How does the eth2 merge affect the mining process of Ethereum?

1 answers

• Nov 27, 2021 · 3 years ago
  The eth2 merge is a major milestone for Ethereum and will fundamentally change the mining process. With the shift from proof-of-work to proof-of-stake, miners will no longer play a direct role in securing the network and validating transactions. Instead, validators will be responsible for these tasks. This change will have several implications for miners. Firstly, they will no longer receive block rewards for mining new Ether. Instead, they can participate in staking by locking up their Ether as collateral and earn rewards through transaction fees. Secondly, the hardware requirements for mining will become obsolete, as proof-of-stake does not rely on computational power. Lastly, the eth2 merge will likely lead to increased competition among validators, as the number of available slots for validators will be limited. Overall, the eth2 merge will reshape the mining landscape of Ethereum and require miners to adapt to the new proof-of-stake consensus mechanism.
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