After the recent Shapella upgrade, the proof-of-stake blockchain has now enabled withdrawals for the first time, driving a surge of activity among ETH holders who are eagerly pinning their tokens with network validators.
As a result, deposit activity reached its highest level since Chabela’s upgrade was implemented last month.
milestone
Just a month after the successful implementation of Ethereum’s Shapella upgrade, the network has seen a significant milestone as the total volume of pegged ETH has surpassed 20 million.
The Shapella upgrade, an important improvement to the protocol, brings various improvements to the Ethereum blockchain, including enabling withdrawals for tokens that were previously locked into staking contracts.
This pivotal upgrade was completed in mid-April and has since marked a significant step forward in ethereum’s ongoing transition from a mining-based system to a more sustainable and energy-efficient proof-of-stake (POS) consensus mechanism.
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It should be noted that with the upgrade of Shapella, the Ethereum blockchain has completed the consolidation upgrade phase, which will allow the transition to focus on scalability in the next phase, increase.
Other notable developments
Lido Finance, a prominent player in the staking system, has emerged as a major platform following the successful implementation of Ethereum’s Shapella upgrade.
The platform offers users the flexibility to share any amount of ETH, eliminating the need for users to deposit directly into the mainnet, which typically requires a minimum deposit of 32 ETH.
Lido Finance recently published its v2 release on May 15th, after a successful on-chain vote. This achievement demonstrates the platform’s commitment to improving and delivering features to its users.
As the staking landscape continues to evolve, platforms such as Lido Finance are playing a critical role in democratizing staking and expanding reach to a wider audience.
By offering a flexible staking solution that goes beyond minimum deposit requirements, Lido Finance enables individuals to participate in Ethereum’s POS consensus mechanism without significant barriers to entry.
Adding to the excitement, an Ethereum whale, known to have participated in an Initial Coin Offering (ICO), appeared after an inactivity period of over two years. According to Lookonchain, this notable investor bet a staggering 4032 ETH, which equates to roughly $7.4 million.
This impressive move underscores the growing interest and confidence in the Ethereum staking ecosystem as it continues to evolve.