Ethereum 2.0 Staking contracts broke a new record, hitting an all-time high!
Ethereum 2.0 Staking is at an all-time high!
Ethereum 2.0 contracts crossed another historical milestone! The total value of Ethereums locked under the ETH 2.0 deposit agreement reached approximately $ 14 billion.
While the value of ETHs locked in Ethereum 2.0 Staking contracts reached $ 14 billion; The total amount of ETH staked has also exceeded 5 million.
According to the records, the amount of ETH locked in Ethereum 2.0 staking contracts is currently at an all-time high. According to the latest data published by Etherscan, the total value of Ethereum staking under the ETH 2.0 staking contract reached approximately $ 14 billion.
Ethereum 2.0 staking officially started operating following the launch of the Beacon Chain in December 2020. The ETH community gave full support to network upgrade and staked over 1 million ETH in just one week.The world’s largest altcoin has shown incredible volatility since the beginning of May. While it hit an all-time high of $ 4,350 on May 12, it dropped to about $ 1,800 on May 23 .
At the time of writing our article, it is traded around 2,500 dollars with a market value of over 290 billion dollars. Despite the recent drop, ETH is still up more than 250% since the beginning of 2021.
The volatility in the ETH price has also sped up the whale movements. Earlier this week, crypto analytics platform Santiment highlighted an increase in ETH whale movements as they were experiencing major price changes.
“The amount of Ethereum whale transactions (valued at more than $ 100,000) has risen this week to levels not seen since January 2018.
Meanwhile, according to the latest data released by Glassnode, around 23% of the total Ethereum supply is locked in Smart Contracts. The increasing popularity of NFT and DeFi products has also increased the demand for the world’s second largest digital currency.
— glassnode (@glassnode) May 6, 2021
There is a clearly growing trend since the staking contract was launched . The blockchain analytics firm (May 28, 2021) reported that the total ETH staked value was approximately $ 14 billion. In fact, the locking of such a high amount of funds within the scope of new contracts shows that there is a great support behind the upgrade.
What is the Ethereum 2.0 staking contract?
Ethereum 2.0 is the version of the Ethereum (ETH) protocol (PoS). It will split the entire Ethereum (ETH) network into a system of interconnected parts and replace mining with a staking system, which is a fundamental mechanism of blockchain’s security.
The minimum stake rate in Ethereum 2.0 is 32 ETH, so to become a validator, stakers need to lock a minimum of 32 ETH into contracts. As a matter of fact, Ethereum (ETH) backers, who took such a high cost, invested $ 15 billion in the deposit contract.
What is ETH 2.0? what will it do?
The ETH 2.0 upgrade will bring numerous innovations to the network, including the transition to the Proof-of-Stake consensus. After fully transitioning to ETH 2.0, the network is expected to process 100,000 transactions per second.
High gas fees and transaction times negatively affect the market. Therefore, gradual changes to the network will prepare Ethereum for the popularity of its dApps.
In addition, the EIP-1559 implementation is expected to be launched in July 2021. This practice will turn ETH into a deflationary asset with its dynamic wage system and periodic destruction of wages.