Ethereum Mining Difficulty Has Reached an ATH
Ethereum, the second-largest cryptocurrency by market capitalization has attained a new mining difficulty all-time high of 4,745,167,085,193,270 according to Glassnode’s on-chain data. The Ethereum mining difficulty is a measure of how many hashes in statistical terms must be generated to find a valid solution to solve the next Ethereum block and earn the mining reward.
The new all-time high figure depicts the number of hashes, the combined number of miners must attain to get the reward for an Ethereum block. With these, the Ethereum Network also trails the technical design of Bitcoin (BTC) in relation to periodical increment in the mining difficulty to bring in the perfect supply bottleneck to engender increased valuation over time.
Ethereum Mining Difficulty Amidst All-time High and Beacon Chain Launch
Ethereum has been experiencing significant milestones in the past days as this all-time high figure in the mining difficulty comes days after the price of Ethereum continues to show prospects of ballooning in a bid to beat its $1,460 all-time highs.
The new mining difficulty will all but help the Ethereum network maintain its relevance over time as the difficulty level will invariably make mining less attractive to the miners. This particular factor is poised to push the miners to switch to the Proof-of-Stake (PoS) system Ethereum is aiming to migrate to through the launch of its Beacon Chain.
Ethereum is at a crucial stage in its history, as the network aims to consolidate on all fronts especially in maintaining its relevance amidst the transition to the new PoS system. The anticipation of the new system dubbed Ethereum 2.0 has already spelled good omens for Ethereum, both in terms of valuation and positive sentiments in relation to the capability of the new system to support the growing hoard of decentralized finance (DeFi) applications.
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