As the Sepolia testnet merge proves successful, Ethereum is one step closer to the final merge. Ethereum’s long-awaited transition from proof-of-work to proof-of-stake is getting closer every day. Sepolia testnet has completed its merger and today switched to proof-of-stake.
The testnet emerges as an important test before launching on the final mainnet. This is important to ensure the technology is flawless before its final launch on the main network.
Ethereum awaits the long-awaited transition
The Ethereum blockchain is slowly progressing towards the transition from proof-of-work to proof-of-stake. The ETH network uses proof-of-work, similar to Bitcoin, where miners must solve complex problems to secure the network and validate transactions. The miners are also incentivized with the native token for the work they do.
This fusion of PoW to PoS will shift the whole way things happen. The transition will make the network cheaper, faster and more energy efficient. Proof-of-stake works differently than proof-of-work. Miners will be eliminated and instead of miners there will be validators. This is performed by validators that lock or disable ETH for the network to function.
The transition would have a deflationary effect on ETH as a large amount of ETH must be locked up for the network to function. So far, the tests have been successfully performed on the Ropsten and Sepolia testnet. A final test before the final merger is the Goerli testnet. After the successful completion, Ethereum will finally move to the proof-of-stake consensus.
The merge should have been completed much earlier, but the tests encountered several hurdles along the way that caused the delay. But the final merger should be successfully completed by the end of this year. This is a highly anticipated update from the ETH community.