Goerli Testnet Is Ethereum’s Final Boss Before the Merge

The Merge will likely occur in mid-September, as long as the Goerli testnet successfully switches to proof-of-stake

article-image

Source: DALL·E

share

key takeaways

  • Two other Ethereum testnets have successfully moved from PoW to PoS
  • Staked rewards on Beacon Chain will remain locked until the Shanghai upgrade

Goerli, the third and final Ethereum testnet before the long-anticipated Merge, will likely switch to proof-of-stake within the next 24 hours. 

The testnet will officially make the switch once its total block difficulty hits 10,079,000, which developers expect to happen sometime before Friday.

The Merge is considered one of the most significant events in crypto history, as no blockchain with Ethereum’s level of influence and dominance has been through such a significant change.

Two prior testnets — Ropsten and Sepolia — have both successfully moved from a proof-of-work (PoW) to a proof-of-stake (PoS) system

Vance Spencer, co-founder at Framework Ventures, told Blockworks that if the Goerli testnet was to successfully move to PoS, it’s likely the Ethereum mainnet Merge would occur in mid-September. 

“There’s really expected to be no difficulties with this one [Goerli testnet],” Spencer said. “More than anything, they’re testing all of the current popular Ethereum testnets just out of an abundance of caution.”

Early Ethereum stakers months away from unlocking their crypto, at least

Staking is the process of locking cryptocurrency on a blockchain for a specific period to earn network rewards and contribute to the security of the network. Users who participate in staking are often called validators or stakers.

It’s important to note that even after the Merge, staked rewards generated thus far on the Beacon Chain will remain locked until the finalization of the Shanghai upgrade, planned to occur at least 6 to 12 months from now.

“The Shanghai upgrade is specifically designed to allow ETH withdrawals from the Beacon Chain,” Spencer said. “You will have the fluidity of being able to deposit and withdraw ethereum without having to wait.”

The Merge and Shanghai upgrade are very much the beginning of a longer roadmap for Ethereum, Spencer said.

After both complete, institutional investors may be more inclined to invest in the crypto space, according to Spencer. 

“Everyone wants an asset with cashflows,” he said. “The Merge will make it possible to underwrite ether based on its cashflows and growth rates, and that’s a huge positive — frankly, it’s what the space needs to mature and get into its next phase.”


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

HYATT REGENCY SALT LAKE CITY

TUES, OCT. 8, 2024

Guided by the expertise of Blockworks Research Analysts team, this one day event will feature senior leaders, entrepreneurs, and developers from across the crypto industry. Attendees will have the opportunity to participate in an immersive experience to explore the latest trends, […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

avaxcover.png

Research

The Avalanche Network is well on its way to becoming the best platform to build high-performance blockchains that can seamlessly interact with each other, and the strong focus on performant and scalable blockchains will likely be Avalanche’s competitive advantage.

article-image

The Department of Justice and Commodity Futures Trading Commission announced back-to-back lawsuits against KuCoin Tuesday

article-image

Judge Failla found that Coinbase didn’t operate as an unregistered broker in offering its wallet service

article-image

A fund by Laser Digital offers investors exposure to the Polygon network, while a new 21Shares ETP focuses on staking rewards from Toncoin

article-image

Sponsored

The TRON network’s integration into Dune brings a wealth of data and insights to the fingertips of users

article-image

A BTC futures fund offered by Hashdex and Tidal Investments has gotten regulatory clearance to hold bitcoin directly

article-image

At launch, Chain Signatures will be compatible with Bitcoin, Ethereum and Cosmos network chains, as well as DogeCoin and XRP Ledger