ETH 1.0 vs ETH 2.0 PoS
- blockchain All Things Web3
The release of the new version of the Ethereum network is getting closer. On the advice of a friend, threw some of my tokens into stacking (not financial advice!). But I genuinely don't understand what Ethereum 2.0 is.
Ethereum 2.0 is the same old soup just reheated. Eth 2.0 = Eth. The only one difference is inside in consensus algorithm. POS is going to displace POW after merge. Before this change you also could stake ETH, but now you can become a part of POS network and stake your ETH as validator and improve security and decentralization of ethereum blockchain.
The much-anticipated network upgrade by Ethereum developers and coin holders is expected to improve security, scalability and significantly increase throughput.
Etherium's throughput should increase by introducing sharding technology, which will split the blockchain into 64 mini-chains or shards. The shards will process transactions and data in parallel. The sharding system will not be activated at the same time as the merger; it is scheduled to launch in 2023.
The update should improve network security and eliminate the possibility of a so-called "51% Attack", where miners controlling more than 50% of the blockchain could theoretically make changes to the blockchain, fraudulently profiting from it.