Enhance token (ENH) continues to trend on social media platforms due to the extensive uses of its growing ecosystem. 

Unfortunately, while accounts have been created for the token by CoinMarketCap (CMC) and other crypto price tracking portals, ENH largely remains untracked for the time being. 

## What is Enhance token? 

According to information available on [CMC](https://coinmarketcap.com/currencies/enhancetoken/), ENH is a soon-to-be multi-asset that will be primarily focused on the integration from Web2 into the Web3 space. 

Like all cryptocurrencies, ENH will need to be backed by a strong technological infrastructure before it can become a mainstream digital currency patronized by millions of traders and investors in a market with more than 20,000 crypto assets. 

The [Enhance ecosystem](https://t.co/PGzTaWrs1Q) comprises seven areas; Shop, Apes, Swap, Education, Energy, Staking, and Blueprint.

Shop - This segment of the Enhance project primarily focuses on selling zero sugar and regular drinks as well as a sports bra, sports leggings, duffle bags, backpacks, quarter zip pullovers, performance caps, athletic shorts, tank tops, athletic T-shirts, and running pants. 

Once ENH is fully launched, it could become the primary token to buy the aforementioned products. This could positively reflect in its daily transactions, culminating in a price increase.

Apes - Modeled after the success of the [Bored Ape Yacht Club](/news/article/bored-ape-nft) (BAYC) and its sister projects, Enhanced Apes is a collection of 10,000 NFTs housed in the [Binance Smart Chain](/news/article/bnb-price) (BSC). 

Just like positive news of Bored Ape and Otherside for Otherdeeds is reflected in ApeCoin (APE), the novel token of Enhance could be exploding with above-average monthly sales volumes from its Ape project.

Education – This platform consistently informs stakeholders about the current developments of the project. 

Swap – This is currently operating in beta mode. When fully functional, it will offer fiat onboarding and a self-maintained liquidity provider (LP) pool that will be essential in exchange token swaps.

Staking – In crypto, staking is the locking of a portion of digital assets to support the validation and verification of transactions on a [Proof-of-Stake](/news/article/pos-vs-pow) (PoS) network. ENH is the ecosystem's base currency, and holders that engage in staking could be rewarded with decent periodic rewards.

Energy – While some crypto mining is done via hydroelectricity, this sector will primarily focus on using solar energy in the mining operation of cryptocurrencies.

Blueprint – This segment has been reserved for crypto brands that will partner with the project so that they will be able to thrive and survive in an ever-growing industry where billions of funds exchange hands daily. 

## Will ENH explode?

With potential partnerships in the pipeline, [staking](/news/article/what-is-staking-crypto), and the adoption of Enhance token as a transactional currency, the token could be among digital assets that bring investors decent gains within a short time.


Will Enhance Token Explode? 

Whether you're new to Helium and HNT staking or a seasoned professional, you can use several tips and tricks to improve your staking experience. Here's a brief guide of things you should know before you begin.

## HNT staking explained

### Become a validator to stake HNT: 

[Helium staking is the process of staking coins and crypto](https://www.helium-staking.com/). The amount of money a validator earns depends on the initial stake. The minimum staking amounts vary by coin, but can go as low as tens of thousands of dollars. The amount of rewards for earning also varies by the total supply of HNT in circulation.

You can stake multiple validators to increase your chances of earning. You can also stake different types of cryptocurrencies. There are two basic types of staking: partial and full. Generally, [a full staker retains all earnings minus the operational costs](/news/article/crypto-lending). However, a partial staker can split the stake with other validators in the Vanager network.

A validator node is a beefy cloud computer that performs consensus group. It adds new blocks to the blockchain and checks transactions. It also maintains the shared network state and helps keep the network secure. You can get a validator node started by staking 10,000 HNT. Then, you'll need to install the node software in a suitable environment.

To earn rewards, a validator must be online and perform consensus group work. HNT staking rewards are paid out every 30 blocks and a validator node is rewarded for stability and security. There are a few penalties for failing to participate in the consensus group.

If a validator is not in contact with the network for a period of time, the reward is slashed. The maximum penalty is five months. Then, they can participate in the Consensus Group again after the same amount of time.

For those looking to earn passive income, you can also invest in an unstaking validator. These are great ways to support the network without staking.

### Transition to Proof of Stake

Using crypto-economic incentives, Helium (HNT) incentivizes participants to build Internet of Things (IoT) networks. The network is secured by Helium's blockchain, and hotspots provide service to IoT devices.

In the past months, there has been a significant MoM increase in the number of hotspots on the network. These operators are using consumer-grade hotspot hardware and basic internet connections.

Helium uses the Proof of Coverage protocol to validate hotspot locations. This allows the network to operate securely across distributed operators. In addition, it distributes rewards to HNT holders. 

These rewards are then sent to verify transactions.


blue image of hnt helium token over trading statistics

HNT Staking and Maximizing Returns

CoinEx Smart Chain (CSC) is a smart contract public blockchain designed to ease the process of building DApps (decentralized applications). Launched in 2021 by CoinEx, a reputable global crypto exchange, it aims to create an efficient and decentralized financial ecosystem.

## Features

Several features enable CoinEx to stand out.

•	EVM compatibility: Ethereum Virtual Machine (EVM) compatibility allows developers to use better development tools and easily adapt DApp to [CSC](https://www.coinex.org/). The feature also allows seamless migration of DApps from Ethereum.

•	High throughput and low transactions: the blockchain uses the proof of stake consensus mechanism to achieve block generation in seconds. It supports high TPS (transactions per second), up to 1,000, which helps maintain low transaction fees.

•	A high degree of decentralization: CSC supports up to 101 nodes or validators ranked by the amount of CET they staked. The higher the amount of CET staked, the higher the ranking. Anyone can become a validator by staking CET tokens.

CoinEx also features a cross-chain bridge that provides assets bridging services between CSC and other chains. It features great security, considering it was built by the CoinEx team, a crypto exchange that continues to maintain a zero accident record.

## CoinEx token (CET)

CET is the native token of the platform. Issued in 2018, it used to be based on the Ethereum ERC20 protocol before migrating to CSC after its mainnet went live.

The token can be used to pay gas and transaction fees for deploying smart contracts. They can also be delegated to selected validators.

As of writing, according to [Coinmarketcap](https://coinmarketcap.com/currencies/coinex-token/), each CET is worth $0.05245. It is ranked the 446th largest cryptocurrency with a live market cap of $37,127,097. It has a max supply cap of 10 billion coins and there are currently 708,633,582 in public circulation.

## Achievements

Some of the projects that have been successfully launched on the platform include:

•	OneSwap: a multi-chain decentralized exchange with smart contract functionality. It supports four public chains, CSC, BSC, TRX, and ETH.

•	IFP Pool: an open-source staking protocol that allows users to earn from CET staking. Staking CET on IFP Pool allows participants to obtain iCET tokens and unlock the liquidity of staked tokens.

•	WaterLoan: a decentralized lending and borrowing protocol. It features two types of borrowing stable borrowing, which has higher interest rates, and variable borrowing.

Other projects launched on the platform include IFSwap, GemGard Finance, Dyor Audit, Via wallet, and Smart Cash, a payment tool that allows users to transfer CET anonymously.

The platform has also ventured into the NFT ecosystem, launching projects like Mini Utopia, an NFT marketplace, Omega Club, an NFT card game, and CoinEx Gem, another marketplace. Besides the projects already launched, many are still in development, which will eventually boost its growth.

The blockchain continues to grow its ecosystem, covering projects focused on a wide range of fields, including DeFi, Web3, [NFT](/news/category/nft-news), gaming, and social media.

## Conclusion

CSC is still considered a fairly young DeFi platform. However, considering what it has achieved, it is worth admiring. Many of its achievements are due to its great support plan, CSC pioneers, and hackathon grants.


blue image of crypto coins with coinex logo overlayed in white

CoinEx Smart Chain

[Elrond](https://elrond.com/) is a blockchain platform built to handle high transaction volumes. It's native token, EGLD crypto or eGold, is a multi-use cryptocurrency. The platform, which supports decentralised applications via smart contracts, is built to compete with significant blockchains like Ethereum and Zilliqa to create a [decentralised](/news/article/dns-servers) application and cryptocurrency ecosystem.

The blockchain can process up to 15,000 transactions per second. This makes it one of the fastest blockchain networks on the market. On the network, EGLD crypto is used for [staking](/news/article/what-is-staking-crypto), voting, and transacting. It is the primary asset in the incentivisation system that rewards network participants. Elrond also has a six-second latency, can scale with sharding, and has low transaction fees of $0.001.

It was established in 2018. The blockchain employs a Secure Proof of Stake (SPoS) operating protocol, which processes transactions in parallel. It relies on the contributions of multiple participants, each playing multiple roles simultaneously.

## What makes EGLD crypto unique?

Elrond is unique in its use of Adaptive State Sharding, which divides the network into smaller fractions so that nodes can verify transactions and network operations by resolving one partition at a time. This ensures the network can handle thousands of transactions per second while charging only a small fee.

The project aims to build a new digital economy with decentralisation and scalability built into its blockchain infrastructure. Elrond enables users to create new assets and decentralised applications and conduct low-cost transactions. The project also supports enterprise-grade Dapps while allowing for scaling and providing three programming languages to work with.

## How does the platform function?

Elrond is validated rather than mined using SPoS. The network uses open-source software, meaning the source code is available to anyone. The blockchain works as follows:

1.	Validators process and record transactions: Validators stake EGLD tokens in order to earn the right to process EGLD crypto They collaborate to process transactions and to add new blocks to the Elrond blockchain at the same time.

2.	Fishermen are constantly on the lookout for malicious transactions and users: Fishermen in SPoS networks validate new blocks after validators add them to the blockchain. Fishermen are tasked with locating any invalid blocks or malicious actors that may be present on the network.

3.	Observers passively maintain the blockchain's history: The blockchain observers store the blockchain's entire history. Observers are ineligible for EGLD crypto rewards because they are passive network participants who do not create new blocks.
The network is run concurrently by validators, fishermen, and observers. It is highly scalable due to this concurrent participation.

## Use Cases for Elrond

Elrond is designed to support non-fungible tokens (NFTs) and includes a Smart Accounts NFT framework. Smart Accounts operate similarly to any blockchain network account but support key-value data storage at the account level. They enable users to store large amounts of information directly in their Elrond Network accounts, such as emails, private identity data, health data, proof of citizenship, Know Your Customer (KYC) information, and more. 

Furthermore, Smart Accounts are intended to store and prove digital assets ownership without using the Elrond VM, which results in less bloating on the smart contracts that govern user funds.

The network is developing Elrond Standard Digital Tokens (ESDTs), synthetic assets, tokenised stablecoins, and fiat currencies to run on the Elrond network without requiring smart contract functionality. Elrond's scalability and speed prepare the network for the Internet of Things functionality (IoT).

The blockchain provides solutions for data exchange, financial services, and more to a growing list of enterprise blockchain clients worldwide, demonstrating that user adoption of the Elrond network is increasing.

## How to buy EGLD crypto

EGLD is available on cryptocurrency exchanges, including Binance.us, [KuCoin](/news/article/kucoin-crypto-metaverse), Gate.io, Bitfinex, OKEx, and [Crypto.com](/news/article/crypto.com-news-uk-approval).

##  Bottom line

Elrond promotes scaling and high transaction speeds as the primary sources of the project's intrinsic value, claiming that the network can process up to 15,000 transactions per second. It is a highly functional ecosystem because of its high transaction speeds, scalability, decentralisation, and full custody over users' funds.

As the project progresses, the network strives to become a model of the new internet economy. The project provides competitive transaction speeds and tools for Dapp development and application deployment for public and enterprise-grade use cases.


EGLD Crypto and Blockchain Platform

Cardano analysis shows that the network offers a resilient [and scalable](/news/article/cardano's-method) blockchain using a Proof of Stake consensus process. Designed to conduct transactions, the blockchain platform Cardano uses its native cryptocurrency, ADA, to facilitate the process.

Founded in 2015 and made public in 2017, Cardano is a decentralised blockchain. Since it doesn't rely on cryptocurrency mining, it is more energy-efficient and scalable. It has established itself as a competitor to PoW blockchains like Bitcoin.

The [goals for Cardano's development](https://www.youtube.com/watch?v=-LWVdXBshdI) are significant. As per the developers, when voting and treasury management on the blockchain are added to Cardano's capabilities, it will eventually become completely decentralised.

While the Cardano platform can handle any transaction, its ultimate goal is to establish an ecosystem that enables smooth interoperability across various blockchains. Let's move into some more detailed Cardano analysis.

## Cardano analysis: It ranks way ahead of its competitors in terms of decentralised nature

The first significant benefit our Cardano analysis reveals is how decentralised the network is. For instance, it provides more than 3,100 staking pools and has staked 70% of the circulating supply. If you look at the numbers, you'll have to agree that Cardano is among the best compared to other Layer 1 blockchains. Cardano's 3,100 validators put it far ahead of its rivals, with Avalanche having 1,200 and Solana with 1,900 validators.

If we pay more attention, we can notice that 22% of the active holdings and 72% of the total pools are operated by single pool operators. This is fantastic since these smaller single pool operators should gain a more significant stake than a small number of large corporations to control everything. Speaking of influential organisations, Binance has the largest staking group, yet it only represents 11% of the total stake. Things seem to be going exceptionally well in decentralisation.

The K parameter for Cardano is the primary reason for their decentralised nature. People are motivated to spread out their state when a pool is oversaturated since it reduces the staking reward. Also, the community of Cardano is quite proud of its decentralisation, which is the second factor.

Being decentralised has its benefits. First, users can always use their coins and tokens thanks to a decentralised infrastructure. A contract's conditions, such as those of a loan, cannot be altered by either party. No third party can stop someone from spending coins or tokens that they have in their wallet. If the coins are secured in a smart contract, the conditions for possession and release will be explicit. The global network that is run by thousands of people all across the world is almost impossible to stop.

## Proof of Stake vs Proof of Work

Continuing our Cardano analysis, let's look at the different algorithms.

On a blockchain network, Proof of Work and Proof of Stake algorithms are used to validate cryptocurrencies. The primary distinction is how they select and qualify users to add transactions.

The PoW consensus algorithm involves challenging puzzles that powerful computers used by miners must solve. Using trial and error methods, the issues are resolved.

The ability to add new blocks for transactions to the blockchain belongs to the first miner who solves the problem or cryptographic equation. The transaction is then added to the blockchain once the miner has verified the block. The miners receive compensation for their participation in the form of digital coins, which they could later sell on the crypto exchanges or hold as part of an investment strategy.

Staking in a PoS system performs similarly to mining in a proof of work system. It selects a network participant to add the most recent transactions to the blockchain and receive cryptocurrency in return.

While PoS operates on the idea of staking, PoW entails competing to solve a challenging mathematical problem to get the opportunity to verify the block. Because the two systems operate on fundamentally different principles, PoS can perform the same purpose as PoW while using only a tiny amount of energy. And for this reason, Cardano is way more environmentally friendly than others like Bitcoin and Litecoin.

## Cardano's major network upgrade - Vasil hard fork

Any Cardano analysis must take account of the [Vasil hard fork](/news/article/cardano-hard-fork). It was intended to improve the platform's transaction throughput rates, DApp development potential, security, and usability in general. On 22 September, Cardano's long-awaited Vasil upgrade finally went live after several delays and setbacks. The hard fork is intended to boost Cardano's decentralised apps (DApps) development potential and to increase the ecosystem's scalability and general transaction throughput capacity from the outside. A hard fork is a network upgrade when the people in charge of a blockchain platform want to add or change specific features to the ecosystem.

The improvement will increase the ecosystem's transaction effectiveness and block latency rates. Diffusion pipelining, a method that aims to speed up block propagation times while boosting the network's transaction processing capacity, will also be used due to the hard fork. It will increase scalability, [smart contracts' potency](/news/article/smart-contracts-blockchain), and interoperability between Cardano's blockchain and other blockchains.

## Smart contract platform of the Cardano blockchain - Plutus

Cardano's Plutus significantly differs from Ethereum's Solidity. Since they come from two entirely distinct programming paradigms, it shouldn't be surprising that they are quite different in almost every way. There are many advantages to the Plutus language, but most result from using a functional programming language. As a result, their smart contracts are simpler to verify, and you can demonstrate mathematically that they will behave as you anticipate. There are also less strange edge circumstances that could mistakenly result in a million-dollar hack in general.

Plutus makes it possible to construct distributed applications and smart contracts using an innovative integrated method that is more practical and secure than previous options. The same language is used in both on-chain and off-chain code.

## Cardano analysis: Two layers of blockchain

A settlement layer (CSL) and a computation layer (CCL), which operate as the essential building blocks of every transaction, comprise the [third-generation blockchain platform](https://cointelegraph.com/blockchain-for-beginners/a-beginners-guide-to-the-cardano-network-and-the-ada-ecosystem) that makes up the Cardano ecosystem.

## Cardano Settlement Layer (CSL) 

To isolate a transaction's value from its computational data, Cardano's inventors set out to create a system.
The Cardano Settlement Layer controls the exchange of value or currency between the sender and the recipient. In other words, the routing layer for all control layers and systems is the settlement layer.

The CSL uses two specialised scripting languages, Plutus and Marlowe, to shift the value and extend support for the overlay network protocol.

## Cardano Computation Layer (CCL)

The foundation of Cardano's CCL implementation is its capacity to support the long-term scaling of specialised protocols. As technology develops, this entails adding hardware security modules (HSM) to the current stack of protocols.

The two layers of the Cardano blockchain enable the ecosystem to proactively adopt modifications to promote quicker and more secure transactions while removing any user metadata that turns out unnecessary for the procedure.

## Cardano analysis: Tokenomics

Every epoch (five days) on the Cardano Network, Cardano validators (pool operators) and their respective delegators receive incentives. Rewards come from both monetary expansion and transaction fees.

The reserve, established by the difference between the total supply of ADA and the maximum supply of ADA, is where the monetary expansion originates from. The total supply of ADA comprises both the ADA held in the treasury and all ADA that is currently in use. The maximal supply of ADA, however, is 45 billion.

Our Cardano analysis shows that 0.3% of the reserve is given as staking rewards and treasury financing with each epoch. This will continue until exhaustion after a few years.

## ADA - The native token

The maximum quantity of ADA, the native token of Cardano, is 45 billion tokens. Cardano analysis reveals as that 34.4B ADA are in circulation as of November 2022.

In total, 25.927 billion ADA were sold to investors during the genesis block distribution. Of that sum, 5,185,414,108 ADA, or 20%, were distributed to the three significant corporations (IOHK, EMURGO, and Cardano Foundation).

As a result, during Cardano's official launch, 31,112,484,646 ADA was available, with a total of 13,887,515,354 ADA set aside as the reserve for staking incentivisation.

## Staking ADA

Pool operators, also known as validators, charge a commission for their operations, which include running staking pools. Delegators receive staking rewards based on how much they have pledged. Staking income is automatically distributed and compounded by the protocol every five days - one epoch.

There is no lock-up time, and delegators can choose and delegate to any staking pool. There is no unbounding period; stakers can withdraw their payouts whenever they want.

However, Cardano's analysis reveals that it takes three epochs, or about 15-20 days, for the original stake to start yielding returns.

The treasury receives 20% of all income earned, and the expansion rate is currently set at 0.3%. The delegator makes according to their stake amount minus the commission charge, depending on how well the pool performs.
At the current pace, delegators might anticipate a total annual percentage yield of about 5%.

## Cardano analysis: eUtxo is superior to account-based architecture

Using a mechanism known as extended Utxo(eUtxo), Cardano has a distinctive method for maintaining records for their blockchain.

The Cardano analysis shows that the network chose to abandon the account-based architecture in favour of something more like Bitcoin's Utxo model because, as you can see, it wanted to be different from Ethereum.

First, in this section of Cardano analysis, let's concentrate on eUtxo's benefits. eUtxo allows you to produce a transaction or output from your address as long as you have the required number of inputs into it. Given that all necessary inputs are present, Cardano transactions have the unique virtue of being guaranteed to execute. This is a vastly superior alternative compared to account-based systems, where transactions frequently fail if the network changes while they are being processed.

Second, as long as they do not use the same inputs, the eUtxo architecture enables Cardano nodes to perform transactions in parallel. They are far more scalable than account-based systems, which handle transactions one at a time within a block. Additionally, transaction fees can be precisely calculated before a transaction is sent. It is far better for users than Ethereum, where we occasionally send a transaction, but the cost is much greater than anticipated. There are many more advantages to eUtxo, but these should help you understand why Cardano chose this model over others used by their competitors.

## Cardano Ballot: The decentralised voting app

Despite the fact that the [Cardano Ballot](https://cardanofoundation.org/en/news/the-cardano-ballot-developing-a-decentralized-voting-app/?utm_campaign=Cardano%20Summit%202022&utm_content=225015074&utm_medium=social&utm_source=twitter&hss_channel=tw-4135644558) was created only for the Cardano Summit 2022, it sparked debates about an enterprise-grade solution and the steps necessary to deploy it. Cardano's Metadata Tools team, notably the Cardano Foundation, is mindful of the expanding research and development towards self-sovereign identification (SSI). We could expect more from the Cardano team in this direction.

The Metadata Tools team came across both respectable elements within the Cardano development environment and places that may use further research and development throughout designing and creating the Cardano Ballot. They are now compiling and evaluating future directions for enhancing the Cardano development and user experience to continue their collaborative work with the ecosystem. 

## Cardano analysis: The Etter Edition 01

Etter Edition 01, a collaborative effort by Christian Etter and Alexander E. Brunner that combines physical and NFT generative art, was facilitated by the Cardano Foundation. The Swiss-based Web3 infrastructure company NMKR issued the [Etter Edition 01](https://cardanofoundation.org/en/news/cardano-foundation-facilitates-launch-of-etter-edition-01/) NFTs, which are redeemable on the Cardano blockchain for actual works of art.

Cardano analysis confirms that the physical version of Etter Edition 01 will feature generative motion graphics identical to those used in the Cardano blockchain's digital NFT version. The project is an example of how Cardano can make it easier to create NFTs with sophisticated metadata features.

The NFT can also be purchased with any currency, demonstrating the outstanding interoperability possibilities the Cardano ecosystem offers. A decentralised algorithm inside the artwork alters the painting endlessly throughout time, fusing the distinctive characteristics of the physical and the digital worlds. The algorithm will be guaranteed to be authentic and unchanged by this ground-breaking usage of the Cardano blockchain, making the code a crucial component of the artwork.



Cardano Analysis and Explanation

Gemini, a New York-based crypto exchange, has announced that it will offer staking support for its investors, particularly those in Hong Kong, Singapore, and the US.

This means that platform users can participate in [staking rewards](https://www.coindesk.com/learn/crypto-staking-101-what-is-staking/) for MATIC on the Polygon network. It will also roll out support for DOT, SOL, AUDIO, and ETH in the coming months. This move is expected to help bolster Gemini's goal of becoming the world's most trusted and regulated digital asset platform.

It aims to provide greater returns on investment for its users. Several exchanges are looking to add staking services. [This follows Ethereum](/news/article/ethereum-the-merge) 2.0 replacing Proof-of-Work (PoW) with a faster and more energy-efficient Proof-of-Stake (PoS) system on 15 September.

## Gemini staking

Layla Amjadi, Vice President of Product for Gemini, said that "the firm's decision to introduce staking services was driven by investor interest in [the merge](https://www.coindesk.com/learn/what-is-the-merge-and-why-has-it-taken-so-long/)". The VP further told CoinDesk that it has become abundantly clear that Gemini staking is something people are interested in, especially with Ethereum's recent merge.

It provides more liquidity and higher yields, making it a more desirable option. The company will pay for the infrastructure and gas needed to stake and unstake, as well as penalties that might be charged in the process.

## Should you consider Gemini staking?

There are reasons you might want to stake your coins:

•	It's a great way to earn passive income, rather than just holding your coins and waiting for them to appreciate in value.

•	When you stake, you help to secure the network and encourage more people to participate in its governance.

## How to stake coins on Gemini

If you would like to stake your cryptocurrencies on Gemini, you need to do a few things.

•	You'll need to create an account on the platform and verify your identity.

•	Deposit the cryptocurrencies that you want to stake into your account. Once your coins have been deposited, you can begin earning rewards.

The addition of staking services by Gemini comes at a time when more and more exchanges are looking into similar offerings. They include; Binance, Huobi Global, Bitmax, OKEx, Gateio, KuCoin, Coinex, and Bibox.

This increasing competition is likely driven by the recent attractive returns generated by PoS networks. For example, Cosmos' ATOM token holders can earn an annualized return of up to 50%.

Gemini staking support is another example of the exchange's commitment to providing a well-rounded user experience. Offering this service makes it easier for investors to earn a passive income from their digital assets. And with more assets expected to be added, the platform will become one of the go-to exchanges for crypto stakers.


Gemini Staking Support Launches

The Merge event saw Ethereum upgrade to a Proof-of-Stake (PoS) network. It took place on September 15th, 2022, and came with many benefits, including lowering the blockchain's carbon footprint. 

Before it took place, the highly anticipated event had many within the crypto community concerned about its effect. Many NFT holders were worried about how the upgrade would affect the NFT space, not just its users.

## The Merge NFT impact 

A lot of positive things are to be expected after the Merge. According to the Ethereum Foundation, the update should lower Ethereum's energy consumption by 99%. 

Switching to PoS means the blockchain will no longer rely on energy-intensive mining hardware. Instead, it will depend on validators to validate transactions.

Less energy demand means its users can finally mint and sell NFTs in a sustainable environment. Maintenance cost for NFT projects is expected to reduce significantly. The upgrade might also see more users use the protocol to mint and sell non-fungible tokens.

Many investors had previously avoided using the network due to its negative environmental impact. Blockchains using the [proof-of-work](https://www.forbes.com/advisor/investing/cryptocurrency/proof-of-work/) consensus mechanism have been criticised, especially among environmentalists, for their high energy consumption rate.

In 2021 while still operating as a proof-of-work blockchain, some estimates of Ethereum's annual energy consumption found it to be around 26TWh, which was what Ecuador, a country of 17 million people, consumed a year.

With the network utilising the PoS consensus mechanism, investors who are kept away due to its energy consumption rate have no reason to do so.

## Pre-Merge Support

Several NFT projects had declared support for the upgrade even before the Merge. OpenSea, the largest NFT marketplace, said it would only support the PoS blockchain after the update. 

Not all ETH holders supported the update. Several network participants wanted the blockchain to remain a proof-of-work blockchain. There were concerns about hard forks that could lead to duplicate NFTs. OpenSea maintained it would not support any fork after the upgrade.

Yuga Labs and Proof also declared support for the upgrade. Proof also said it would not support or recognise any fork made post-merge. Yuga Labs is the creator of the famous Bored Ape Yacht Club, while Proof is responsible for the valuable Moonbirds project.

The projects' stand on the update helped clear a lot of confusion that would have arisen after the network upgrade, considering the possible rise of forks.

Ethereum's transition to a PoS blockchain enables it to make up where Solana and Polygon outshone it. The blockchains had staking as an advantage over Ethereum. 

However, with the update, the blockchain has one less thing to work on (high gas fees) to continue to dominate the NFT space. 
 


The Ethereum Merge impact on NFTs

Etheremine, Ethereum’s largest mining service provider by computing power, switched off its servers on September 15th, 2022, after Ethereum transitioned from a proof of work to a proof of stake consensus mechanism.

The mining service has been in operation for seven years and mined 3,271,518 blocks and 9,836,656 Ether, announced on its Twitter page and [official website](https://ethermine.org/announcement). Its users would no longer be able to connect their miners to the Ethereum pool.

## The Merge

Ethereum’s transition to [proof of stake (PoS)](/news/article/pos-vs-pow), dubbed the [Merge](/news/article/ethereum-the-merge), was a highly anticipated event that had been in the works for a while. The Merge replaced miners with validators. The network now relies on validators to validate transactions and security.
Before the Merge, Ether mining had developed into a multi-billion industry. More than a million people across the globe with mining equipment worth over $10 billion had at a particular time mined Ether.

The process involved miners competing to solve complex mathematical problems to earn the block rewards. Only the first miner to solve the computational problems got the rewards. 

The need for expensive mining hardware and more computational power grew as the process became more competitive. It is this need that led to the existence of mining pools like Etheremine. 

The service aggregates computing power from a group of miners to increase the probability of winning Ether. The reward would then be distributed among miners based on their contribution. The pools charged some fees for their services.

## Staking Service

In anticipation of the Merge, in August 2022, Etheremine launched a staking pool for its users. The new service offered via BitFly enabled users to stake their Ether and earn interest on their deposits. 

Unlike other platforms, Ethermine allows users to invest as little as 0.1ETH and earn yields for lending. However, in terms of the service fees, the lower a user’s holding, the higher the fees.

The platform allows those who wish to participate in ETH staking and earn but don’t have the required 32ETH. 

Before its [Ethermine Staking](https://staking.ethermine.org/) service, the platform debuted [Ethpool](https://ethpool.org/), a solo staking platform that requires users to have at least 32ETH. At the time of writing, the platform has 469 validators and guarantees 5.5% APR.

It is worth noting that those who participate in ETH staking will not be able to withdraw their earnings until the Shanghai Upgrade, another major upgrade to the Ether network. However, a precise date for the Shanghai upgrade is yet to be determined.

Also, the Merge, though a highly anticipated event, was not a welcomed network upgrade for all ETH holders. A few coin holders wished to continue using the network as a proof of work mechanism. Ethermine has no plans to support the planned PoW forks.

Although the Ethereum network has stopped mining, users can continue to use the platform’s other affiliated servers to mine Ergo (ERGO), Ethereum Classic (ETC), Beam (BEAM, and Ravencoin (RVN).



Ethermine switches off servers after Ethereum Merge

There's a lot of heated discussion around blockchain consensus mechanisms. The two most popular options are Proof of Work (PoW) and Proof of Stake (PoS). Let's have a look at both of the mechanisms. 

## What Is PoS?

[Proof-of-stake (PoS)](https://ethereum.org/en/developers/docs/consensus-mechanisms/pos/) is a consensus mechanism that allows participants in a blockchain network to agree on the validity of transactions without having to rely on mining. In a PoS system, people are rewarded for holding onto their coins instead of mining. This is done by assigning a value to each coin, and the person who holds the most coins has the highest chance of being chosen to validate new blocks.

## What Is PoW?

[Proof of Work, or PoW](https://ethereum.org/en/developers/docs/consensus-mechanisms/pow/), is the original consensus mechanism that Bitcoin and other cryptocurrencies use. In PoW, miners use special software to solve mathematical problems and verify transactions. The first miner to solve a problem is rewarded with new cryptocurrency tokens, and the transaction is added to the blockchain.

Proof of Work is a very energy-intensive process, and it has scalability problems. As more people use a cryptocurrency, the network requires more energy to process transactions. This has led to proposals for new consensus mechanisms, such as Proof of Stake.

## Which Is Better PoS vs PoW?

The two main types of consensus mechanisms: Proof of Work (PoW) and Proof of Stake (PoS), both have their pros and cons, but which one is better? Let's take a look.

Proof of Work is a consensus mechanism that requires participants to solve complex mathematical problems in order to validate transactions. This process is energy-consuming and can only scale up so far. As a result, Proof of Work is not ideal for large-scale networks.

On the other hand, Proof of Stake does not require solving any complex mathematical problems. Instead, it relies on validators to stake a certain amount of cryptocurrency on the network. This process is less energy-consuming and can scale up much more easily than Proof of Work, meaning that it can handle a larger number of transactions without becoming bogged down or congested. As a result, Proof of Stake is ideal for large-scale networks.

There are pros and cons to both PoS and PoW, but in general, PoS is seen as more scalable and energy-efficient than PoW.

However, it's important to note that these are just generalisations and that different implementations of PoS and PoW may have different results.

Choosing between Proof of Stake and Proof of Work depends on the specific needs of your project. If you're looking for a more scalable and energy-efficient consensus mechanism, then PoS is likely the better option, but if you need more security, then PoW may be a better option.

Read [Latest Moni](/news) to learn more about cryptocurrency and blockchain.



What's the difference between PoS vs PoW?

[Ethereum's merge trial on the public test network Sepolia was a success](https://cointelegraph.com/news/sepolia-testnet-merge-mostly-successful-hiccups-will-not-delay-the-merge), clearing the path for the cryptocurrency's shift to the proof-of-stake (PoS) consensus mechanism.

The final merge testing will take place on the Goerli network in the coming weeks before the formal merge on the Ethereum mainnet may be approved.

The move to a Proof-of-Stake mechanism in [Ethereum](/coins/eth) 2.0 has been delayed in the past. The Ethereum mainnet transition is currently scheduled for the end of the year.

Terence Tsao, an Ethereum protocol developer, stated that the Merge transfer was successful, but about 25-30% of validators went offline following the Merge due to "wrong configs." He did, however, emphasise that "hiccups will not delay the Merge."

During the stream, Superphiz, a founding member of the ETHStaker Community, emphasised that the Merge's success would not be known "for several hours or even until tomorrow."

The final test will take place on the Goerli test network. Superphiz further stated that the Sepolia test results would determine the Merge's timing.

The testnet Merges serve as a "dress rehearsal," allowing Ethereum developers and independent project developers to understand what to expect when the actual Merge occurs.

During the broadcast, Ethereum co-founder Vitalik Buterin revealed that "much more third-party infrastructure that isn't present on the testnets" will be one of the issues confronting the main network Merge.

"So there might be non-critical issues like that that will just pop up in the Merge that we're not catching with these tests […] There's a lot of peripherals that are just not getting tested, and that's unavoidable and probably fine."
The news cheered Ether (ETH) investors, as the ETH price went up by 5% in the previous 24 hours and is now trading at $1,175. Earlier this week, the world's second-largest cryptocurrency saw significant selling pressure.

For more latest crypto news, check out [Latest Moni. ](/news)



ETH rises 5% after Ethereum's Sepolia testnet success

Environmental cryptocurrency consciousness is developing as more and more people think about the impact of crypto on our ecology.
It has been widely reported that [Bitcoin](/coins/btc), altcoins like [DOGE](/coins/doge), and other cryptocurrencies are having a detrimental impact on the environment.

How much do you know about environmental cryptocurrency concerns? Are you aware that the high levels of energy consumption in the crypto space could pose a threat to our planet?

We have to start thinking about environmental cryptocurrency, for the protection of our ecology and the wider adoption of crypto.

Cryptocurrencies generated through mining have a substantial negative impact on the environment. They use high-powered computers and a massive amount of electricity to mine their coins. What is the effect of this high level of energy consumption on the environment?

Cryptocurrency has become extremely popular. There are thousands of coins, with new ones emerging all the time.
While this may be good for the crypto space and investors, there is a downside - especially if those cryptocurrencies require mining.

Bitcoin, the most popular cryptocurrency, is viewed as an unsustainable network. Bitcoin requires a high level of energy consumption for mining, and the more Bitcoin that gets mined, the more harm it causes to the environment.

In the past, there wasn't much time given to environmental cryptocurrency thinking.
However, awareness of the negative impact of unsustainable cryptocurrencies on the environment is growing, along with demands for solutions.

Let us go through the impact of cryptocurrency mining on the environment

## How are Cryptocurrencies Made?

Many cryptocurrencies are created through 'mining'. Miners use computer programmes and power to create solutions to tough problems. The answers they create validate cryptocurrency transactions, and this validation goes into a decentralized record-keeping system. Powerful computers used for mining are called mining rigs, which use a surprisingly high amount of electricity.

For example, researchers from Cambridge University estimated that Bitcoin annually uses electricity more than the whole of Argentina.

[Digiconomist](https://digiconomist.net/), a cryptocurrency analytics site, published that the carbon footprint of one Bitcoin transaction is likely to be more than two million Visa transactions. And just that transaction uses as much power as an average American household uses in two months.

This danger that digital currencies pose to the environment starts to make sense now.

The use of cryptocurrencies to make transactions have increased speedily. Is there any hope for our environment?

## Can this Impact be Controlled?

Many cryptocurrencies are created through Proof of Work, which leads to large energy consumption. However, other methods that require less energy are being developed:

- Proof of Stake (PoS): a cryptocurrency consensus mechanism for processing transactions and creating new blocks in a blockchain. This mechanism is an alternative to cryptocurrency mining that does not involve extensive computing power. Paying closer attention to this method will help to conserve more energy consumed while mining cryptocurrency. Ethereum plans to move from PoW to a PoS algorithm. It will reduce the network's energy demand by about 99%.

- Some Bitcoin developers are working towards the Lighting Network that will decrease the energy consumption by most transactions.

- Cryptocurrency education is also necessary; people must become fully aware of environmental cryptocurrency challenges. Bitcoin uses the most energy when it comes to mining. Yet, when people get introduced to cryptocurrency, many start with Bitcoin and use it the most.

## Conclusion 

People can be educated about other options they have in cryptocurrency. They can learn to use more environmentally friendly cryptocurrencies that don't use PoW.

Environmental cryptocurrency consciousness is a good thing. This is a serious issue. It needs to be tackled now, before it worsens.


Environmental Cryptocurrency Concerns

After months of development, [Ethereum](/coins/eth) finally announced their Proof of Stake test net Kintsugi went live on December 20th.

Until Monday, Kintsugi had been only available to developers looking to experiment and build ahead of the much anticipated launch of Ethereum 2.0 next year. The successful launch of Kintsugi was announced by lead developer Tim Beiko on Monday in a series of tweets. 

Beiko stated “Although client development and UX continue to be refined, we encourage the community to start using Kintsugi to familiarize themselves with Ethereum in a post-merge context. For application developers, as previously explained, not much will change. Tooling which only interacts with either the consensus or execution layer is also largely unaffected.”

Testnets often launch prior to main net to enable developers to test applications in a controlled setting.

## Bad for the environment

The launch of Ethereum2.0 will finally see the complete transition to a Proof of Stake consensus mechanism. Proof of Work blockchains are seen as slow, costly and harmful to the environment and therefore adopting the Proof of Stake model is the logical approach.

The move has taken longer than many people expected however the launch of Kintsugi is a clear indication that the time of reckoning is moving closer. Many industry experts believe Ethereum 2.0 will be ready for public use sometime in Spring next year.

## Smart contract development

The calls for Ethereum 2.0 grow louder by the day. With Ethereum transactions taking anywhere between 5 minutes and four hours depending on network congestion, a Proof of Work model will bring much needed speed to the network. Current transaction costs also make the network unattractive to developers. The general feeling is that when Ethereum 2.0 is launched we will see a massive rise in network use and smart contract application development which will benefit all areas of the industry.

## Stability

Kintsugi will run until the network reaches stability along with other pre launched testnets. Beiko explained that “existing long lived testnets will run through ‘The Merge’. Once these have upgraded and are stable, next up is Ethereum mainnet transition to Proof of Stake.”



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