Ethereum 2.0 Merge Buys More Time Amid Slippage In GPU Values

Ethereum 2.0 Merge Buys More Time Amid Slippage In GPU Values
Ethereum 2.0 Merge is the much awaited transition which will shift its algorithm from proof of work to proof of stake.Notion of this switch from PoW to PoS model is that it pledges a mammoth 99.95% reduction in power consumption.Delay comes just as Graphic Processing Market has initiated to exhibit signs of trending towards stabilization.

Ethereum 2.0 Delayed……. Again !!

Ethereum’s much awaited shift from Proof of Work to Proof of Stake, and long overdue GPU mining are delayed one more time. Prior to this newest delay, entire transition to Ethereum 2.0 was suppose to happen this June. Well, Sorry Folks, It ain’t happening in June.

What does this signify? Well, unpleasant timing, for one. Multi-phase shift to Ethereum 2.0 has already initiated, and as soon as it is finished we should, theoretically, witness a slip in GPU mining demand significantly. Or at least it concerns mining of Ethereum, which is pretty much popular in crypto world.

The notion behind the shift from proof of work to Proof of Stake design is that it pledges to reduce energy consumption by 99.95%. Rather than tasking miners to leverage GPU to solve complex and time consuming cryptographic hash operations to validate blockchain, the PoS model will validate transactions (known as blocks) depending upon a person’s persisting stake in Ethereum.

An analyst at Ethereum Foundation, Carl Beekhuizen elaborated that, under proof of work mechanism, as value of ETH and hashrate are positively correlated. Therefore, as the value escalates in equilibrium so does the energy consumption.

He added that, under Proof of Stake mechanism, when Ethereum value escalates,so does network’s security (Ether price is more at-stake), but power requirements remain the same.

Tim Beiko Confirms The Delay

Tim Beiko, Ethereum developer posted a Tweet, stating that this is not gonna happen in June, but after a few months. So, at least it is a short delay. And assuming that this is the final delay we are witnessing, and to that point, he added that the development is definitely in final stages of PoW on Ethereum.

Source: Twitter

This delay comes as GPU sector has initiated to indicate signs of stabilization. That doesn’t mean that graphic cards will roam freely and at MSRP, or will be soon.

But some designs have usually been simpler to find in stock lately, at a less of a markup than in previous months. And at that extremely high end, it is not very tough to find a GeForce RTX 3090 Ti selling at its sticker price. 

Let’s just hope that this is the final delay in Ethereum 2.0. As it stands, the shift must occur right around the time Intel initiates shipping its first Arc Alchemist desktop graphics card. So Rejoice lads.

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