What Are The Possible Effects Of The ETH Merge On The Community?
Here are the effects of the ETH Merge on the community according to the ConsenSys Head Economist! In a recent interview, Lex Sokolin, the Head Economist of ConsenSys, mentioned users, developers, and businesses following ‘The Merge’.
Lex Sokolin on ‘The Merge’
Leading up to ‘The Merge’, many experts have stated their views on ‘The Merge’. This time, it was Lex Sokolin, the Head Economist of ConsenSys, who gave his opinions on ‘The Merge’. He talked about the effect of ‘The Merge’ on users, developers, and businesses.
His Views on Users
According to Lex Sokolin, users will be able to use the chain as usual, but after ‘The Merge’, there is a less risky way to stake ETH.
Sokolin stated in an interview with Cointelegraph, “Right now, staking on the beacon chain carries the risk that the Merge does not happen. But once it does, participation in staking is more accessible and has less technical risk.”
His Views on Businesses and Developers
As for businesses and developers, Lex Sokolin said ‘The Merge’ “may standardize the notional interest rate” for the WEB3 area through ETH yield. It might reduce the need for speculative financial engineering projects.
Sokolin said, “We expect that risks of projects and business opportunities can [be] evaluated against merely staking ETH on a risk-adjusted basis.”
In addition, the economist also addressed the misconception that ‘The Merge’ will lower gas fees. According to Sokolin, ‘The Merge’ will not be reducing gas fees or “solve for massive throughput yet.” However, he is not ruling out the chance that it may happen in the future. The response may be related to the previous statement by Vitalik Buterin, in which he said ‘The Merge’ would reduce gas fees.
The Ethereum merge to proof-of-stake has been scheduled officially today.
The approximate time will be Sept 15-16th 📅
Vitalik stated gas fees can now go as low as $0.002 😱
— D3gens (@D3gens) August 11, 2022
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