Demeester stressed that this timeline was chosen to demonstrate the long-term effects of Ethereum’s (ETH) migration to the proof-of-stake (PoS) consensus.
He recalled that Ethereum (ETH) managed to replace PoW with PoS 18 months ago, in mid-September 2022. After this game-changing upgrade was activated, Bitcoin (BTC) became the only major cryptocurrency leveraging the proof-of-work (PoW) consensus.
As covered by U.Today previously, Ethereum (ETH) founder Vitalik Buterin called its now-deprecated proof-of-work version too vulnerable to centralization.
Buterin recalled that PoW always was nothing but a “temporary stage” before migration to proof of stake, which replaced mining with staking as a way to secure blockchain consensus.
As of now, Ethereum’s (ETH) proof-of-stake (PoS) ecosystem features more than 1 million active validators, U.Today reported in April.
Followers of Demeester indicated that this metric can be different should we zoom out. For instance, on a 10-year time frame, it would demonstrate 76,000% growth instead of a 36.4% decrease.
However, veteran trader Peter Brandt noticed that in three years, ETH/BTC might be 57% down, according to Demeester’s model.
This article was originally published on U.Today
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