Excitement about the upcoming upgrade of Ethereum (ETH) The Merge, which involves the merge of two blockchains, the Mainnet Ethereum and the Beacon Chain, has unknowingly sparked a community-wide buzz.
This is the most significant upgrade in the history of Ethereum, and it marks the end of it. proof-of-work (PoW) for the Ethereum blockchain, however, there are still five misconceptions about upgrades:
Misunderstanding #1: Ethereum’s GAS Fees Decrease After Merge
Ethereum’s upcoming upgrade will reduce Ethereum’s aching and expensive GAS fees (transaction fees). It is one of the biggest misconceptions among investors. As it is a wishlist of all investors, The Merge is a transformation of the Ethereum blockchain mechanism from PoW to proof-of-stake (PoS).
Reducing GAS fees on Ethereum will require expanding network capacity and throughput. which the developer community is working onethereum roll-up roadmap to make the transaction cheaper
Misconception 2: Ethereum transactions are faster after Merge
Ethereum transactions won’t be noticeably faster. However, there is some truth to this rumor, as the Beacon Chain allows validators to publish a block every 12 seconds, which on Mainnet takes about 13.3 seconds.
Meanwhile, Ethereum developers believe that the switch to PoS will increase block production by about 10%.
Misconception 3: The Merge This will result in the Ethereum blockchain crashing.
There is a misconception that planned upgrades will soon cause the Ethereum blockchain to crash, but developers expect no downtime. This is because it is a switch from building blocks using PoW to building using PoS.
Misconception 4: Investors will be able to withdraw ETH at stake Got it after The Merge
Staked ETH (stETH), a cryptocurrency backed 1:1 by ETH, is now locked to the Beacon Chain. Although users are keen to withdraw their stETH, the developer community has confirmed this upgrade. still can’t do
The withdrawal of stETH holdings will be made during the next major upgrade after The Merge, known as the Shanghai upgrade. As a result, the asset will remain locked and illiquid for at least 6-12 months after. the merge
Misconception 5: Validators ETH rewards cannot be withdrawn until Shanghai upgrade
While stETH is still blocked for investors Until withdrawal resumes after the Shangai upgrade, validators will have immediate access to the fee reward and maximal extractable value (MEV) received during block proposals from the execution layer or Ethereum Mainnet.
This is because the fee compensation will not be a newly issued token. So it’s ready for Validators to use right away.
Mihailo Bjelic, co-founder of Polygon, said that zkEVM Rollups, a new scalable solution for Ethereum, will allow the snippet protocol to overtake Visa in terms of transaction volume.