Ethereum's mainnet is set to merge with the Beacon Chain's proof-of-stake system in what is expected to be the most highly anticipated event in the cryptocurrency community in 2022.
The "Merge" will see the end of the proof-of-work Ethereum we know today and the birth of Ethereum 2.0, which will be based on a proof-of-stake consensus algorithm.
To help you be ready for the changes it brings to you, SSV Network has developed an 8-week program prior to the Ethereum merge timeline.
The fifth and sixth episodes of the SSV The Merge series are summarized in this article.
a) Vitto’s introduction:
Vito works in developer relations at alchemy, a web3 developer platform. By educating and spreading the message, Vitto and Alchemy are working hard to adapt new users from the web2 to the web3 ecosystem.
According to Vitto, one needs to be knowledgeable about smart contracts and node operation in order to become a web3 developer. Alchemy can help in this situation. Alchemy has many nodes and an advanced node balancer that guarantee stability, accuracy, scalability, and dependability. Additionally, they offer query solutions so that APIs can be used to get tokens, NFTs, and other things without having to query the entire blockchain. The "Road To Web3" program was started by Alchemy as well. Web3 developers can enroll in a 10-week boot camp to fully equipt every necessary requirements.
b) Opinion about this Bear cycle
Vitto sees the downtrend as a positive thing. He continues by saying that this particular bear season is exceptional because it is the first time that both the cryptocurrency market and the fiat market have experienced bear markets concurrently. In fact, eliminating the weak projects and identifying the strong projects with strong business models is simpler.
Most projects will fail in a bear market, and all weak and fraudulent projects will be eroded. Vitto reminded everyone that the same thing happened in the early 2000s with the Internet boom, where many projects vanished as soon as they crushed the bear market, leaving only those with a meaningful purpose to remain.
As for a builder, the bear season offers a more comfortable and convenient time to build because of the decreased noise and hype. And because the bear market coincided with a decline in the value of digital assets, countries in the second and third world now have the chance to enter the cryptocurrency market.
c) Various types of Builders
According to Vitto, the builders are actually diversified and engaged in a variety of Crypto sectors:
DeFi: Numerous innovative protocols are being created, but since DeFi is less reputable, people are ignoring them.
Web3 games
+) No triple-A games = Must produce high-quality content for all players, not just those looking to make a quick buck.
+) Ponzi schemes will be reorganized. Then, individuals who are genuinely interested in gaming will join the ecosystem.
Wallet section: one of the busiest areas for integrating new users into the web3.
NFTs: Due to Ethereum's high gas fee, the majority of NFT builders will undoubtedly have to switch to layer 2.
d) Various types of Developers
Vitto also identifies three categories of developers that are prevalent in the crypto
Eclectic Developers: who are new to web3. These individuals include:
+) Musicians, yoga instructors, painters, photographers, CGI artists, concept artists and others
+) Those are attempting to monetize their art wil begin their developer journey
Query Developers: those with year(s) of experience who can generate a development idea regardless
Those who stick to the web 3 dream: These are the individuals who think that joining the web 3 environment will make them millionaires and guarantee their safety.
e) Vitto's perspective on the Merge
Polygon is referred to by Vitto as a very active Layer2. When it comes to branding, raising brand awareness, and working with local and web3 communities, Polygon excels. Therefore, they created an incredible social fabric work of web 3 enthusiasts in India who are like bringing their voice, and it really works.
He adds that roll-up solutions will become more prevalent as the switch from proof of work to proof of stake occurs more fairly rapidly. Vitto took notice of the fact that the merger will make the L2 chains more consumer-friendly.
a) Mudit Gupta’s introduction
Mudit has been writing a security-focused blog about the trials and tribulations of the crypto industry. Security is critical which is why projects and protocols from all over the world are looking for more. With his special skill set, he leads information and security at Polygon.
b) Opinion about the recent hacks
Mudit primarily works on security strategy at Polygon, determining what he needs to focus on, such as staying up to date with industry players who are involved and ensuring everyone is adhering to best practices and standards.
According to Mudit, centralized management and inadequate key management led to Protocols being attacked. Although the majority of DeFi may have implementation flaws, attackers will only target projects with the highest TVL.
Because implementation bugs are extremely dangerous for bridges, and bridges are among the most complex pieces of code available. The disadvantage is that complexity is clearly the greatest enemy of security. Implementation, bugs, and other blunders can occur at any time. We can simply reduce the likelihood of them occurring by increasing the number of people reviewing code, increasing audits, and implementing bug bounty programs.
c) Ethereum security after the Merge
From a security standpoint, there isn't much to be excited about in the merger, at least not on the positive side.
When proof of stake is implemented, Ethereum turns green. At least, others won't be able to attack Ethereum based on its negative environmental impact. They'll have to put in actual effort and work out something more complicated or involved. The technicality of attacking Ethereum is higher. Environmental impact is not going to be one of the things hackers can attack Ethereum on any time soon.
Although Mudit doesn't think the ethereum fork is a good idea, he does think it will happen. The good news is that it will only last a short while. He dislikes the fork because it opens up the possibility of a replay attack.
All in all, The Merge is without a doubt one of the most considerable moments in the history of cryptocurrencies as one of the largest protocols will go through a monumental change. All of this became largely exacerbated now that there’s a timeline in place, albeit “soft.”
SSV.network is a fully decentralized open ETH staking network, based on the Secret Shared Validator (SSV) development, the network will provide an open and simple infrastructure for anyone who wants to run an Ethereum validator; from DIY users all the way to staking pools and big institutional staking services.
SSV.network addresses the main issues facing Ethereum staking:
Custody & management of private Keys
Liveliness & Redundancy
Single point of failure
Security & encryption
Decentralization & Governance
SSV Network consists of 3 main ‘pillars’ - Stakers, Operators, and DAO members. Operators and stakers can take on dual roles, both staking ETH and assisting other users to manage their stake. Anyone can act as a DAO member and take a meaningful role in governing the network. A flourishing ecosystem requires all three components to grow and prosper.
The SSV.network has 2 layers:
SSV P2P Network: Is the execution layer, it reads the current operator list and validator assignments (alongside operator shares) from the Ethereum contracts and operates the validators it's assigned to.
The contract layer is the management / governance layer where actions like adding an operator, creating a validator, and paying fees occur.
Join the 8-weeks series to learn about “The Merge” with SSV Network on their Twitter!