Blockchain Bites: Ethereum Power Users, Composability Questions, Staking Solutions

Oct 14, 2020 at 16:37 UTCUpdated Oct 14, 2020 at 18:03 UTC.Invest: ethereum economy, a full day of conversation, workshopping and networking around the future of money, is streaming live today until 6:30 p.m. ET.Today's special edition of Blockchain Bites is covering all the news you need to know from invest, as well as the Top Shelf crypto news from elsewhere in the crypto-verse.

Power usersIn the face of Ethereum's recent rocketing transaction fees, Vitalik Buterin called for users to move over to scaling solutions that are "Already here for many classes of applications." Speaking at the opening keynote of invest: ethereum economy virtual conference, Buterin reiterated his enthusiasm for so-called layer 2 scaling solutions such as "Rollups," which essentially keep transaction data on-chain while pushing the computational load off the chain.

Staking solutionBlox, a non-custodial Ethereum 2.0 staking platform, is developing a solution that will allow users to pool their ether cryptocurrency to get past the threshold required for staking when the upgraded network goes live.

Blox's solution, built alongside the Ethereum Foundation, utilized "Secret shared validator" nodes to allow users to aggregate their ETH and reach the required 32 ETH to stake on the network.

Composability questionsWill composability work as well on Ethereum 2.0 as it does now on the original version of the world computer? The ease of composability is running up against the reality of Ethereum's throughput capacity, CoinDesk's Brady Dale reports.

A blockchain with the size and value of Ethereum has never transitioned users and assets to a completely new network while the previous version continues running.

Once testing for Ethereum 2.0 is complete, a validator deposit contract will be created on ethereum.

Ethereum 2.0 uses a sliding scale for staking rewards.

Ethereum 2.0 requires many servers, significant technical resources to ensure all those servers are always available and secure, and funds that will not be liquid until Ethereum 2.0 reaches phase 1, which could be years away.

It is a simple but important fact: once ETH is transferred to the Ethereum 2.0 network, it cannot be transferred back to the original Ethereum blockchain.