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Ethereum 2.0 explained, BETH mainnet nears launch

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@melbourneswest
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  • Ethereum 2.0 gets closer with 134944
    Ethereum remaining to be staked.

  • Validator Rewards tipped to be at 19.8%

  • bad behaviour as a Validator will lead to
    loss off assets

  • Staking Ethereum is a one way bridge to
    Ensure security of Beacon Chain Ethereum
    Deposits (BETH)

  • GAS problem solved

ETHEREUM 2.0 PHASE 0

On 1 December 2020 Ethereum launched Phase 0 of ETH2 releasing the contract address for the ETH2 mainnet. This address allows people to become validators of the new Ethereum network which has been named BETH.

To become a Validator people need to stake 32 Ethereum in the contract address which is a one way bridge. Once you stake you can not unstake this is to ensure the security of the network and prevent people from unstaking and selling on exchanges.

For those who can not afford the 32 Ethereum there are staking pools where you can contribute and receive a portion of Validator rewards.

In order for the mainnet to launch and to move to BETH Ethereum has set a minimum staking target of 524,288 Ethereum. As of today there is currently 389,344 Ethereum staked with a remaining 134,944 Ethereum required to launch BETH mainnet and move from proof of work to proof of stake.

photo sourced from Ethereum website

Ethereum 2.0 will consist of 64 individual block chains known as Shards with the BETH chain being the management chain and tasked with recording block attestation, paying out rewards and enforcing breaches by slashing poor user behaviour.

Slashing is a term used for a penalty for poor or malicious behaviour, extreme malicious behaviour will result in the loss of collateral

Validator rewards are based on the amount of stakes participating as Validators. The less Validators the higher the rewards. At current it is tipped that Validator rewards will be 19.8% of the total Ethereum staked.

To receive the rewards Validators must validate transactions and undertake other tasks which will be assigned every 6.4 minutes. Validators that go off-line for more than 50% of the time will be slashed, resulting in reduced rewards.

It is anticipated that once BETH or Ethereum 2.0 is rolled out and fully implemented in a few years, which is currently estimated to be a minimum of 18months away. Proof of Stake will replace proof of work and a reduction in GAS fees or the possible complete elimination completely.

This change is to ensure the future success and survival of Defi.

BETH will also be a token available for purchases on exchanges, so keep your eye out for the BETH launch.

If you have found this information helpful, please help support my work by upvoting and reblogging. Drop a comment below and a few lucky winners will receive a Hive Engine token.

Posted Using LeoFinance Beta