Ethereum developers claim that the upcoming Shanghai upgrade will contain support for unstaking tokens.
According to Bloomberg News, Ethereum devs stated the March upgrade to Shanghai would include the ability to withdraw staked ETH.
Stakeholders and other interested parties are relieved by the confirmation since they can finally see some relief after years of conjecture about an endless token lock-in.
Ethereum deposits into the staking contract have increased steadily since since the Beacon Chain went online in November 2020. Presently, 15.9 million ETH, worth around $19.8 billion, have been deposited, making up 13.2% of the total supply.
How is Ethereum doing now?
Ethereum has the lowest staking ratio of any significant Proof-of-Stake (PoS) network, according to data from Messari. Other notable PoS networks have staking ratios that ranged from 46% to 90% for BNB.
According to Twitter user @MStiive, “a drastic surge” of Ethereum staked as March draws near will cause the staking ratio to rise and become more comparable to other chains.
Others, however, say that authorising withdrawals will lead to a massive ETH exodus, increasing sell pressure in a market that is already unstable and still recovering from scandals from the previous year.
Shanghai: What to Predict?
After the Merge in September 2022, the Ethereum network will undergo a significant upgrade with Shanghai. What to anticipate’s main highlights include:
- Reducing the gas charge for layers 2 solutions could make using Ethereum after Shanghai faster and more affordable.
- Efficiency improvements in data access and storage, like the elimination of past block hash information from contracts.
- Removal of the contract lock on staked tokens will enable unstaking and the withdrawal of staked ETH.
Even while some are pessimistic about Shanghai, The EliteCrypto believes the upgrading will boost the price of the second-largest cryptocurrency. possibly even causing prices to rise back to their pre-FTX levels.
