In September 2022, the much-anticipated (and repeatedly delayed) Ethereum Merge was realized. The shift from a proof-of-work to a proof-of-stake mechanism is slated to come with multiple benefits, from significantly reduced energy consumption to far higher total transactions per second to lower transaction fees (aka “gas” prices).
The Merge may well address the most prominent concerns that have been keeping companies and users out of crypto. For companies and users already established in the industry, knowing what’s to come can place them ahead of the game and ready them for the accompanying rise in business. Below, 10 members of Cointelegraph Innovation Circle discuss the ways they believe the ETH Merge will change the crypto industry for good.
Blockchains will have bigger technical ambitions
The best thing companies and developers can do in light of the Merge is to keep building. If it happens smoothly, it will be a testament to the efficiency and scalability of blockchain technology and the developers involved. Proving that a network can go through a massive upgrade while still functioning will encourage other blockchains to think big in terms of their technical ambition. – Matt Dyer, Zilliqa Research Pte Ltd.
There will be benefits to becoming part of the staking system
The most obvious feature is around staking and being a part of the validating infrastructure that is a key part of the proof-of-stake consensus mechanism. Doing this by either directly running your own validators, running staking infrastructure or being a part of a staking pool are all the opportunities that it makes sense to be a part of. – Rob Dawson, ConsenSys
More companies will start adopting crypto
Ethereum’s change to PoS will slash global energy consumption drastically, encouraging companies to adopt crypto in their business affairs. With the reduced gas cost of smart contract deployment, users can start using the network to build something. PoS will allow more users to access it. By increasing the staking nodes, developers can operate in the network more efficiently. – Dev Sharma, Blockwiz Solutions Limited
Some DApps may become more affordable
The ETH Merge will substantially reduce the gas cost per transaction, so many decentralized applications that were previously prohibitively expensive to use due to gas prices, such as Uniswap, may now once again become more reasonable to use. – Arie Trouw, XYO
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More brands may explore NFTs
I am excited about the ETH Merge because proof-of-stake will drastically reduce the amount of energy that will be consumed. I think this should encourage many more brands to create their own nonfungible tokens and Web3 projects, since this development tackles the biggest criticism of NFTs to date. – Billy Huang, Insomnia Labs
Web3 builders will have a more efficient and stable foundation to build on
Web3 developers, in particular, stand to benefit from the Ethereum Merge. I think that many in the space agree that increased efficiency and security will accelerate Web3 development. Builders will have a more efficient and stable foundation to build upon as Ethereum switches from proof-of-work to proof-of-stake. – Sheraz Ahmed, STORM Partners
Web3 builders will be able to showcase their more sustainable solutions
If you’re building Web3 solutions, you can take advantage of the Merge by understanding how your efficiency has been increased and how your carbon footprint has been reduced. To those who have been building on ETH or are migrating to it, make sure to look into the data of the solutions you’re deploying and how it impacts user response. Showcasing crypto adoption in a sustainable way is a win-win for all. – Yaoqi Jia, AltLayer
Both users and developers will benefit from energy and security improvements
Users and developers alike can take advantage of the Merge’s reduced energy requirements, since transaction validation is no longer competitively done and its security is augmented by game theoretics of the staked amount of Ethereum. With the reduced gas cost for deployment and execution of smart contracts, both parties should start building and experimenting on the network for optimal results. – Jae Yang, Tacen
A new source of income will arise
Following the Merge, Ethereum will finally go proof-of-stake, which provides not only the ability to reduce energy consumption but also a potential source of income. No longer will you have to invest in expensive graphics cards and energy; you’ll spin up a node on a server and stake your assets, providing a healthy source of revenue for you or your project. – Rupert Barksfield, Amulet
Platforms offering guidance for users will garner goodwill
With ETH poised to see negative inflation and become even more amenable to staking following Merge upgrades, making sure market participants feel supported and informed throughout this flux period is crucial to maintaining confidence in the network. Platforms that offer guidance to users of all skill levels to engage with a fully PoS Ethereum network will be remembered for their stewardship. – Oleksandr Lutskevych, CEX.IO
This article was published through Cointelegraph Innovation Circle, a vetted organization of senior executives and experts in the blockchain technology industry who are building the future through the power of connections, collaboration and thought leadership. Opinions expressed do not necessarily reflect those of Cointelegraph.