Twitter user @yulesa used a series of tweets to explain the significance and potential impact of the Ethereum merger.
Author: Twitter user @yulesa, software engineer, smart contract enthusiast
1/21 Ethereum is about to receive a series of functional enhancements, leaving other blockchains (especially Bitcoin) far behind. This series of pushes aims to reduce the external information mismatch about the significance of the merger The Merge, and to help everyone understand how this will come close to changing the blockchain field.
The 2/21 merger is a network upgrade of Ethereum, which aims to transform a practical consensus protocol from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism that saves energy, is more capital efficient, and is more secure.
3/21 I hope you have understood what PoS is.
If you don’t know what PoS is, and still don’t understand why the consistency of the economic reward mechanism of the PoS mechanism is better than that of PoW, you can read this post .
4/21 The first important thing is to explain that as an ordinary user, your experience of using Ethereum will not change.
The merger is an upgrade of the blockchain protocol layer, and the data/application layer will not be affected.
5/21 This means that every dApp, protocol or account that existed before the merger and in Ethereum will continue to exist and will operate as before.
In addition, the transaction layer management adopted by the EIP1559 proposal is already in operation, and the merger will not change it in any way.
The 6/21 merger will only affect validators, who will replace the role of miners and reach an agreement on which transactions are included in the orthodox history of the blockchain.
7/21 PoS has become a reality, but it has not yet been internalized.
The ” beacon chain “, also known as the Eth2 network, has fully completed the research, screening out and developing all the heavy work of a new consensus mechanism in detail.
The 8/21 beacon chain is a completely independent blockchain network that runs a PoS consensus layer.
It runs in parallel with the current Ethereum mainnet, and only processes the consensus layer of the protocol, and its data and application layers are empty.
9/21 It is necessary to keep the PoS chain isolated from the main network, so that the risks generated by the new consensus mechanism will not affect the Ethereum main chain during its deployment.
Since its launch in November 2020, the beacon chain has been running smoothly without any problems.
10/21 The new Ethereum PoS consensus layer has about 120,000 validators. They pledged about 3.8 million ETH (about 3.3% of the circulating supply of ETH). It can now build a good Lindy effect. The Fang core team can therefore safely merge it with the mainnet.
Note from the chain: The Lindy effect refers to the fact that for every additional day that exists, the expected value of the remaining time will be reduced; and for things that will not perish, every additional day that will exist. Expectations in the days left will increase.
The changes required on 11/21, including the current Ethereum network’s transformation into a PoS consensus mechanism, is a protocol integration between data/applications on the existing consensus layer:
- Include data history block
- Propose a new block
- Announce/final block header value
For Eth1 and Eth2 users, 12/21 are just minor adjustments. Three beacon chain users have demonstrated the execution of Eth1 transactions in the Eth2 environment.
The two upgrades of Berlin and London on 13/21 will be completed in 2021, and we are currently expected to be ready to “merge” sometime at the end of the fourth quarter of 2021 or the beginning of the first quarter of 2022.
14/21 “merger” will be implemented as the ETH assets secondary encryption upgrade the economy , the many years of research and development results encryption economy into practice, will bring superior value for money ETH.
15/21 With the withdrawal of PoW from the historical stage of Ethereum, ETH will experience “The Cliffening”, and its issuance will be reduced by about 90% during the “merger”.
For comparison, Bitcoin’s issuance adjustment through the “halving” requires 12 years to achieve such a reduction.
16/21 The EIP1559 proposal upgrade and the PoS mechanism will work together to turn ETH into a deflationary asset.
17/21 Although this sounds like a magic trick, you don’t need the courage of a Vanuatu diver to meet the “cliff adjustment”.
In the PoS mechanism, bad actors will be punished.
18/21 In view of the reduced willingness of participants to do evil, despite the high level of network security, the positive enhancement of the network (difficulty of block issuance) will be reduced.
19/21 In addition to Ethereum has become the public chain with the highest value of processing assets, it is also the public chain with the most active development activities. The next upgrade will make ETH a high-premium storage asset.
20/21 Thank you to all the community members who issued the newsletter for letting users like me get the right to know, @ evan_van_ness , @ benjaminion_xyz , @ dannyryan .
21/21 For more detailed knowledge about the merger, please click to view.
This serial tweet was inspired by the articles in it.
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