Ethereum 2.0 is the next phase of development of the currently available Ethereum public mainnet. The consensus mechanism available for the current Ethereum has many restrictions and serenity (Ethereum 2.0) is introduced to overcome and change the consensus mechanism.
The new version will be released phase by phase and each phase will improve the functionality and performance of the Ethereum. How? This is a valid question and I know you will be eagerly waiting to know about it.
An overview of Ethereum 2.0 (Serenity)
Ethereum 2.0, also known as Serenity is an updated version of Ethereum 1.0. This was introduced to overcome all the demerits of the currently available version of Ethereum. As said above, the new version will be introducing within different phases.
Among that, the phase is phase 0. In this phase, the initial evolution of the updated network will launch and enables the proof of the stake mechanism instead of proof of the working mechanism.
During this phase, the ETH holders who are interested in staking will be able to do so. Those who are not interested in staking, however, the upcoming launch of Ethereum 2.0 will not significantly impact their interactions with blockchain dapps, exchanges, or services.
What is the difference between Ethereum 1.0 and Ethereum 2.0?
There two main differences between Ethereum 1.0 and its updated version Ethereum 2.0. Here are them. Check it out.
- Consensus mechanism: The first and most important difference between two versions of Ethereum is its consensus mechanism. Ethereum 1.0 follows the proof of work mechanism which has many restrictions on the blockchain platform. Ethereum 2.0 overcomes those restrictions by introducing a more reliable and convenient proof of stake mechanism. This update provides features like improved security, scalability, and energy efficiency for the Ethereum platform. The proof of work mechanism depends on physical miners and electricity. Instead of that, proof of stake relies on virtual miners and depositors.
- Scalability mechanism: Current version of Ethereum has a single chain made up of consecutive blocks. This scalability mechanism is secure and easy to verify. But requiring each full node to process and validate each transaction in consecutive blocks can affect the ability to process transactions quickly. Thus the updated version introduces a new scalability mechanism that accelerates the performance of the Ethereum platform known as Shard Chains. This mechanism divides the data processing responsibility among many nodes and allows transactions to be processed parallelly.
The consensus mechanism will be updated in phase 0 and the scalability mechanism in phase 1. The primary benefits due to these updations are increased scalability, throughput, and security.
There are hundreds of people behind this launch of the new version and they were led and coordinated by the Ethereum Foundation and research team, but many other research and implementation teams are also making substantial contributions.