Opportunities that may arise from Ethereum 2.0 staking

During this period of time, the entire digital currency market has been in a state of depression. Bitcoin has repeatedly reached $10,000 and then returned to its prototype. Ethereum has always fluctuated between $220 and $240. Due to the sluggishness of mainstream currencies, people's attention has gradually shifted to various altcoins, hoping to discover new opportunities and hidden treasures from a large number of inconspicuous small currencies.

Recently, a batch of Ethereum DeFi project tokens have seen a good increase.However, the development potential of these project tokens is always limited, because the current performance of Ethereum itself is low, and these applications have not been able to play a big role, so the value they bring is always limited.

Ethereum 2.0 is currently developing the Phase 0 Beacon Chain. The Beacon Chain is currently only on the test network. Judging from the current progress, the test network is progressing smoothly, so it is not surprising that the main network of the Beacon Chain may be launched by the end of this year.

Ethereum 2.0 is currently developing the Phase 0 Beacon Chain. The Beacon Chain is currently only on the test network. Judging from the current progress, the test network is progressing smoothly, so it is not surprising that the main network of the Beacon Chain may be launched by the end of this year.

Once the beacon chain mainnet goes online, the mining mode of miners will become POS, and participating in POS mining requires nodes to mortgage Ether, so the opportunity for Ethereum 2.0 mortgages may come this year.

According to the definition of the beacon chain, as long as you mortgage 32 ethers, you can participate in the mortgage mining of the beacon chain. According to current estimates, in the initial stage of the Beacon Chain, because the number of nodes participating in the mortgage will be very small, the income of the mortgage will be relatively high. It is estimated that the annualized rate of return can reach 25% or even higher. As more and more nodes join, the rate of return will gradually decrease until an equilibrium state is reached.

Therefore, participating in the mortgage of the beacon chain is an opportunity to obtain income. But this income is relatively fixed, and the mortgage of Ether may generate another greater opportunity, and that opportunity may last for the next two to three years.

According to the mortgage rules of the beacon chain, once the users who participate in the mortgage of the beacon chain have mortgaged 32 ethers, they can choose to continue to participate in the mortgage, or they can choose to withdraw from the mortgage after a period of time and get back the ethers. But even if the user withdraws from the mortgage and gets back 32 ether coins, this coin can no longer participate in transactions and transfers.

Then when can the Ethereum that the user gets back participate in transactions and transfers again? Wait until the last phase of Ethereum 2.0 (i.e. phase 2) is completed. The completion of this stage is estimated to be 2 to 3 years away at the earliest.

That is to say, once a user participates in the mortgage of the beacon chain, regardless of whether he quits halfway, the Ethereum he participates in the mortgage will be frozen in the account and cannot be traded or transferred in the next two to three years or even longer.

During this period, if the value of Ethereum continues to appreciate, users will feel at ease.However, if the Ethereum falls or fluctuates greatly during this period, users can only watch the market change and be helpless. This is a huge psychological test for short-term operators, and it will make them feel that they have missed the opportunity to make price differences in vain.

Therefore, there will definitely be a new business in the market in the next few years-Ether currency lending. There will definitely be many users who have participated in the mortgage of the beacon chain and hope to seize the opportunity to earn the price difference in the market by borrowing Ethereum for transactions when they see a large change in the price of Ethereum.

And if the lending of Ethereum is combined with the leverage provided by major exchanges, the space generated by the market will be multiplied by leverage.

Therefore, friends who have a lot of ETH in their hands can pay close attention to the changes in the liquidity of the ETH market after the launch of the beacon chain, and seize the opportunity of ETH lending.