The largest-ever upgrade to Ethereum, infamously known as The Merge, recently went into effect, and experts in the field are hailing it as a game changer for the entire cryptocurrency industry. All indications point to the success of the so-called merging, which aims to reduce the cryptocurrency's energy use by more than 99%. The <a href="https://www.cryptoknowmics.com/news/ethereum-blockchain-upgrade-may-increase-institutional-adoption/" target="_blank" rel="noopener">Ethereum network upgrade</a> significantly changes how the blockchain secures its network and validates transactions.

https://twitter.com/VitalikButerin/status/1570306185391378434
<h2>Proof-of-Work (PoW) To Proof-of-Stake (PoS)</h2>
The method used by cryptocurrencies like Ethereum and <a href="https://www.cryptoknowmics.com/news/opennode-tests-bitcoin-payments-in-bank-of-bahrain-regulatory-sandbox/" target="_blank" rel="noopener">Bitcoin</a> to create new coins is frequently criticized. Before the merger, each blockchain had its extensive network of miners operating specialized computers on every continent, crunching mathematical equations to verify transactions. Known as the Proof-of-Work (PoW) consensus, it consumes a lot of energy and is one of the sector's most well-known targets for criticism.

But after the upgrade, Ethereum switched to the Proof-of-Stake (PoS) algorithm, which replaces <a href="https://www.cryptoknowmics.com/news/public-bitcoin-miners-dumping-their-holdings-amid-crypto-winters-chill/" target="_blank" rel="noopener">miners</a> with validators. Validators use their existing Ether cache rather than operating enormous banks of computers to validate transactions and create new tokens. It uses much less power than mining, and according to experts, it will strengthen the protocol's sustainability and security.
<h2>Ethereum (ETH) Launch In 2014</h2>
<a href="https://www.forbes.com/profile/vitalik-buterin/?sh=5020b35275dd" target="_blank" rel="nofollow noopener">Vitalik Buterin</a> created Ethereum while he was just 19 years old. In Miami, during the North American Bitcoin Conference in January 2014, he introduced Ethereum. Since its launch, Ethereum has experienced exponential growth and now ranks second only to Bitcoin in market capitalization, making up 18% of the entire cryptocurrency market.

Users could mine ETH and run smart contracts thanks to Ethereum's first phase, Frontier, which had two key goals.

Ethereum has continuously offered improvements in stages since its introduction. The phases that Ethereum went through to launch <a href="https://www.cryptoknowmics.com/news/ethereum-2-0-the-future-of-ethereum/" target="_blank" rel="noopener">Ethereum 2.0</a> realistically were Homestead, Metropolis, Byzantine, Constantinople, Serenity, and now Merge.

A Successful Proof-of-Stake Merge For Ethereum, Experts Praise

The largest-ever Proof-of-Stake upgrade to Ethereum, called The Merge, successfully went into effect. Experts hail it as a game changer for the industry.

Usha is a diehard crypto enthusiast and has been actively writing on different facets of the blockchain and crypto world. She has authored many research articles on cryptocurrency and aims to provide informational and quality content to readers. She firmly believes that crypto has a great potential to redefine the world of finance and blockchain.

A Successful Proof-of-Stake Merge For Ethereum, Experts Praise

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