What Are the Next Updates on the Ethereum Blockchain?

Ethereum’s most recent update is the Ethereum 2.0 update, which includes the switching from the Proof of Work algorithm to Proof of Stake. And that has brought so much improvement to the network. Nevertheless, many investors and crypto enthusiasts are still asking what the next updates on the Ethereum blockchain would be. Let’s look at that in this post.

A Closer Look at the Ethereum Blockchain and Its Use Cases?

The Ethereum blockchain is a decentralized platform that enables smart contracts and Distributed Applications (ĐApps) to be built and run without any downtime, fraud, control, or interference from a third party.

Ethereum has a wide variety of use cases that can be used in many different industries and applications. Here are some of the most common:

You could use a smart contract to buy a house from someone without having to pay them directly. Instead, you would send funds via an Ethereum transaction which triggers the sale and release of title deeds once certain conditions have been met (e.g., closing date).

This makes them ideal for crowdfunding campaigns like Kickstarter where backers receive tokens instead of physical goods like T-shirts or books because they trust not only being able to sell them later if necessary but also being able to trade with other token holders who may own something else valuable like art pieces or cars!

Ethereum 2.0; the Newest Update on the Ethereum Blockchain

Ethereum 2.0 is a new version of Ethereum’s blockchain platform. It will introduce a series of innovations based on cutting-edge research into consensus protocols, scalability, and privacy.

This new Ethereum major update aims to solve some of the biggest issues with the current version of Ethereum. The main problem that Ethereum 2.0 aims to fix is scalability: the ability to handle large numbers of transactions in a short amount of time.

Currently, Ethereum’s blockchain can only process around 15 transactions per second. That’s not enough to support a global economy built on top of it – it would take over 100 days for all of these transactions to clear!

Ethereum 2.0 fixes this problem by moving from “proof-of-work” (PoW) to “proof-of-stake” (PoS). Proof-of-work means that users must “work” to process their transactions – in this case, by spending electricity and computational power on them. Proof-of-stake means that users will be able to earn rewards by holding tokens in their wallets without having to do any work at all!

In addition, Ethereum 2.0 will allow for private transactions between individual users and also provide greater privacy for smart contracts than is available now.

Ethereum 2.0 in Three Different Phases

The Ethereum 2.0 upgrade is a huge work, so it is divided into three different small phases to make things a lot easier. The three phases/stages are the Beacon chain, the merge, and the shard chain. Let’s see what is comprised in each of these phases.

#1: The Beacon Chain

The beacon chain is the base layer of Ethereum 2.0 and contains all state transitions that occur in the network. It also serves as a reconciliation layer for cross-shard communication and acts as an anchor point for other shards to sync with. The beacon chain is responsible for validating blocks and managing these validators’ rewards.

#2: The Merge

The merge phase is where the Ethereum 2.0 blockchain will be able to scale to potentially billions of transactions per second (TPS). To achieve this, Ethereum 2.0 will introduce two new types of accounts: external accounts and contract accounts (which are similar to regular smart contracts).

External accounts can only send value to other external accounts or contract accounts (no ETH can be sent from one external account to another), while contract accounts can send ETH to any address on the blockchain—including both external accounts and other contract accounts.

#3: The Sharding Chain

In sharding, nodes will store only a portion of the entire blockchain’s state and transaction history instead of storing everything at once. This means that nodes only need to process queries about their own portion of data without needing access.

Is There Any Update Next After ETH 2.0?

Well, the ETH 2.0 upgrade was initially scheduled to be complete in 2020. But the process has suffered a lot of setbacks that have made the earlier schedule fail. The project is now scheduled to launch in December 2023.

For many investors and crypto enthusiasts that have been asking if there is going to be ETH 3.0 after the launch of the ETH 2.0 upgrade, there is no specific declaration about that. Buterin, the founder of the Ethereum blockchain earlier announced the time the ETH 2.0 will be complere, and he never mentioned anything about having any next update after the 2.0 update.

However, there are lots of goodies packaged in the ETH 2.0 that makes it worth waiting for. It will come with lots of changes to the network and how it’s used.

Conclusion

The Ethereum blockchain is one of the most popular and widely used blockchains in the world. It has a lot of potentials, and it’s only going to get better with time. However, there are some issues that need addressing before we can see this technology being used on a larger scale. For example, data privacy is something that needs to be taken care of so users can feel safe when using applications built on top of it.

Another important thing would be scalability since there will always be more transactions taking place than the current systems can handle efficiently enough without slowing down considerably over time or costing too much money per transaction fee charged by third parties. All these are said to be addressed in the coming Ethereum 2.0 update.

However, for some investors asking what the next update would be after ETH 2.0, there is no official statement yet concerning whether to expect ETH 3.0 or not. But the coming ETH 2.0 is sure loaded with lots of benefits for the community.