Based on crypto analyst Ali, who relied on information from Glassnode, practically 150,000 ETH, value round $195 million, has been moved to the ETH 2.0 deposit contract prior to now week. The overall staked Ethereum has additionally hit a brand new file excessive of 13.9 million ETH staked.
#Ethereum | Roughly 150,000 $ETH, value round $195 million, have been transferred to the #ETH2 deposit contract over the previous week, hitting a brand new all-time excessive of 13.9 million #ETH staked. pic.twitter.com/p9oDsgod6s
— Ali (@ali_charts) September 23, 2022
As reported by U.At this time, the variety of addresses for the ETH 2.0 deposit contracts reached 13,343,768 forward of the Merge replace. The stake price additionally elevated, with 153,000 new ETHs staked within the previous month earlier than the Merge.
On Sept. 15, 2022, the Merge passed off, marking Ethereum’s historic change from proof of labor to proof of stake and its official abandonment of the resource-intensive, miner-based mechanism it had beforehand employed to course of updates to its decentralized ledger. With the proof-of-stake consensus now absolutely carried out on Ethereum, proof of labor has been formally deprecated, leading to an almost 99.95% discount in vitality consumption.
ETH staking after Merge
Homeowners of ETH can stake their cash by the Beacon chain’s deposit contract. Nonetheless, staking rewards and staked ETH are nonetheless locked and can’t be withdrawn. Staked ETH, present staking rewards, and newly issued ETH proper after the Merge will all be locked on the Beacon chain with out the power to withdraw.
As an alternative, withdrawals are deliberate for the Shanghai replace, which would be the subsequent important improve following the Merge. Based on this, freshly issued ETH might be locked and illiquid for at the least 6 to 12 months following the Merge, however it’ll nonetheless accumulate on the Beacon chain.
All validators might be incentivized to take away their staking balances above 32 ETH as soon as the Shanghai replace permits withdrawals as a result of these funds don’t enhance yield and are in any other case locked. They could be inspired to depart their validators to get well their full steadiness, or they might stake much more utilizing their rewards to get a better yield, relying on the APR (calculated based mostly on the overall quantity of ETH staked).