The blockchain technology has been around ever since the first cryptocurrency was launched into the system. Whether it is crypto such as Bitcoin, a stablecoin such as USDT, or NFTs, all of them run on blockchain.
The reason why the blockchain technology was introduced for the cryptocurrency industry is because it offers decentralization. This means that no one is required to share the personal or financial information when interacting with the platforms.
Another major use of the blockchain technology is that it does not require a particular network. Instead, it is available throughout the world for everyone who has the capacity to download and run it.
As the blockchain technology is mainly powered by the nodes and validators, it has a tremendous capacity. Therefore, an enormous amount of data can flow through the exchanges.
The data can either be digital content, transactions, or any other activity that may involve scripts or applications.
The Blockchain that Revolutionized the Crypto-Verse
Although the blockchain technology was introduced alongside Bitcoin, but anyone interacting with blockchains in the present time would find it to be dull.
The Bitcoin blockchain only offered users the ability to send, receive, and mine Bitcoin. However, the blockchain technology was revolutionized with the launch of the Ethereum blockchain.
It not only allowed the users to interact with the native token of the blockchain ‘Ether – ETH’ but also allowed the users to do much more than that.
Using the exchange, the users would be able to launch new cryptocurrencies and even launch their own decentralized applications (DApps).
Most importantly, the users were able to carry out crypto mining just like they could do it on the Bitcoin blockchain.
The Ethereum blockchain made things very interesting and competitive for people and thus, the future of cryptocurrencies and the blockchain technology was secured.
Troubles Faced by Ethereum Blockchain
Over time, more blockchain networks have been introduced and so far, thousands of blockchains are in play. However, only a handful of blockchains are able to live up to the standards that the Ethereum blockchain has set.
At one point, the Ethereum blockchain was witnessing the highest influx in terms of trading volume and transactions but things took a bad turn in 2020.
In 2020, as the cryptocurrency industry gained mainstream recognition, hundreds of millions of users joined the industry.
A huge chunk of these users came to the Ethereum blockchain, which eventually tested the limit of the network. The network started to face issues involving scalability, latency, and even high transaction (gas) fees.
Ethereum Founder Addressed the Crisis
Fearing that the blockchain would lose its strong following, the founder of the Ethereum blockchain Vitalik Buterin announced the development of the Merge.
It was claimed that the Merge would help fix all the issues and concerns raised by the users that they faced using the blockchain.
However, there was an upsetting news for the Ethereum mining community. It was revealed that the mining would become non-existent for Ethereum as the Merge takes place.
The developers revealed that Ethereum had been running on the proof-of-work consensus ever since it was launched. However, the Merge would upgrade the network’s consensus to proof-of-stake.
This would mean that the people will not be able to mine ETH. Instead, the users will have to buy Ether and whoever holds the highest amount, would be the one holding the highest stake in the network.
Ethereum Cannot be Mined
Finally, the day came when the Ethereum upgrade “Merge” was impelemented in September 2022. It eventually changed the consensus as it was claimed to do in the first place.
Now, Ethereum cannot be mined and as a result, it has started losing its attraction and demand in the market.
On the other hand, cryptocurrencies such as Ethereum Classic, Litecoin, Ravencoin, and many more are gaining the attention among the crypto miners. There is a high chance that soon, Ethereum may lose its market valuation to a point where it loses its spot as the second largest crypto in the entire crypto-verse.