Table of Contents
Ethereum is a technologically advanced network in the crypto market. It is known to keep evolving and growing, thanks to the launch of high-end upgrades such as the London Hard Fork EIP-1559.
Now, the advanced network is also anticipated to transition to a proof-of-stake (PoS) model, which may have provided an opportunity for a cyber security firm to develop something new.
According to reports, Cloudflare is a cyber security firm that plans to launch and fully stake Ethereum validator nodes over the upcoming few months.
Let’s find out the details of the firm’s initiative and if Cloudflare’s contribution will make a positive impact on the Ethereum network or not.
Meanwhile, if you are interested in buying the most popular altcoin, make sure you opt for one of the best crypto exchanges to buy Ethereum.
Margin traders can trade Bitcoin and Ethereum with up to 100x leverage on Bybit. Use this link to sign up and earn a free bonus on your initial deposit.
What are Cloudflare’s Plans for the Ethereum Network?
Cloudflare is a well-known cyber security firm that was launched in the USA in 2010. It has been known to provide leading-edge web security services such as distributed denial-of-service (DDoS) mitigation to keep clients safe from DDoS attacks.
According to reports, this firm is all set to conduct a few experiments on the Ethereum validator nodes ahead of the network’s highly-awaited shift to PoS.
Cloudflare wants to improve environmental sustainability and “build a better internet”. This is why the firm aims to study the following aspects of the PoS network:
- Consistency management
- Energy efficiency
- Network speed
As per reports, the firm plans to experiment with the next generation of Web3 networks that also support PoS, Ethereum being the first network in line.
Cloudflare has acknowledged that the network’s transition to PoS will significantly improve the energy efficiency of the network. It will also be staking Ethereum validator nodes (as mentioned above) and 32 Ether tokens are required for each node.
However, the company has not specified how many nodes will be required and when will it start but it has stated:
“Cloudflare is going to participate in the research and development of the core infrastructure that helps keep Ethereum secure, fast, as well as energy-efficient for everyone.”
The firm has also stated that the tests are to improve the environment and also explore options where the energy consumption of Web3 technologies is reduced.
Energy consumption by the Ethereum network is already anticipated to reduce significantly as it will be shifting from the environmentally “challenging” proof-of-work model to PoS.
Cloudflare also stated:
“The energy required to operate a Proof of Stake validator node is magnitudes less than a Proof of Work miner. Early estimates from the Ethereum Foundation estimate that the entire Ethereum network could use as little as 2.6 megawatts of power. Put another way, Ethereum will use 99.5% less energy post-merge than today.”
Are you Interested in Buying Crypto for the First Time?
Ethereum is the most prominent altcoin in the world. However, like most cryptocurrencies at the moment, ETH is also facing some serious price fluctuations.
This has led many new crypto investors to wonder why cryptocurrencies are dropping. There are several factors, political, global and otherwise that affect the price movement of digital currencies.
This is why a new crypto investor should know and follow some helpful tips that can make the overall experience less stressful for them.
As a beginner, consider the following tips.
- Choose a secure crypto exchange that also suits your needs the most.
- Choose a crypto asset and monitor its price movement before investing.
- Start by investing a small amount, as much as you can afford to lose.
If you are new to the crypto space and are interested in buying Ethereum, you can click on SwissBorg or Kraken (U.S. citizens).
[kraken]
