The joy round Ethereum’s (ETH) upcoming improve, The Merge, which entails the merger of two blockchains — Mainnet Ethereum and Beacon Chain — has unknowingly spurred rumors throughout the neighborhood.
Termed essentially the most vital improve within the historical past of Ethereum, The Merge does certainly mark the top of proof-of-work (PoW) for the Ethereum blockchain. Nevertheless, listed below are 5 misconceptions that stand out among the many relaxation.
False impression 1: Ethereum gasoline charges will scale back after The Merge
Ethereum’s impending improve will scale back Ethereum’s notorious gasoline charges (transaction charges) is among the largest misconceptions circulating amongst traders. Whereas lowered gasoline charges tops each investor’s wishlist, The Merge is a change of consensus mechanism that can transition the Ethereum blockchain from PoW to proof-of-stake (PoS).
As an alternative, reducing gasoline charges in Ethereum would require engaged on increasing the community capability and throughput. The developer neighborhood is at the moment engaged on a rollup-centric roadmap to make transactions cheaper.
False impression 2: Ethereum transactions can be quicker after The Merge
It’s protected to imagine that Ethereum transactions won’t be noticeably quicker. Nevertheless, there may be some fact to this rumor, as Beacon Chain permits validators to publish a block each 12 seconds, which on the Mainnet is roughly 13.3 seconds.
Whereas Ethereum builders imagine that transitioning to PoS will allow a ten% improve in block manufacturing, the slight enchancment will go unnoticed by customers.
False impression 3: The Merge will end in downtime of the Ethereum blockchain
Contrasting the misconceptions that envision optimistic outcomes for Ethereum from The Merge, a preferred rumor means that the deliberate improve will momentarily take down the Ethereum blockchain.
The builders anticipate no downtime as blocks transition from being constructed utilizing PoW to being constructed utilizing PoS.
False impression 4: Traders will have the ability to withdraw staked ETH after The Merge
Staked ETH (stETH), a cryptocurrency backed 1:1 by ETH, at the moment lies locked on the Beacon Chain. Whereas customers would love to have the ability to withdraw their stETH holdings, the developer neighborhood has confirmed that the improve doesn’t facilitate this transformation.
Withdrawal of stETH holdings can be made out there through the subsequent main improve after The Merge, referred to as the Shanghai improve. Consequently, the belongings will stay locked and illiquid for at the very least 6-12 months after the merger.
False impression 5: Validators won’t be able to withdraw ETH rewards til the Shanghai improve
Whereas stETH stays blocked for traders till withdrawals are resumed following the Shangai improve, validators can have speedy entry to the charge rewards and maximal extractable worth (MEV) earned throughout block proposals from the execution layer or Ethereum Mainnet.
Because the charge compensation won’t be newly issued tokens, will probably be out there to the validator instantly.
Sharing his tackle Ethereum’s untapped potential, Polygon co-founder Mihailo Bjelic informed Cointelegraph that zkEVM Rollups, a brand new scaling answer for Ethereum, will permit the sensible contract protocol to outpace Visa by way of transaction throughput.
Sandeep Nailwal, Polygon’s different co-founder, echoed Bjelic’s ideas as he envisioned the answer slicing down Ethereum charges by 90% and growing transaction throughput to 40–50 transactions per second.