Ethereum Merge

The Ethereum Merge is the most significant upgrade in the history of Ethereum. The Merge represents the Ethereum network’s transition from proof-of-work (PoW) to proof-of-stake (PoS) consensus mechanism.

  • The Merge is scheduled to take place around September 15, 2022.
  • The network will no longer be secured by miners but by stakers. To become a staker and earn rewards by validating the transactions, users need to deposit at least 32 ETH (~$50,000).
  • The Merge is expected to cut Ethereum’s energy usage by around 99.95%. The linked article argues that while the current proof-of-work mechanism consumes the energy equivalent of a medium-sized country, the new proof-of-stake mechanism will consume something on the order of a small town (around 2100 American homes).