution layer with the consensus layer, aka the Beacon chain (Ethereum staking sidechain).<\/p>\n

First and foremost, the monumental shift would make the network super energy efficient. It is estimated that the switch would cut Ethereum\u2019s power usage by 99% while also reducing the asset\u2019s net issuance.<\/p>\n

The Surge: Increasing scalability<\/h2>\n

This is the stage where Ethereum will begin making its network more scalable and easier for users to operate on by enabling sharding. But first things first, what is sharding?<\/p>\n

Sharding is a scaling solution that divides the network\u2019s load by breaking it into parts or \u201cshards.\u201d This would, in turn, disperse the network\u2019s computational and data load without compromising decentralization. In Vitalik\u2019s words, sharding \u201cdecouples the data contained on a blockchain from the data that a single node needs to process and store.\u201d<\/p>\n

Data dispersal on the Ethereum network is best understood if we know where data is stored on the blockchain. Ethereum’s PoW chain had a global network of nodes, each one required to store Ethereum’s entire transaction history along with smart contracts, codes written to administer funds, etc. Well, that\u2019s a lot of data. But with the transition to PoS, this step was eliminated by replacing it with staking \u2014or as our desi sharks would put it, the validators now have \u201cskin in the game.\u201d<\/p>\n

In short, Ethereum wants to create decentralized alternatives to web2 apps. They aim to function as a \u201cworld computer,\u201d which has no centralized authority and cannot be shut down at the will of eminent players. For perspective, these centralized giants use cloud-based services such as Amazon Web Services (AWS) to store petabytes of data from thousands of applications. Interestingly, sharding would enable Ethereum to attain the same capability on a decentralized level by allowing massive amounts of data to be stored without operational interruptions to the chain.<\/p>\n

The Verge: Verkle trees<\/h2>\n

Complicated as it may sound, the Verge, aka transition to Verkle trees from Merkle trees is not that difficult to understand. Let\u2019s break it down.<\/p>\n

Like Surge, the Verge also seeks to promote scalability by improving data storage. Here\u2019s how. A merkle tree is a data structure that serves to encode blockchain data more efficiently and securely. Put simply, it’s a data security system that creates reliable encryption by converting blocks of information to long strands of code.<\/p>\n

Now, Verkle trees will just be an upgraded data security system that will allow for much smaller proof sizes by enabling Ethereum nodes to store large amounts of data by showing a short proof of any piece of that data. In other words, it is much like random checking, where any part of the data can be used to verify the whole block.<\/p>\n

The Purge & the Splurge: Elimination and Elevation<\/h2>\n

The Purge marks the second last stage for the Ethereum ecosystem\u2019s scalability solutions. True to its name, this phase aims to purge or delete old irrelevant histories. By deleting excess historical data, Ethereum\u2019s PoS system of validating the blocks will become even more efficient and faster. By the end of this phase, the network will be capable of processing 100,000 transactions per second, according to Buterin.<\/p>\n

The Splurge\u2014the final stage\u2014has often been described as an afterparty, where \u201cthe fun stuff\u201d will happen, but we don\u2019t know exactly what it entails. However, it will certainly play a big role in running the upgrades smoothly, which would make Ethereum the superior network across industries.<\/p>\n

Way to go, Ethereum<\/strong><\/h3>\n

Energy efficiency, increased security, and improved capabilities are some of the touted benefits of the Merge. Further improving scale and efficiency are the declared aims of those fun-sounding post-Merge upgrades. If all goes to plan, the Ethereum Merge and its subsequent versions should usher in a rebirth of sorts for the crypto world, which has much at stake.<\/p>\n\n\n

FAQs<\/h2>\n\n\n
\n
\n
\n

What were the results of the Ethereum merge?<\/h3>\n
\n\n

The Ethereum merge, which combined the Ethereum 1.0 and Ethereum 2.0 chains, aimed to improve scalability, security, and sustainability. It transitioned Ethereum from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism, enhancing network efficiency and reducing energy consumption.<\/p>\n\n<\/div>\n<\/div>\n

\n

Why is ETH down after the merge?<\/h3>\n
\n\n

ETH’s price fluctuations after the merge could be influenced by various factors, including market sentiment, investor speculation, and external events. While the merge aims for long-term benefits, short-term price movements may reflect uncertainty or profit-taking among investors.<\/p>\n\n<\/div>\n<\/div>\n

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What happens to my stETH after merge?<\/h3>\n
\n\n

After the merge, stETH (staked Ethereum) remains relevant as it represents your stake in the Ethereum network. However, its specific function and management may depend on the platform or service you use for staking. Generally, stETH holders continue to earn rewards and participate in network governance as part of the Ethereum PoS system.<\/p>\n\n<\/div>\n<\/div>\n

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What is the Ethereum merge 2023?<\/h3>\n
\n\n

The Ethereum merge in 2023 refers to the anticipated completion of the transition from the proof-of-work (PoW) to the proof-of-stake (PoS) consensus mechanism. This upgrade aims to enhance Ethereum’s scalability, security, and sustainability, marking a significant milestone in its development.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"

The Ethereum Merge\u2014the most closely-watched event in the crypto calendar this year\u2014went smoothly. What\u2019s next? A lot, it seems. To be sure, the monumental switch paves the way for Ethereum\u2019s mass adoption as a chain. Yet, it turns out that this is a small step that achieved only 55% of the targeted result, leaving investors […]<\/p>\n","protected":false},"author":97,"featured_media":25169,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_ayudawp_aiss_exclude":false,"footnotes":""},"categories":[460,7274],"tags":[7262],"class_list":["post-25013","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto","category-ethereum-merge","tag-ethereum-merge-archives"],"acf":{"json_ld_schema":"\n[{\"@context\":\"https:\/\/schema.org\",\"@type\":\"FAQPage\",\"@id\":\"https:\/\/coinswitch.co\/switch\/us-stocks\/wall-street-jottings\/#FAQPage\",\"headline\":\"Wall Street jottings: A personal, guided tour to investing in US stocks\",\"keywords\":\"Personal Guide, US Investing, \",\"datePublished\":\"2022-07-22T13:28:55+05:30\",\"dateModified\":\"2022-09-19T19:04:28+05:30\",\"dateCreated\":\"2022-07-22T13:28:55+05:30\",\"author\":{\"@type\":\"Person\",\"name\":\"Sunil Paul\",\"description\":\"Sunil Mathew Paul brings the best of both worlds, combining his flair for writing with expertise in delivering niche content for the investment community.\",\"url\":\"https:\/\/coinswitch.co\/switch\/author\/sunil-pcoinswitch-co\/\",\"sameAs\":[\"sunilmathewpaul\",\"https:\/\/www.linkedin.com\/in\/sunil-mathew-paul-382302a\/\"],\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/98e19e7160d41179bbf77157108dfaf6?s=96&d=mm&r=g\",\"height\":96,\"width\":96}},\"image\":[{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/coinswitch.co\/switch\/us-stocks\/wall-street-jottings\/#primaryimage\",\"url\":\"https:\/\/coinswitch.co\/switch\/wp-content\/uploads\/2022\/07\/Wall-Street-Jottings.jpg\",\"width\":\"1800\",\"height\":\"1080\"},{\"@type\":\"ImageObject\",\"url\":\"https:\/\/coinswitch.co\/switch\/wp-content\/uploads\/2022\/07\/Wall-Street-Jottings-1200x900.jpg\",\"width\":\"1200\",\"height\":\"900\"},{\"@type\":\"ImageObject\",\"url\":\"https:\/\/coinswitch.co\/switch\/wp-content\/uploads\/2022\/07\/Wall-Street-Jottings-1200x675.jpg\",\"width\":\"1200\",\"height\":\"675\"}]}]\n","json_ld_custom_schema":"","youtube_vodeo_url":"","seo":{"title":"","keywords":"","description":"","canonical":""},"blog_banner_image":false,"blog_coin":false,"download_the_app":{"button_value":"","button_url":""},"twitter_card":{"twitter_title":"","twitter_description":"","twitter_link":""},"maturity_tag":"","post_author":false,"guest_author":false,"hide_toc":false,"select_disclaimer":"Article Default Disclaimer","key_takeways":[{"content":"The Ethereum Merge only achieves 55% of the network\u2019s target.\r\n"},{"content":"The phases to follow\u2014The Surge, The Verge, The Purge, and The Splurge\u2014will help it accomplish the rest of the development targets."},{"content":"Ethereum hopes to clean up excess data through these processes.\r\n"}]},"post_mailing_queue_ids":[],"_links":{"self":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts\/25013","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/users\/97"}],"replies":[{"embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/comments?post=25013"}],"version-history":[{"count":5,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts\/25013\/revisions"}],"predecessor-version":[{"id":39921,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/posts\/25013\/revisions\/39921"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/media\/25169"}],"wp:attachment":[{"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/media?parent=25013"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/categories?post=25013"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinswitch.co\/switch\/wp-json\/wp\/v2\/tags?post=25013"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}