Ethereum Breaks 200,000 Validators Milestone, Over $14 Billion Now Staked In ETH 2.0

Ethereum network continues to record increasing support as launch draws nearer with each passing day. The Ethereum network has now successfully crossed 200,000 validators running ahead of the ETH 2.0 launch and counting. The amount of staked ETH now stands at over 6.6 million coins staked, totally over $14 billion worth of ETH currently staked in the network.

Over 20,000 validators were added to the network in the span of a month, taking the validators number from 180,000 to over 200,000. With this has come an increasing number of ETH staked on the network. More and more investors continue to stake their coins in anticipation of the upgrade to ETH 2.0, which will come bearing rewards for the validators.

The amount of staked ETH now totals over 5% of the entire circulating supply of ETH. With a current annual APY of 6.1% on staked ETH on the Ethereum network.

Move To Proof Of Stake

The move of the Ethereum network from proof of work to proof of stake has been a hot topic in the crypto space since the project was announced. Although the project continues to require more time to complete than was initially speculated by Ethereum CEO Vitalik Buterin. The move has had numerous delays, most of which are attributed to personnel working on the upgrade and not technical problems, according to the CEO.

Ethereum still currently operates on a proof of work mechanism, but the move to proof of stake would see the network requiring less electricity to mine coins and making the hassle of mining much less than it currently is.

Recently, the EIP-3675 was formalized as an improvement proposal, which sets the stage for “The Merge.” This comes just before the scheduled London Hard Fork that is meant to take place about a week from now on August 4th. The hard fork will see gas fees being burned as the current system is switched out for a new and better one.

More validators are expected to hop onto the Ethereum network. And as the amount of ETH mined in each block is reduced due to the fee burn structure of the ETH 2.0 upgrade, the amount of forecasted circulating ETH will be less. Hence the new deflationary nature of the network will introduce scarcity, thereby increasing the value of the coins mined.

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