Ethereum’s migration from Proof-of-Work to Proof-of-Stake is right around the corner and, according to analysts, could surpass Bitcoin as the next big thing as a cryptocurrency. Vivek Raman, an Ethereum researcher, said in an interview with Cointelegraph that ETH has a huge potential to flip Bitcoin just for its economic purpose.
Also known as The Merge, the highly anticipated transition from PoW to PoS would mean a massive reduction in energy consumption and the chance for everybody to harvest ETH without needing a high-powered PC. The Merge will happen sometime in September 2022.
A Game Changer in Blockchain
For years, the crypto community has discussed PoS and how Ethereum co-founder Vitalik Buterin can turn this speculation into reality. Raman stated that this move would lower ETH’s inflation than Bitcoin, thanks to significant fee burns. Every time a halving occurs, inflation will decrease. This means ETH could topple BTC.
Raman also said that Bitcoin will always remain the digital gold, although Ethereum will set the bar for the decentralized finance economy.
The only problem that continues to linger is Ethereum’s controversial high transaction fees. This fee also stops Ethereum from scaling further, although it will settle on layer-2 scaling solutions for better security and decentralization.
Will September Signify the Bull Market?
2022 has not been kind to the world economy, even to cryptocurrency. With huge black swans, including the constant persecution of the SEC towards crypto, increased crypto taxes in the US, the Terra LUNA token’s collapse, and the Terra UST’s de-pegging, the market could use a break.
Everyone is eyeing The Merge as this could flip the market back into the green rally, with ETH having the most potential to carry the flag for altcoins and reduce Bitcoin’s influence on price action.