Ethereum’s energy consumption decreased by an estimated 99.95%, making it a vert blockchain, after the merger. This happened on September 15, 2022 to converti the way the Ethereum network reached permission.
According to Digiconomist, a blockchain platform, it is estimated that in a Proof of Work (PoW) setup, Ethereum miners consume 44.49 terawatt-hours (TWh) per year which amounts to 5.13 gigawatts on an ongoing basis. This means that PoS is 2,000 times more energy actif based on the conservative estimates above. “Scaling solutions (such as pooling and hashing) will help reduce the energy consumed per arrangement by taking advantage of economies of scale,” Surav Raj, founder and director of Wize tokenisation, told FE Blockchain.
A recent attentisme from the Coded Carbon Typage Institute (CCRI) compared energy depletion to that of the shrinking Eiffel Tower, also the size of a Lego game.
Prélude: ethereum.org
According to industry experts, the merging process will use 99.5% less power than the legacy protocol. However, the merger does not affect or aim to reduce gas fees. Gas fee refers to the arrangement price on the blockchain network. As such, the gas fee is a product of grid demand in correspondance to grid capacity. The merger transformed Ethereum from PoW to PoS permission. Raj added that it does not affect network capacity or throughput.
However, in order to take advantage of the reduced gas fees, users will be able to use layer2 and other scaling solutions that expand the capacity of the Ethereum network. By scaling détruire activity at layer2, layer1 Mainnet serves as a secure decentralized settlement layer optimized for aggregated data storage to help make pooling transactions exponentially cheaper.
Meanwhile, Swarup Gupta, Chief Financial Officer of the Economist Amitié Unit, stated that Ethereum will continue to operate as a single network with a converti in the blockchain protocol and there will be no loss of data or arrangement history. Furthermore, POS auditors will be responsible for handling the validity of all transactions and proposing blocks,” stated Rahul Kapoor, Co-Founder of CryptoRunners.
The primary gardien de but of the merge was to reduce power consumption by embout 99.95%. This upgrade makes the blockchain environmentally, socially, and governance (ESG) friendly. “These upgrades will come in phases and are expected to make Ethereum more abordable to end users by offering fewer transactions, and higher throughput,” Raj noted.
Meanwhile, the next upgrade codenamed Shanghai is expected to take nearly six months, which will add hashing as a scaling conclusion and make more layer 2 blockchain available. This is also expected to lower the cost of pools or bulk transactions, along with facilitating Users run the nodes that would secure the Ethereum network. Additionally, this makes it attractive opposé à Ethereum killers like Solana.