After the “merge”, it is likely that, in the medium term, the capitalization of Ethereum will exceed that of Bitcoin.
Does this mean that an Ethereum is going to be worth more than Bitcoin? No, but the total of Ethereum available in the market will be worth more than the total of Bitcoin and that Ethereum would become the first currency in capitalization.
What is Ethereum?
The Ethereum cryptocurrency is one of the largest cryptocurrency projects in the industry. It is a digital platform that is based on blockchain or block chain technology and its objective is to become a blockchain capable of running decentralized applications (dApps)
To achieve this, this project has a blockchain and a cryptocurrency with unique characteristics. Among them, the ability to create smart contracts and new tokens. Both powerful features, which allow it to position itself as one of the most complete and useful blockchains in the crypto world.
What is the “merge”?
Today, September 15, the “merge” will take place, which is neither more nor less than a change in the method of issuing and validating transactions within the database used by Ethereum. Which implies a significant and revolutionary change.
From now on, new Ethereum will no longer be generated through the layer originally created and known as POW (Proof of work) and will be generated through the POS layer (Proof of stake). Then, the “merger” occurs where layer 1, which is the one we currently know and the one used by miners to generate new Ethereum, merges with the Beacon Chain.
With this improvement, Ethereum seeks to eliminate video cards to process transactions and thus reduce electricity consumption by 99% and in the future, allow new updates that generate greater security and scalability.
By Norberto Giudici – @Criptonorber
Source: Ambito
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