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Ethereum 2.0 at a Glance

By Rafał - 2020-03-10

Ethereum has enjoyed a decent reputation in the last couple of years. However, since the network is quite overwhelmed with users and transactions, its network’s scalability and efficiency are severely affected. Therefore, the development team has planned to roll out its next iteration, called Ethereum 2.0, which aims to solve an array of native problems.
Just to set the perspective here, Ethereum 2.0 will be released in 2020. However, the exact date remains undecided for now. But it is worth mentioning that the core aim of this release would is to get the network out of the issues concerning scalability, security, and efficiency while ensuring the overall decentralization.
The following are the major upgrades to expect in the latest version of Ethereum:
  • Beacon Chain: it happens to run on the PoS algorithm and thus, acts as an economical alternative to PoW. However, the team does not plan to replace PoW with PoS instantly. In fact, in the beginning, both of these protocols will run in parallel.
The main objective of here is to determine and maintain the validators for confirming every transaction. With the latest upgrade, validators would now have to stake 32 ETH for reaching the minimum eligibility criteria. Moreover, there is also a procedure in place that randomly selects 120 validators responsible for vetting the validators to be considered.
  • Sharding: Until now, people had to use 3rd parties for sharding on Ethereum. However, this will be introduced as a native feature in Ethereum 2.0, allowing scalability of transactions and facilitating the network to execute more transactions in a given time.
Basically, it would enable the network to split its storage into many 'shards,' and each of them will have its own verified chain of transactions. Therefore, every 'sub-network' can process its cluster of transactions, and once they are approved and registered, the data from each 'sub-chain' can be transmitted to the main chain.
  • eWASM: This is the latest EVM where sharding and beacon chain will be hosted. Basically, all of the current and forthcoming upgrades will be integrated and run on this machine.
Essentially, Ethereum was meant to be a World computer. However, the current architecture of its Virtual Machine is one of the core limiting factors. This advanced EVM nests an array of hardware capabilities, currently available on isolated systems. Thus, Ethereum 2.0 will be able to facilitate the latest use cases and enhance the throughput of the network as well.
You must have realized how important this upgrade happens to be for overhauling the network. Therefore, in order to avoid any bottleneck situation, the developers have decided to release Ethereum 2.0 in phases.
Problems revolving around PoS, scalability, and sharding have brought down Ethereum as a whole in the last 1-3 years. However, if Ethereum 2.0 manages to battle all of these challenges, then it would indeed restore an even better prestige for the network. As a result, Ethereum will be positioned as the only major platform in the crypto niche with an ability to work around smart contract computing.