With The Merge, Ethereum hopes to go green by reducing its energy consumption and carbon footprint in the mining process. And it would seem that the network is on the way to achieving its objectives, if not more!
Ecological transition: Ethereum goes green
The extraction of bitcoin (BTC) and ether (ETH) accounts for around 60% of the energy spent in crypto mining. The other cryptos share the rest. To validate transactions on a blockchain, the Ethereum network has so far worked with the PoW system. When Ethereum completes The Merge, its transition to a consensus mechanism of Proof-of-Stake (PoS) will make it an ecological network, respectful of the environment. Once the fusion is complete, the power-hungry machines needed for the Proof-of-Work (PoW) will become obsolete.
Ethereum is one of the most developed blockchain technologies. It has many industrial use cases not to mention its comprehensive smart contract functionality. And then there is its flexibility. Ethereum also has a strong online support network, as well as regular product upgrades and additions. While crypto has many advantages, ecological reasons may hold back some, individuals and businesses alike. The Merge will end this environmental limit. After the merger, Ethereum will turn green.
Reduce carbon footprint by over 99%
Cryptocurrencies have always been widely criticized for their disproportionate carbon footprint. But The Merge will drastically reduce the energy consumption for Ethereum mining. According to Carl Beekhuizen, one of the researchers from the Ethereum Foundation, the energy consumption of the network would decrease by 99.95% after the merger. It also assumes a reduction of at least 99% of its carbon footprint. Many consider this drastic technological shift to be one of the most significant moments in blockchain history.
Polygon (MATIC) for example, recognizes that the upcoming merger will make coin mining much more environmentally stable. The company states: ” The merger is estimated to offset 99.91% of Polygon’s network carbon emissions, reducing the annual total to just 56.22 tCO2e. » According to the Crypto Carbon Ratings Institute (CCRI), the majority, or 99.92%, of Polygon’s emissions come from the chain’s activities on the Ethereum base layer. Reason why The Merge will have a positive impact on its ecosystem.
A greener network, but angry miners
Beyond the ecological transition, The Merge should revamp the entire Ethereum ecosystem. The merger would allow faster and more efficient transactions. While many are impatiently awaiting this great change, others are dreading it. Among the most hesitant people, minors are in the foreground. Miners play a vital role in the current PoW scenario. But the PoS imposed by The Merge negates their usefulness. The involvement of Ethereum miners after the transition is close to zero.
The mining industry has grown along with the crypto market, and has become the livelihood of many individuals. Since the announcement of the merger, many miners have come forward about their future. The Merge would simply be catastrophic for them. While the bear market has already caused immense losses, the elimination of some miners’ main sources of income could further disrupt the market.
There are only a few days left until the Ethereum 2.0 upgrade. While The Merge has been repeatedly delayed, change is imminent, much to the chagrin of miners. The latter are now eyeing ETC. The Ethereum Classic community believes that a significant portion of this computing power will be redirected to ETC.
Receive a digest of news in the world of cryptocurrencies by subscribing to our new service ofdaily and weekly so you don’t miss any of the essential Tremplin.io!