ETH 2.0 is among the most awaited crypto upgrades at the moment.

This upgrade which is expected to offer cheaper gas fees and better scalability to its network is much needed considering that demand has pushed these two factors to their brink. That is the reason why the company’s IT department has been working hard for more than two years to bring in this new era.

However, the name ETH 2.0 doesn’t seem to be doing justice to the major upgrades that are being carried out on the network. As a result, the Ethereum Foundation elected to retire that name in favor of a name that describes better the ongoing upgrades on the blockchain.

This crypto lists post will discuss what the rebrand involved, the reason for the name change as well as the effect of the name change on the price of ETH.

Ethereum 2.0 Has Been Rebranded to Consensus Layer

The company announced in a blog post on its website that it had decided to change the name of its incoming network upgrade from ETH 2.0 to Consensus Layer. The blog post stated the main objective of making a rebrand to the ETH 2.0 name was the need for terminology that reflected the changes being performed on the blockchain.

According to the developers, ETH 1.0 will now be known as the Execution Layer and ETH 2.0 will now be known as Consensus Layer.

This means that ETH 2.0, their current blockchain consensus that is renowned for its dependence on the Proof of Work (PoW) consensus mechanism, will be referred to as the Execution Layer. On the other hand, the much-awaited ETH 2.0 upgrade, which employs the Proof of Stake (PoS) consensus mechanism, will henceforth be referred to as the Consensus Layer.

Ethereum’s developers have been designing an upgrade to the present PoW consensus mechanism to make it compatible with the PoS chain. The process is predicted to be finished by June 2022.

When the PoS consensus mechanism is finally rolled out to the public, the company would not have to depend on the energy-intensive process of mining. Instead, validators will be assigned the role of verifying new crypto transactions by staking their ETH holdings.

Rating: 9.5/10
Supply: 118,780,000 / 200,000,000
Release date: August 1, 2014

Description: Read our review about Ether (ETH) with both positive and negative factors to consider. Learn more now!

Risk warning: Trading, buying or selling crypto currencies is extremely risky and not for everyone. Do not risk money that you could not afford to loose.

What is the Reason for the Change of Name?

According to the available information, the company elected to change the name to reduce the misconception and confusion linked to ETH 1.0 and ETH 2.0. An example of a misconception is where the network’s users intuitively think that Ethereum 1.0 comes first then ETH 2.0comes after. Or ETH 1.0 ceases to exist once ETH 2.0 arrives. None of these misconceptions are true because both the Execution Layer and the Consensus Layer will form the Ethereum blockchain.

The other reason why Ethereum opted for the name change was to prevent the number of scams from happening on the network. The company highlighted that several scammers seldom take advantage of the massive numbers of users to defraud unsuspecting people about the network.

Scammers usually trick individuals into believing that they have to upgrade from the present consensus mechanism to the ETH 2.0 upgrade. In many cases, this can create confusion for many users and often ends in users losing their funds.

Did the Name Change Have an Impact on the Price of ETH?

Ether announcing the name change did not have any meaningful impact on the altcoin’s value in the crypto marketplace. ETH had greatly suffered during the 2021 crash, having lost around 40% of its price value. Luckily, its price has been steadily increasing until now.

But this price change is still insignificant because Ether is a long way from attaining the $3,000 mark. This has prompted traders and investors to speculate that perhaps, the bear market is impending.

As for ETH 2.0, now Consensus Layer, it is not yet certain whether the scheduled merge with the Execution Layer will be carried out this year. So far, the project has experienced several delays as the developers encounter new challenges. But the crypto giants maintain that the upgrade is still on track.

by Our Certified Author
Ether Newsflash
    Is a BTC and ETH breakout on the cards this weekend?Is a BTC and ETH breakout on the cards this weekend?
    Saturday, 28 Jan 2023 9:44 am
    This past seven days has seen a relatively mild market, without many big ups or downs. Yesterday saw some small volatility, but nothing to write home about. Bitcoin (BTC) is hovering between $22,300 and $23,400 and Ether (ETH) between $1,550 to $1,650. However, many analysts on social media believe various factors are coalescing to produce either a sharp move up, or sharp move down over the next few days. If you'd like to test your market expertise, open a free account on Skilling today!

    52% of Ethereum addresses in profit in monthly high52% of Ethereum addresses in profit in monthly high
    Tuesday, 10 Jan 2023 3:43 pm
    Ethereum (ETH) enthusiasts will be enthused at the news that wallets on the world-renowned chain are in profit. Well, just over half at least, putting them at a monthly high when analyzing the past seven days of activity as performed by Glassnode. The ongoing success of the blockchain could be down to the merge, as well as the sheer number of great projects built and run on the network...
    Read the full newsflash

    Ethereum head honcho sends SOL skywardEthereum head honcho sends SOL skyward
    Friday, 30 Dec 2022 1:30 pm
    In a tweet posted yesterday as altcoins - and Solana (SOL) in particular - were falling, Ethereum's founder Vitalik Buterin sent the coin upwards. Speaking on Twitter, he said the developer community was strong, and that recent events might have helped as 'opportunistic money people have been washed out' of the project...
    Read the full newsflash

    Is an Ether bounce set to commence?Is an Ether bounce set to commence?
    Saturday, 24 Dec 2022 11:04 am
    With the market steadying out and not displaying as much volaility over the past month, some online experts are suggesting an Ethereum (ETH) bull run to $2000 might be on the cards. The catch? Bitcoin (BTC) - which still sets the pace of the market - would need to move upwards toward $30000... which seems highly unlikely. But, nothing is impossible in the crypto space. Want to hedge your bets? Sign up for now!...
    Read the full newsflash

    Paxful: The first exchange to remove ETH?Paxful: The first exchange to remove ETH?
    Wednesday, 21 Dec 2022 11:59 am
    While other crypto exchanges do not seem to consider any major risks with Ether (ETH), Paxful sent out an email to their customers today, saying that they removed the second biggest cryptocurrency from trading. Ray, the CEO of Paxful, clamp down on the switch from PoW to PoS, while claiming that ETH is not decentralised. The main reason that ETH thrives is because of tokenization, and...
    Read the full newsflash

New crypto casinos
Recent crypto sites
Recent crypto coins
Copyright © 2019-2022, by Crypto Lists Ltd ( Company name: Crypto Lists Limited. Address: 5 Upper Montagu Street, LONDON W1H 2AG, England.
Jump to top