Next BIG Crypto Narrative of This bull run Ethereum it’s becoming the settlement layer for the world of decentralized Finance with a successful launch of ef2 and staking if your blockchain isn’t connected to.If it’s a blockchain that’s dead in the water it’s why every blockchain has a bridge back to ethereum although ethereum isn’t done in the first quarter of 2023 a game-changing upgrade is coming for Eve that will push it to new heights and reinforce its position as the D5 settlement layer and the upgrade will rocket certain altcoins to the Moon.What’s the upgrade and which all coins we’ll find out in about 10 minutes because it’s time for Chico crypto what is the game changing upgrade coming to eat this quarter.While pulling out the ethereum road map we can see the next upgrade after the merge is withdrawals what are withdraws well the eff2 chain is now secured by a group of staking validators.
Who are required to have a 32 East stake on their validator node but since December of 2020 any person who staked had their 32 eth locked unable to withdraw.Well with ethereum’s next upgrade named Shanghai withdraws are a confirmed go and Shanghai is coming very soon the ethereum devs just had their execution layer meeting where they told us when let’s listen in I guess to kick it off uh does anyone from either to testing your client teams want to give a quick update on where just uh withdrawal testing is at uh where the different implementations are and and what things look like in terms of evnets so we currently have running and we started.
Table of Contents
It just before Christmas currently we have all the different client combinations running on it and some combinations work well others are naturally. We can see that we are on block 94 000. and most of the most of the nodes are able to follow the head sweet oh okay and uh Perry yeah posted the spec versions uh we’re targeting in the chat uh so that’s the CL spec at one 3.0 Alpha 2 and then on the El side uh the withdrawal uh EIP we’re using commit zero fa adec public test net this Shanghai on the main net in March because the news about it is already releasing dang Chico why you so bullish well.
before Shanghai if 2.0 staking was unavailable for withdrawal which made many users skeptical of shaking eth with this barrier out of the way come March the demand for staking if Will Rise exponentially checking out the Beacon chain website we can see ethereum is coming up on half a million validators with withdrawals implemented the amount of stake Eath is going to explode a mark of defy yield app tweeted after the Shanghai eef update developers expect that by the end of 2023 80 of the if Supply will be staked at the moment it is only 14 1 million if staking validators would put ethereum into a category other blockchains could only dream of checking out the if competitors Solana has barely over 2 000 validators cardano has just over 3 200 and Avalanche has a measly 1200.
even where ethereum is right now with 500k validators it has 15 525 percent more validators than the next most robust cardano withdraws are just going to push this number up even further to where these competitors will never be able to catch up so my friends.I used an avado i7 the plug-and-play staking Hardware that takes the complexity out of the staking process you don’t need to be super technical with ovato and guess what one of the chico Army members heeded my early advice getting 32 if and a Novato for staking and they just found their first block which means they get the transaction fees for that block and boy was it a sweet amount of if they got as you can purchase the Movado can be found at ava.do shop .
Ethereum Liquid Staking Protocol.
If you’re thinking about solo crypto staking soon although regarding withdraws this is going to open up a new narrative and major opportunities for all coins who focus on LSD not that type of LSD liquid staking derivatives liquid staking derivatives what are those well many people don’t have 30 to ethereum to stake so liquid staking protocols were created where users pulled together their ethereum and the protocol Stakes it on their behalf in return users are issued liquid staking derivatives lsds to represent their stake of ethereum in the pool and again with withdraws open those without 32 ethereum the people who have just a couple or maybe even a half of an ethereum will be more inclined to stake with these LSD protocols now the most popular LSD protocol this has been Lido since it launched in December of 2021. one year after ethereum staking went live in December of 2020.
As we can see from this Dune analytics dashboard on ef2 and staking Lido is number one with over 146 000 validators giving them a market share of nearly 30 percent this is isn’t good having nearly 30 percent of each validators controlled by just one entity but let me tell you elido is a short in my honest opinion with Shanghai coming in the next couple of months as other lsds are going to eat heavily into that market share why well nearly 30 percent of all staked eth isn’t Lido because of the high emissions of ldo token for staking with them which is also a big incentive provider and curve for the eve and s t e from Lido liquidity pool now emissions of ldo tokens is ending and they will not be able to support the incentives they have been providing in the East Stef LP on curve which was a big reason people were staking with Lido so in my opinion because of token emissions going away many people and even large funds are going to look for new places to stake where they can get those higher rewards so.
Ethereum Rocket Pool.
I’ve been a big fan of Rocket pool for the longest time providing updates and the alpha on the regular even since they were first incepted way back in 2017. Well things have paid off lately a couple weeks ago the RPL token was added to the big exchanges like binance and kucoin leading to a big boost in the price checking out Dune analytics.We can see RPL market share is way down there compared to Lido just above two percent share so obviously rocket pool still has a ton of room to grow and the big exchanges see that it’s ,why they have listed the token so Rocketpool is going to rocket come March, but there is another LSD protocol which is seeing massive growth lately and in my opinion will also steal a bunch of lido staking market share and this one has the most Room to Grow checking out that Dune analytics dashboard frax Finance has under a 0.3 percent market share of ethereum.Why will people move to frax ???
Well frax offers the highest APR in the business for staking with them which hovers in the six to ten percent range.While the closest competitor rocket pool is offering about five percent how are they able to provide such high aprs.Users deposit if and they receive fraxied frax eth is backed one to one with eth but it has no attributes like rebasing and does not accrue any staking yield so where does that yield come from well frax if can be used in defy applications such as the ethrax eat curve pool and since frax Finance is one of the largest CVX holders users can earn a high yield of 10 percent on convex Finance basically frax is replacing Lido and that is oh so bullish and viewers I’m staying at the Mill House hostel in Buenos Aires a link for them is down in the description where you can get 10 off of a stay cheers I’ll see you next time.
Read this Article.