Dear Ethereum (ETH) Crypto Fans, Mark Your Calendars for Oct. 27
Ethereum’s Altair upgrade is the precursor to the big switch to proof-of-stake consensus on the network
Cryptocurrencies are slowly beginning to shift and take a new form, at least in terms of investors’ interests. Speculation is the current norm, where buyers seek out the next multi-hundred-percent play. But blockchain developers are implementing more and more robust upgrades to their networks. Thus, emphasis is shifting away from speculative hypergrowth and more to long-term, fundamentally sound investments. Ethereum (CCC:ETH-USD) is the poster child of this movement, as it continues to up performance and prove its worth as a potential undoer of Bitcoin’s (CCC:BTC-USD) dominance over the industry. Ethereum (ETH) crypto fans should be keeping a watch now as it prepares for one of its biggest upgrades yet.
Vitalik Buterin and company are cooking up a gigantic upgrade for the Ethereum network called the Merge. This will be the long-awaited switch from proof-of-work to proof-of-stake on the network. As one might know, proof-of-work versus proof-of-stake is a point of contention for blockchain investors, most notably since Elon Musk’s Tesla (NASDAQ:TSLA) abandoned Bitcoin due to its proof-of-work algorithm. Proof-of-work is a much more energy-intensive model; after Musk raised environment concerns over it, many investors and developers alike have begun seeking out greener alternatives.
Ethereum developers are making an effort to cut down energy costs, as well as vastly improve performance. Indeed, Ethereum’s Merge will bring one of the largest overhauls the network has ever seen. As a way to ease into this major transition, the network is undergoing a “warm-up” upgrade on Oct. 27.
The upgrade, called Altair, will be what the development team calls a “low stake warm-up” to the incoming Merge. The purpose of this late October update will be to get its node operators and developers ready for the larger changes. As part of this, all node operators and validators have to update their version of the network’s client in order to participate in the new proofing consensus. In fact, those who abstain from updating can face fees imposed by the network. Users of the Ethereum blockchain do not have to do anything in anticipation of the upgrade.
Given the huge importance of the Merge, this upgrade represents a major step in the network’s transition. Indeed, Ethereum (ETH) crypto fans are going to want to pay close attention to the Altair update as it sets the tone for the future of the chain.
