Why Ethereum merge event is awaited

 The Merge is one of the big events not only in the cryptocurrency world but also attracting the attention of technology companies like Google.

any Internet users discovered that Google is also particularly interested in the merge of Ethereum when displaying relevant information and a countdown to the date The Merge takes place.

When entering the keyword "Ethereum merge" or "The Merge" in the search bar, Google returns an information box counting down to the date of the 9/15 merge along with related information such as ETH mining hash rate, degree hard to merge... On the left is an image of two black and white bears running towards each other with outstretched arms.

The interface goes back to Google's The Merge event when entering the keyword Ethereum merge in the search bar this morning.
The interface goes back to Google's The Merge event when entering the keyword "Ethereum merge" in the search bar this morning.

On his personal Twitter page, Google Cloud developer Sam Padilla said that the closer to September 15, the more the two bears get closer to each other. "The countdown was a small surprise to show our appreciation for something that has been going on for years like The Merge," said Padilla. "All information related to countdown time, hashrate... is taken directly from the blockchain".

Meanwhile, a recent CoinGecko statistic shows that Singapore is the country most interested in The Merge, followed by Switzerland, Canada, Germany, the US and the Netherlands.

What is The Merge?

Ethereum was developed by programmer Vitalik Buterin in 2013 at the age of 19, to create a digital currency system that is more flexible than Bitcoin and capable of making financial transactions quickly.

In a traditional transaction, the bank acts as an intermediary between the sender and receiver. The cryptocurrency operates without this intermediary step, every transaction is verified by a distributed network of computers. Anyone can use a computer connected to the Ethereum network to run complex math-solving software to validate transactions. The computers have to race against each other, the fastest team will be paid by the network in new digital currency.

This validation process is called proof of work (PoW), or more commonly known as cryptocurrency mining, and consumes a lot of energy. The amount of electricity used by cryptocurrency miners in a year can far exceed the annual energy consumption of some countries.

As early as 2014, the concept of The Merge appeared when Buterin proposed to move the Ethereum network from PoW to a proof of stake (PoS) method. However, this process is very complicated, so progress is relatively slow due to the need to build a new blockchain, run tests to find security holes and technical problems that could disrupt the network.

Initially, the transition to PoS was expected to take place in early 2016. After that, the cryptocurrency world believed The Merge would be deployed in June, but then it was delayed to August and continued to be postponed until September 15.


Why is The Merge interested?

According to Decrypt, all the attention in the crypto world is on the consolidation event, not just Ethereum miners. The Merge is especially important for blockchain technology, NFT users, Web3 and regulators. Even traditional semiconductor, graphics card and Internet companies are eagerly watching the event.

The first reason is because Ethereum is the world's largest decentralized Internet platform with a vibrant Web3 ecosystem. Founder Buterin said he has been preparing for the day event for many years. Consolidation means a complete upgrade of a huge decentralized system with a market value of up to $200 billion.

According to Ouke Cloud Chain data, Ethereum is attracting more than 3,000 developers and millions of users. The ecosystem has over 400 DeFi projects, 130,000 NFT contracts, and over 7,500 active nodes. All will witness and participate in this upgrade process.

The outcome of this consolidation will also answer many important questions such as: Is Ethereum self-fulfilling? Is it still the safest and healthiest decentralized Internet platform?

Second, the merger event affected many traditional companies. As a "member" of the PoW mechanism, Nvidia is one of the graphics card manufacturers that will be most affected by the event. A report from Guosheng Securities shows that in the sixth quarter of 2021, 45% of Nvidia's revenue came from gaming customers and cryptocurrency miners, equivalent to $3.4 billion.

In the first quarter of 2022, Nvidia's rival AMD also announced that 54% of revenue came from computer products and graphics cards, including VGA "mining" cryptocurrency. According to Guosheng Securities, Nvidia and AMD did not separate the cryptocurrency mining segment in the report, but looking at the graphics card craze manipulated by miners, it can be seen that this market is accounting for a large proportion.

Huang Renxun, Nvidia CEO, admitted: "Our GPU powers the world's largest distributed supercomputer, which is why it is so popular in the crypto space."

However, not only Nvidia or AMD were affected after the event. One of the key effects of Ethereum consolidation is removing miners from the network. Meaning, ha

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