Within three weeks of the launch of Ethereum 2.0 Beacon Chain, the Ethereum deposit contracts have seen over 2 million ETH inflows which is 380% more than the threshold value.
Within three weeks of the launch of Ethereum 2.0 Beacon Chain, the deposit contracts are now holding over 2 million ETH valued at over $1 billion. This also happens as the users reported nearly 45,000 transactions to the ETH 2.0 deposit contracts.
The staked quantity of ETH is also 380% more than the minimum threshold needed to kick Ethereum 2.0 into action. Ethereum 2.0 is a PoS blockchain network promising higher performance efficiency. Currently, looking at the Ethereum network activity, the blockchain isn’t sufficient to meet all requirements.
It faces major bottlenecks in terms of scalability as well as issues with high Ethereum gas fee. The ETH 2.0 network upgrade will make it more efficient, scalable, and cost-effective. Besides, it promises to host a large number of DApps and DeFi applications without any kind of hassle. Speaking to Decrypt, Charles Storry, co-founder of PhutureDAO said:
“Ethereum, the second largest blockchain has moved to a new consensus mechanism: proof of stake. The locked up funds signify the investor and community appetite for the new model and will lead the future consensus models in upcoming designs.”
Earlier this month, one of the most popular software wallets – MyEtherWallet – announced support for ETH 2.0 staking in partnership with Staed. Here, Staked helps in running validator nodes on behalf of the users. Thus, users with no technical knowledge can also stake their ETH. This service is absolutely non-custodial with users getting absolute control of their keys.
ETH Price Crashes 5% Below $600 while the Number of Ethereum Deposit Contract Increases
During the recent marketwide correction, the Ethereum (ETH) price has crashed 5% falling below its crucial support levels of $600. At press time, ETH is trading at a price of $583 with a market cap of $66 billion. On the weekly charts, ETH has corrected more than 10% as of date.
Ethereum has been one of the most performing cryptocurrencies in 2020. Also, ETH has continued to follow the market’s bull run. As of date, ETH’s year-to-date returns stand at nearly 350%. This is more than the % returns from Bitcoin (BTC).
Ethereum has also been one of the top choices for institutional investors. Recently, the CME Group announced the launch of its Ether Futures contracts that will go live by February 2021. CME said that the decision to launch this product amid rising institutional demand.
The Grayscale Ethereum Trust (ETHE) is one of the leading investment products currently in the market and now holds more than $1.8 billion worth of assets under management.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
