The second largest cryptocurrency in the world Ethereum We have come to a very important turning point. The Ethereum community has completed the work on the update called “The Merge”, which they have been working on for months, and the first phase of this update will take place today. Agree the fusion What is it and why is it so important to the cryptocurrency world?

The most talked about feature of cryptocurrencies, to environmental pollution cause it. So much so that all cryptocurrencies, especially Bitcoin and Ethereum, cause huge energy consumption through mining and block chains. For example, the amount of electricity consumed for transactions originating from Bitcoin is 150 terawatt hours per year. This too 65 million tons of carbon dioxide means release into the atmosphere. This level is the same as the annual carbon dioxide emissions in Greece.

Ethereum’s The Merge update could radically solve the energy problem!

Cryptocurrencies such as Ethereum and Bitcoin are currently a proof-of-work (PoWThey use a technique called . This system starts as a notification of the money transfer in a way that all users can see. This notification, which is sent as code to the Ethereum network, creates competition between miners. All miners try to decrypt after receiving this message, and only one miner achieves its goal.

In the next process, other users on the network examine this decrypted code. After approval money transfer takes place. Here PoW, which seemed very simple when we talked about it, was not efficient at all in terms of energy consumption. Ethereum’s The Merge update, on the other hand, reduced this power consumption. reduce by 99 percent goals. If this update is successful, it will be a matter of time before great innovations come to Ethereum and the cryptocurrency world.

What is The Merge update aiming for?

The Merge update, which Ethereum developers are working on, will introduce a proof-of-work technique for a proof-of-stake (pos) is meant to change to . This new technique does not require all network participants. So much so that a large amount of money has been added to the Ethereum network. Participants who deposit collateral, they will be the sole address of the verification process in the next process. Transfer transactions are only verified by the collateral holders. If irregularities are found during this check, the deposit will be refunded to the full warranty will be confiscated. The Ethereum community believes this will prevent fraud.

What if The Merge is successful?

The Merge update is of great importance to the cryptocurrency world. If this system is successful, it will be a huge challenge for other cryptocurrencies to switch to the PoS system as well. pressure will occur. This eliminates the need to constantly operate the device. Because the transaction check is done by users who can show collateral, not the graphics cards used in Ethereum mining. If expectations come true, performance improves, and Ethereum’s power consumption really drops by 99 percent, other blockchains are sure to switch to this system.

Power consumption isn’t the only benefit of The Merge’s update. Update made will increase network efficiency. Transactions are done faster and costs are reduced. Even the industry leaders, with this update, Ethereum’s Will Bitcoin lead they think.

Binance has stopped withdrawals while the update process begins!

Ethereum’s The Merge Update Starts Today And stages in case of to be continued. As such, Binance, the world’s largest cryptocurrency exchange, has announced that it has made an important decision regarding Ethereum. In the company’s statement, it is possible to make deposits and withdrawals for Ethereum (ETH) and Ethereum-based (ERC-20) cryptocurrencies to avoid issues during today’s update phase. will be suspended specified. This is nothing to worry about as once the current phase of The Merge’s update is complete, deposits and withdrawals will be back to normal. to be continued.

Here is Binance’s statement on the subject:

Let’s get to the main issue: what awaits the investor and the miner?

Ethereum The Merge update news has seriously affected the price of the cryptocurrency. has increased. So much so that Ethereum (ETH) has gained more than 6 percent in the past 24 hours. As such, the individual investor smiles. Moreover, it is thought that the increase will not be limited to this. The Rise of ETH When All Goes Right, According to Crypto Analysts full speed to be continued. At this time, it is not possible to predict what will happen if the update fails.

The merger will not yield very good results for ETH mining investors. Because, as we mentioned in the previous parts of our news; to miners with update there will be no need. However, there are different opinions on this matter. So that Ethereum developers can’t resist the pressure of miners and let them keep making money. an alternative method It is claimed that they will try to produce. However, these are not certain things. The fate of the miners will be decided in the future.

If the information we explained above “everything is going well”, we will encounter promises Let me point it out. Even if the update is on the way, there’s no guarantee that The Merge update will deliver on its promises.

Remark: This content cannot be considered investment advice.