Shanghai upgrade and its possible impact on the ETH price
Miroslav- 2 mins
What is the Shanghai upgrade?
- Upgrading Shanghai – This is a planned upgrade of the network Ethereum, which is due to be released in 2022. It was named after the city where the Ethereum developers’ convention took place in September 2019.
What changes will occur in the Ethereum network after the upgrade?
The main goal of the Shanghai upgrade is to improve the scalability and security of the Ethereum network. It includes several protocols, such as Ethereum Improvement Proposal (EIP) 1559 and EIP-3198, which will help improve transaction speed and reduce the cost of network operations.
How will the Shanghai upgrade affect the ETH price?
It is already known that the Shanghai upgrade will change the mechanism for determining transaction fees in the Ethereum network, which may lead to a decrease in miners’ income and increase the efficiency of the system. This may lead to a decrease in the total number of ETH entering the market and an increase in their value.
Is there any reason to expect an increase in the ETH price after the upgrade?
Although there is no guarantee that the price of ETH will rise after the Shanghai upgrade, some experts believe that it is possible. If the Shanghai upgrade helps to increase the efficiency and scalability of the Ethereum network, it could lead to greater popularity of this cryptocurrency among investors.
Why could the Shanghai upgrade change the perception of Ethereum in the future?
Shanghai’s upgrade is an important step in the development of the Ethereum network, which can improve its functionality and security. This could lead to more business and investor interest in the Ethereum network, as well as increase competition with other blockchains. This could change the perception of Ethereum as the main blockchain, which in turn could affect the price of ETH.
Conclusion.
Shanghai’s upgrade is an important step in the development of the Ethereum network, which can improve its functionality and security. Although there is no guarantee that the price of ETH will increase after the upgrade, some experts believe that it is possible. The changes that will take place in the Ethereum network after the Shanghai upgrade may change the perception of Ethereum in the future and lead to an increase in its popularity among investors.
