Change is coming
The new Ethereum consensus is getting closer and closer! Is Proof of Stake the future of green and functional Blockchain?
Let's start with the fact that Blockchain as a technology is constantly being improved, and more arguments are being knocked out of the hands of skeptics. Blockchain not environmentally friendly? Blockchain inefficient? Not true. This is a thing of the past. New solutions are on the horizon that improve the network in unprecedented ways.
The beginnings are difficult. Blockchain has already met many challenges on its way, and there are many more to come. Today, we already know that there are solutions that can guarantee eco-friendliness, functionality and scalability of the entire network. The question is no longer whether we will find a solution, but what solution to use to make our network as optimal as possible. We are currently moving towards an ecological, fast and functional Blockchain.
Consensus of the Blockchain determines who can create new blocks and who validates the operations performed. The first was Proof of Work. Here the computing power required to create new blocks was not yet optimized. The search began for a new consensus that would not change the essence of the entire network, but could work in a more efficient and cost-effective way. This is how Proof of Stake was created. A deflationary consensus that uses a system of validators based on ether ownership. Any node that has a minimum of 32 ether in its portfolio can become a network validator. In this way, validation is done in an energy-efficient way and without wasting energy. It is worth noting that the energy used to power the blockchain network is increasingly coming from renewable sources.
There remains the question of performance and capacity. In this regard, Blockchain is also constantly evolving. Solutions such as zkEVM Rollups are appearing in front of us, which will allow huge scalability and, in prospect, surpass the capacity of the world's largest VISA transaction network. The principle itself is quite simple - the protocol combines several transactions into one and transmits it to the network as one. While simple, this will be a key development that could guarantee wider adoption of the technology.
As Milton Friedman said in 1991 - "I would like money to be controlled by a computer" Why? Full independence. No inflation. No central banks or manipulation. This is an opportunity for a free market and a free economy. Today we see that we are getting closer to this dream.