What is Ethereum 2.0?
Ethereum 2.0, often referred to as ETH 2.0 or Serenity, is a significant upgrade to the Ethereum blockchain. Designed to address pressing issues like scalability, security, and energy efficiency, Ethereum 2.0 introduces a new consensus mechanism called Proof of Stake (PoS), replacing the energy-intensive Proof of Work (PoW) model. This transition aims to enhance the overall performance and sustainability of the network.
One of the key features of Ethereum 2.0 is its shard chains, which allow the network to process transactions in parallel, significantly increasing transaction throughput. This is a substantial improvement over the current Ethereum mainnet, which can handle only about 15 transactions per second. With sharding, Ethereum 2.0 aims to support thousands of transactions per second, making it suitable for widespread decentralized applications (dApps).
The upgrade is being implemented in multiple phases. Phase 0, which launched in December 2020, introduced the Beacon Chain, essential for managing the PoS protocol. Subsequent phases will incorporate shard chains and transition the entire Ethereum ecosystem to PoS, enhancing the network's efficiency and scalability. Ethereans and developers eagerly await full rollout, which promises a more robust platform for innovative solutions.