It’s official! ETH 2.0, the Beacon Chain, is coming next week.
In a dramatic move, Ethereum community members deposited a huge chunk, more than 40% of all ETH required to reach the threshold to trigger ETH 2.0.
With an increase of 279% in deposits in just one day, the ETH community did the deed a day before and confirmed the launch of Phase 0 on December 1st as scheduled.
Interestingly, the price of ETH moved in the exact direction as of the staked Ether, as per Crypto Quant.
Now that ETH 2.0 is officially coming in a week and BTC price is making some moves today, ETH price is retreating but still around $600.
Along with this positive price action, Perpetual Swaps Open Interest also reached a new yearly high of $1.69b, both in USD terms and Ether terms.
The crypto community is excited about this development and congratulated the Ethereum team for this achievement.
“Congratulations to the ETH2 deposit contract for hitting the needful amount of ETH for Beacon Chain activation. A momentous achievement indeed!” said Su Zhu, CEO of Three Arrows Capital.
Congrats @VitalikButerin and Ethereans.
— Hsaka (@HsakaTrades) November 24, 2020
This is a very bullish development not only for Eth but for all things DeFi as “transition to PoS, alongside various upgrades will enable greater network scaling, with that, cheaper transaction and more efficient running of the network,” noted Denis Vinokourov of Bequant.
As for those who still want to deposit their ETH, they can do so at any time that is up until it officially closes today.
You can still deposit at any time. https://t.co/sdwu4sr5Gt
— vitalik.eth (@VitalikButerin) November 24, 2020
Bloomberg also noted this development that will allow the second largest network to process the same number of transactions like Visa and Mastercard. Launched in 2015, the project has been working on the upgrade for years now.
“Ethereum needs to scale to become a global substrate of the clearing and settlement layer,” Andrew Keys, a managing member in Darma Capital, told Bloomberg.
According to him, while the current version of Ethereum proved that the real-world items like gold, music, and currencies can be successfully digitized, “now, it needs to be able to serve global volume.”
Keys, who was one of the first employees of ConsenSys, is “100% certain that proof of stake will launch in 2020.”