{"id":1637584,"date":"2022-09-09T11:23:41","date_gmt":"2022-09-09T15:23:41","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1637584"},"modified":"2022-09-09T11:23:53","modified_gmt":"2022-09-09T15:23:53","slug":"explainer-understanding-ethereums-major-merge-upgrade","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/explainer-understanding-ethereums-major-merge-upgrade\/","title":{"rendered":"Explainer-Understanding Ethereum\u2019s major \u201cMerge\u201d upgrade"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">10<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fexplainer-understanding-ethereums-major-merge-upgrade%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1637584&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>By Hannah Lang<\/p>\n<p>(Reuters) \u2013     Ethereum, the blockchain that underpins the world\u2019s second-largest crypto token ether, will soon undergo a major software upgrade that promises to slash the amount of energy needed to create new coins and carry out transactions.  <\/p>\n<p>Here\u2019s what you need to know about the \u201cMerge,\u201d as the shift is known. <\/p>\n<p>SO WHAT IS THE MERGE?<\/p>\n<p>The Ethereum blockchain is due to merge with a separate blockchain, radically changing the way it processes transactions and how new ether tokens are created. <\/p>\n<p>The new system, known as \u201cproof-of-stake,\u201d will slash the Ethereum blockchain\u2019s energy consumption by 99.9%, developers say. Most blockchains, including bitcoin\u2019s, devour large amounts of energy, sparking criticism from some investors and environmentalists.<\/p>\n<p>The Ethereum Foundation, a prominent non-profit organization that says it supports Ethereum, says the upgrade will pave the way for further blockchain updates that will facilitate cheaper transactions. High costs and slow transaction times are currently two of the main issues users have with the Ethereum network. <\/p>\n<p>AND WHEN\u2019S IT HAPPENING? <\/p>\n<p>Very soon. The merge is scheduled for completion between Sept. 10 and 20, though the exact timing is uncertain. Independent estimates point to Sept. 15 as the likely date. <\/p>\n<p>Major crypto exchanges, including Coinbase Global and Binance, have said they will pause ether deposits and withdrawals during the merge. Users won\u2019t need to do anything with their funds or digital wallets as part of the upgrade, they say. <\/p>\n<p>HOW BIG OF A DEAL IS THIS? <\/p>\n<p>Ethereum backers say the Merge is a monumental moment for the $1 trillion crypto sector.<\/p>\n<p>Proponents believe the Merge will make Ethereum more favourable compared to arch-rival bitcoin \u2013 the world\u2019s top cryptocurrency \u2013 in terms of price and usability. <\/p>\n<p>That could see Ethereum applications become more widely used. Investors are betting the change will be significant for the price of ether, which has gained more than 50% since the end of June, compared to a slight loss for bitcoin.<\/p>\n<p>PROOF-OF-STAKE? SOUNDS TECHNICAL<\/p>\n<p>It is. But it\u2019s also important.<\/p>\n<p>There are different ways transactions on the blockchain \u2013 the software that underpins most crypto \u2013 can be verified. In the \u201cproof-of-work\u201d system currently used by Ethereum, new transactions are checked by crypto miners. <\/p>\n<p>Miners use powerful computers that solve complex maths puzzles and update the blockchain, earning new crypto tokens. While this makes records on the blockchain secure, it\u2019s highly energy-intensive. <\/p>\n<p>In the \u201cproof-of-stake\u201d system, ether owners will lock up set amounts of their coins to check new records on the blockchain, earning new coins on top of their \u201cstaked\u201d crypto. <\/p>\n<p>SOUNDS LIKE A NO-BRAINER, RIGHT? <\/p>\n<p>Maybe. While Ethereum developers say the proof-of-stake model has safeguards to ward off hackers, others say criminals could attack the blockchain under the new system. <\/p>\n<p>If a single entity accumulated the majority of ether staked to validate new transactions, they could alter the blockchain and steal tokens. Crypto experts also say there is a risk that technical glitches could mar the Merge, and that scammers could take advantage of confusion to steal tokens.<\/p>\n<p>It may also become easier for developers to build programs on the Ethereum network, potentially boosting adoption. Still, those updates are likely months, if not years, away. <\/p>\n<p> (Reporting by Hannah Lang in Washington; editing by Tom Wilson and)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/?attachment_id=2747087\"><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/09\/tagreuters.com2022binary_LYNXMPEI8804S-VIEWIMAGE.jpg\" alt=\"tagreuters.com2022binary_LYNXMPEI8804S-VIEWIMAGE\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Hannah Lang (Reuters) \u2013 Ethereum, the blockchain that underpins the world\u2019s second-largest crypto token ether, will soon undergo a major software upgrade that promises to slash the amount of<\/p>\n","protected":false},"author":66,"featured_media":953585,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1637584","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1637584","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1637584"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1637584\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/953585"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1637584"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1637584"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1637584"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}