Second only to Bitcoin, Ethereum is perhaps on its way to the future with the “merge” about to take place soon. Two things are expected to happen when it does. 1) Ethereum will move from Proof-of-Work to Proof-of-Stake. Ethereum currently relies on what’s known as proof of work, under which miners must complete complex puzzles to validate transactions. This process requires a huge amount of computer power and is often criticized due to its environmental impact. Which is why Tesla and Elon Musk stopped accepting Bitcoin as payment for its products. Ethereum’s power consumption is expected to be reduced by 99%. 2) “Following the merge, the amount of ETH issued is projected to drop by 90%, which would lead similar levels of fees to reduce Ether’s supply by as much as 5% a year,” blockchain analytics firm IntoTheBlock wrote in its newsletter. If demand increases as the supply declines, the price of Ether may rise. But it’s impossible to predict the future price of any asset. Those are the two reasons why Mark Cuban Believes the merge will be great.
