What is exciting about Ethereum 2.0?
Ethereum 2.0 is not an upgrade to the main net, a separate platform from the main chain which is going to replace the existing platform in the future.
a. Proof of stake consensus mechanism, which is going to eliminate the need for expensive mining happening in proof of work.
PoS is important, we need to stop wasting electricity right now, so it’s important, but without scaling, the only use [for the network] is token speculation. So I really believe we need scalability so that people can use Blockchain applications.
-- VitalikButerin, Founder of Ethereum
b. Sharding, which will improve the speed and throughput of transactions.
Imagine that Ethereum has been split into thousands of islands. Each island can do its own thing. Each of the islands has its own unique features and everyone belonging on that island, i.e., the accounts, can interact with each other and they can freely indulge in all its features. If they want to contact with other islands, they will have to use some sort of protocol.
-- VitalikButerin, Founder of Ethereum.
Here are a few things that you probably don't know about Ethereum 2.0
1. Over 3 million ethers to be staked :
There are a few considerations when it comes to how many validators the network "needs". According to the latest spec, the recommended minimum validators per committee is 111. For 1024 shards that would be 113,664 validators and 3,637,248 total ETH staked.
To achieve crosslinks on all shards within 1 epoch, the committee size would be 256, which equates to 8,388,608 total ETH at stake on the network. Having less is fine, it just means crosslinks become rarer.
2. Penalties for validator nodes :
There are two types of penalties planned in 2.0
i) The anti-correlation penalty scheme, which more heavily penalizes validators that misbehave at the same time as many other validators (which is more likely if you're on the same pool or VPS or whatever).
ii) Relatively forgiving penalties for being offline, so you earn a net profit as long as you're online more than ~50-67% of the time.
3. Different levels of nodes were introduced :
There are now several 'levels' of nodes that can exist in such a system. Super full node, Top level node, Single shard node, light node etc.
4. EWASM (Ethereum flavored web assembly) :
Ethereum WebAssembly is a proposed redesign of the Ethereum smart contract execution engine using a deterministic subset of WebAssembly.
The use of WebAssembly as a format for smart contracts gains a variety of benefits, a few of which are listed below:
- Near-native execution speed for smart contracts
- The possibility to develop smart contracts in many traditional programming languages, such as C, C++, and Rust
- Access to a vast developer community and the toolchain surrounding WebAssembly