The
first step of Ethereum 2.0 took place on December 1, and the Beacon chain is actively working with 21,359 validators. The fact that there is also interest from institutions in the
Proof Of Stake
way and that they will receive their investments when ethereum 2.0 is fully active shows that there is trust in this cryptocurrency. In Ethereum, the stake reward is currently around 18.8%. As the number of validators increases, this rate will decrease. However, it is expected to be the lowest 15%. But are investors only investing for this reward? Actually, the answer to that is very clearly no. As with all cryptocurrencies, ethereum is volatile, which means it has high price volatility. Therefore, for a risky investment, we can expect institutions to find a 15 percent return low. There is a mutual value here. As the Ethereum stake amount increases, it will be reflected in these prices. Besides, it will be more scalable with ethereum 2.0.
Ethereum is now the infrastructure of many tokens. With decentralized financial applications built on it, its value has increased a lot in recent months. However, here ethereum encountered some problems. As the projects built on it increased, the number of transfers increased, which led to an increase in transaction realization times and costs. Undoubtedly, the use of ethereum will be valued more and more. But its existing infrastructure can’t handle it and can’t scale. This is actually known in the cryptocurrency world. On top of that, many
blockchain
and cryptocurrency systems were built and they called themselves ethereum killers. Although there are much more advanced systems and platforms than Ethereum, the developers have not given up on Ethereum and have continued to develop applications on it. Now the development of ethereum 2.0 has become inevitable. On December 1, the first step of scalable ethereum 2.0 was taken. If this development is successful, we can say that a groundbreaking page will be opened for both the crypto money ecosystem and ethereum. Institutions are investing in this development, that is, the potential of ethereum. If Ethereum succeeds in 3 phases, it can try new attacks and records in each phase.
According to bitcoin, which has recently realized its all-time high value, ethereum’s record in 2018 is far from $ 1485. The increase in Ethereum’s supply since then can be cited as a reason for this, but it does not seem to have caught up with its market value. For this, these levels can be talked about again with the realization of the 2.0 falzar in Ethereum. However, there are two main factors independent of ethereum that will affect this. The first is the value of the flagship cryptocurrency bitcoin. Second, the impact of macro developments will be monitored in 2020 and the impact and extent of possible regulatory decisions will be significant. The increase in the interest of individual and institutional investors in Bitcoin will reflect positively on prices. However, 3 main factors affecting the value of a cryptocurrency will apply to ethereum; have an active developer team, an active community, and active breaking news. Ethereum is one of the crypto coins with high potential in crypto coins with large volume. Despite the increased supply for 2021, etherum has the potential to break an all-time record.
