A long awaited Ethereum 2.0 “Beacon Chain” have gone live today, signifying a beginning of evolution in the Ethereum network.
The Ethereum 2.0 network enters the “Phase 0” of the 6 step roadmap, with the Genesis Block launched into existence.
The new and improved Ethereum 2.0 network promises scalability, better security and performance. The Ethereum 2.0 will eventually be able to process over 100,000 transactions per second, which will be a dramatic improvement from current 15 transactions per second on ETH 1.0 network.
Proof of Stake
The biggest introduction of the network update, is a switch from Proof of Work protocol towards the Proof of Stake.
Proof of Work requires ALL of its miners to attempt to solve a complex sum, with the winner determined by the person who has the most powerful/quantity of hardware devices. Proof of Stake model randomly chooses the winner based on the amount they have staked.Bitdegree
With the launch date confirmed a week ago, and the 524,288 Ethereum staked on contract, the network was launched as planned today on December 1.
852,960 ETH was staked in the Ethereum 2.0 contract, greatly exceeding the minimal required amount to launch ETH 2.0 network.
To secure a validator node and receive staking rewards, the individuals are required to stake 32 ETH per node. Those who don’t have such capital are staking with the help of “staking pools”, that helps users to receive benefits of Ethereum staking by sharing a validator node with a group of investors.
During the zero stage of ETH 2.0 launch, both PoW ETH 1.0 and PoS ETH 2.0 will run alongside each other, estimating that merging will take around 2 years.