• Ethereum’s core developers have agreed to push the Shanghai/Capella upgrade to early April.
• The upgrade will allow validators to withdraw their staked ETH stored as far back as December 2020.
• The Shanghai upgrade is expected to retain a bullish momentum for ETH and benefit liquidity staking platforms.
Ethereum’s Shanghai Upgrade Pushed To Early April
No definite date has been announced, but Ethereum’s core developers have agreed to push the Shanghai/Capella (also dubbed ‘Shapella’) upgrade to early April in their latest All Core Developers Execution (ACDE) call just yesterday, March 2. This mainnet launch was originally slated for the end of March, but project lead Tim Beiko announced that it will be pushed two more weeks at the earliest in order to give node operators time to upgrade their clients.
Sepolia Testnet Successful
Beiko has noted the success of the Shanghai upgrade on the testnet Sepolia tested last Tuesday, February 28. The Sepolia testnet is a network with limited functions that only allowed for the operation of validator nodes.
Goerli Test Scheduled For March 14
The next step is to deploy the upgrade on the Goerli testnet, a test network allowing for more varied functions such as testing smart contracts and decentralized applications – including phased withdrawal of Ether (ETH) from the Beacon Chain. The Goerli test is slated for March 14, 2023 and Beiko has announced another ACDE call on March 16 where they would “probably” set the date of mainnet launch – assuming things go smoothly.
Ethereum Transition From PoW To PoS
The Shanghai upgrade is much-anticipated following Ethereum’s transition from a proof-of-work (PoW) to a proof-of-stake (PoS) mechanism and will allow validators to withdraw their staked ETH which have been stored from as far back as December 2020 when consensus layer was deployed. Other anticipated upgrades focus on increasing transactions speeds and lowering gas fees.
Benefits Of The Upgrade
The Shanghai upgrade is expected to retain a bullish momentum for ETH with volatility points accrued due decreased amounts of staked ETH likely decreases. As a corollary, liquidity staking platforms will immensely benefit from this update too! Disclaimer: This article is provided for informational purposes only and not offered or intended to be used as legal, tax, investment, financial or other advice
