© Reuters
Investing.com – As of December 2020, it was possible for blockchain visionaries to transfer ether to the beacon chain in order to participate in staking.
Those who made this decision must have been very convinced of the future of the network, because firstly this was only possible in blocks of 32 ETH and secondly there was no possibility of withdrawing these tokens from staking.
Now that the merger has been completed, stakers still have the problem of not being able to access their ETH. These will only be released with the Shanghai upgrade, which is expected in about six months at the earliest.
In this context, has also been the subject of crossfire, as it has been claimed that one cannot freely dispose of one’s tokens with Cardano staking either.
Cardano co-founder Charles Hoskinson contradicted this representation, as the tokens are not locked like Ethereum. The difference is that ADA-Staking works technically differently than ETH-Staking.
Hoskinson generally assumes that it will inevitably happen that the negative aspects of Ethereum staking will automatically be passed on to Cardano. It assumes that every Proof-of-Stake Blockchain is subject to the same modes of operation – which is simply not true.
Originally, the idea of a blockchain was to lead to a decentralization of financial flows and data. But the way Ethereum transitioned to proof-of-stake has resulted in the entire network being over 50% owned by three platforms. Lido, Coinbase (NASDAQ:) and Kraken control 53 percent of validators, as shown by Ethereum Explorer.
By Marco Oehrl