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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Ethereum Foundation Devs Discuss ETH2 Launch & Economics

Nick Chong
Nick Chong
4 years ago
2 mins read

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One of the biggest stories in the crypto space right now is the upcoming launch of Ethereum 2.0 — the long-awaited upgrade to the blockchain that will overhaul its consensus mechanism and how it validates transactions.

There have been some concerns that the launch won’t take place due to the lack of deposits into the ETH2 contract.

For context, Ethereum needs to get ported from the original chain to the ETH2 chain so that validators, or full node operators, can participate in block validation. The code specifies that there should be at least 16,384 validators staking 32 ETH each before the upgrade can properly launch. If that threshold isn’t reached, some have feared that the coins will be stuck in limbo.

According to Ethereum Foundation developers, though, this is not the case.

Related Reading: Here’s Why Ethereum’s DeFi Market May Be Near A Bottom

Ethereum 2.0 Launch Discussed

Speaking in a recent Ethereum Foundation “ask me anything” on Reddit, EF researcher Danny Ryan said that the threshold can be adjusted if needed to ensure that ETH2 actually sees genesis:

“I personally think that for initial launch, the 100k+ ETH in the contract is sufficient, and that adjusting the threshold down to not leave that ETH in limbo for too long makes sense. Rewards will be very high for these early adopters and the ETH validating will likely grow over time. Planning on adjusting this constant immediately at November 24 or December 1 is a bit aggressive, imo. We don’t know exactly what will happen in the next couple of weeks so we should observe first. On that linked to thread, clients engineering teams seem to want to wait through December, and adjust the constant at the start of January if needbe. This seems reasonable.”

Related Reading: Tyler Winklevoss: A “Tsunami” of Capital Is Coming For Bitcoin

Other Developments

Vitalik Buterin, founder of Ethereum, also touched on the launch in the Reddit thread. Commenting on testnets for ETH2, he said:

“Personally I actually hope that once we have a testnet for “eth1 inside eth2″, it can end up replacing some of the existing testnets! This would serve two purposes simultaneously: (i) it would satisfy people’s need for an ethereum testing environment and (ii) it would test many parts of the merge implementaiton. We could even perform the merge as an entire procedure on the Ropsten or other testnet!”

The ETH2 deposit contract is expected to see an influx of liquidity as the launch nears to successfully activate the upgrade.

Related Reading: 3 Bitcoin On-Chain Trends Show a Macro Bull Market Is Brewing
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Ethereum Foundation Devs Discuss ETH2 Launch & Economics
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Nick Chong
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

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