The price of Ethereum (ETH), which has been rising 48% since the Merge upgrade, which will transform the blockchain to one powered by a proof–of-stake consensus, is finally giving crypto enthusiasts some relief from the bear market. The future of Ethereum is now a hot topic at the annual Ethereum Community Conference (EthCC) in Paris. On Wednesday, Cointelegraph’s events manager Maria A. spoke to Vasily Shapovalov, co-founder of Ethereum liquid-staking solution Lido Finance.
Shapovalov is a cofounder of Lido and has a strong focus technical developments. This includes makiing the algorithm and designing withdrawal protocols after the Merge. Other priorities include improving the algorithms for validator selection and updating governance protocols.
When asked about his view on Ethereum’s position in the crypto ecosystem in the next two years, Shapovalov said that the trend is that of growing consolidation and that the new upgrade, which speeds up on-chain transactions, would make certain layer-2 solutions redundant. For Shapovalov, it’s a mix between anxiety and excitement:
“The Merge upgrade is like changing the engine on a plane mid-flight. Everything, from the consensus algorithm to execution environment, is being overhauled. We know some implications of this change on elements like blockchain security, but it’s not guaranteed.
Nevertheless, the Lido co-founder expressed his optimism on the upgrade: “A proof-of-stake economy the size of Ethereum now, with a new level of competitiveness, financialization and new investment potential. It’s gonna be very scary indeed, but let’s see what happens.