Ethereum is the second largest cryptocurrency platform in the world based on the total market capitalization. This cryptocurrency platform is filled with features and these features are why it has gone on to become one of the most accepted cryptocurrencies behind Bitcoin. Although, it offers amazing features, like every other network, it surely has to improve or offer more features for it to remain relevant in the crypto space. In this article, we will discuss some of the changes that are coming to the Ethereum network.
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One of the main changes coming to the Ethereum network is the move from the regular proof of work to the proof of stake algorithm. Unlike other cryptocurrency platforms, the Ethereum network seeks to adopt the proof to stake algorithm which will ensure that miners would have to move away from the network. Each user on the network with the help of the proof of stake algorithm will be required to stake cryptocurrencies before they are able to verify transactions. To explain better, this means that there will be no more mining rigs as users will be given the authority to verify transactions based on the total number of Ether tokens they own.
Another change that will interest investors is that a total supply value has been fixed. Remember that the Ether token had an unannounced supply but in April 2018 while granting an interview, Vitalik Buterin founder of the Ethereum network stated that they would leave the maximum supply at 120,204,432. This development will definitely make the crypto more attractive to all investors because prior to this time questions have been asked about the total supply amount of the Ether tokens. This announcement will clearly reduce the fear and risk value that these investors will have.
Another change that will come to the Ethereum network is the Raiden network. The Ethereum network can only verify about 15 transactions per seconds and this has proven to be a big problem to the network. While Visa can verify about 4000 transactions per seconds, the Ethereum network seeks to adopt the Raiden Network which will ensure that the platform could carry out about a million transactions per second. The Raiden network will work in such a way that transactions details that were formerly stored on the blockchain ledger will be stored in a text message pattern where all users on the network will be able to verify transactions. This network is an extension of the Ethereum network and is designed in such a way that it can work on all Ethereum standard tokens. This Raiden Network will definitely solve the scalability issue that has lingered on the Ethereum network for a long time.
The most fundamental exchange is that of the proof of stake which will ensure that all miners on the network will be relieved of their duties as individuals with high Ether tokens will be able to verify all transactions. This changes will definitely attract investors to the platform.
Fixed number of coins and million transactions per second is kool stuff. But I am surprised to know that Ether score is 15 when compared to Visa 4000. I thought crypto is way ahead of the traditional transaction systems.
There are some cryptocurrencies that are ahead of traditional systems. For example Bitshares which uses a Delegated Proof of Stake consensus algorithm. I believe they reached over 100,000 transactions per second during a test at some point. But as for the more common Proof of Work cryptos like Ethereum and Bitcoin, they are still far from reaching the speeds of the traditional systems. This is just the downside of having a much more secure, decentralized solution. But hopefully the Raiden Network takes Ethereum to the next level.
Will these changes to Ethereum happen at the same time?
This is pretty good article and contains alot of good content regarfing the fate of the etheureum coin which is doon going to change for the sake of good. If itd true than that will be great.
Raiden Network ... Best change to Ethereum Network. It will attract more investors.
Excellent article
Im ready for POS. Can't wait.