Ethereum has been making a lot of headlines these days ahead of the important upcoming event. Now, the Merge is here, and this brought the project and the digital asset ETH in a new era. Check out all the juicy details below.
Ethereum merge is live
Ethereum’s (ETH) long-awaited and highly-anticipated merge has been activated, according to the latest reports.
The massive update switches ETH from a proof-of-work consensus model to proof-of-stake.
As the online publication the Daily Hodl notes, the change allows Ethereum holders to stake their coins in return for rewards, and transforms the network into a far more energy-efficient model for processing and verifying transactions. Ethereum’s overall energy use is expected to plummet by about 99.9%.
The switch to proof-of-stake is also set to have a huge impact on Ethereum’s rate of inflation.
The Ethereum Foundation says the number of new ETH entering the market will witness a major drop.
“About 13,000 ETH were issued per day before the merge – a number that will now drop to about 1,600 ETH per day,” Daily Hodl notes.
One thing the update will not do, on the other hand, is make the cost of doing business on the Ethereum network more affordable.
Ethereum token supply
Regarding the price of Ethereum at the moment, ETH is trading in the green, and the coin is priced at $1,624.
It’s been just reported that an important market intelligence firm says that the amount of Ethereum (ETH) issued per block will significantly decrease after the leading altcoin transitions to a proof-of-stake mechanism.
New research from crypto analytics firm IntoTheBlock has recently revealed what to expect from the leading smart contract platform’s upcoming merge.
“One of the most impactful effects coming from the merge is that the amount of ETH issued per block will decrease by 85%-90% following the merge.”