Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Mainnet Merge Announcement

blog.ethereum.org

Post reply on HN
Print view View original

481–490 of 609 posts

Re: Mainnet Merge Announcement

#481

Post by dsimmons »

everfree wrote: post #387
Seattle3503 wrote: post #372

Does staking make Etherium deflationary? (or make it more deflationary if it already is)

According to ultrasound.money, Ethereum's current 30d inflation rate is 4.1% annualized. If the merge were already behind us (flip the "simulate merge" switch), inflation would be 0.1%. So, not quite deflationary but pretty close. If Ethereum network usage picks up again like it did in 2021, Ethereum will experience long stretches of time where it is deflationary. https://ultrasound.money/

This. Based on current activity, it gets close, but if/once fees rise again, there's a threshold above which it becomes net deflationary.

Re: Mainnet Merge Announcement

#482

Post by everfree »

coolspot wrote: post #434
everfree wrote: post #387

Earlier quoted context omitted.

According to ultrasound.money, Ethereum's current 30d inflation rate is 4.1% annualized. If the merge were already behind us (flip the "simulate merge" switch), inflation would be 0.1%. So, not quite deflationary but pretty close. If Ethereum network usage picks up again like it did in 2021, Ethereum will experience long stretches of time where it is deflationary. https://ultrasound.money/

Not sure this is correct. PoS issuance rewards are 4.6%/year, which can be offset with burn rate, but it is at 0.5% now. The site projects that in 200 years, burn and issuance will be at equilibrium.

> PoS issuance rewards are 4.6%/year

PoS issuance is 4.6%/year per staked ETH.

Only 14M of the total 120M ETH are staked right now, making the real issuance only 0.5%/year when taken as a percentage of total ETH supply.

Subtract the 0.5% burn rate from that 0.5% real issuance rate (with rounding errors), and that's how you get Ethereum's current situation of being "pretty close" to deflationary.

Re: Mainnet Merge Announcement

#483

Post by colinsane »

swalsh wrote: post #277
muglug wrote: post #11

Earlier quoted context omitted.

As long as Bitcoin is still around crypto will have a heavy environmental asterisk attached to it. But, at least to me, this will make ethereum-based NFTs of interesting art a more morally-justifiable purchase.

You can bridge bitcoin natively to Avalanche (look up btc.b) and then you can trade bitcoin with low fees, fast finality, get smart contracts, use it in defi.... oh, and it's proof of stake already so more environmental. Just saying :)

that just makes the environmental asterisk bigger. you buy bitcoin you wouldn’t have bought otherwise (or would have sold otherwise), bridge it, lock it up on a different network. these actions marginally push the price of bitcoin up. higher price means (temporarily) more profitable mining, means miners divert more power to mining.

Re: Mainnet Merge Announcement

#484

Post by beambot »

dsimmons wrote: post #479
IncRnd wrote: post #474

If anyone wonders why many "regular people" are uncertain about doing anything with cryptocurrencies, look at the top of this article for the reason. It's not that people are incapable of understanding the subject, but that the purveyors of the subject constantly coin new words and meanings. * Ethereum is moving to proof-of-stake! The transition, known as The Merge, must first be activated on the Beacon Chain with th…

To be fair, I think this is mainly aimed at developers (and ETH ecosystem developers specifically). While I don't disagree that there's a "vocabulary" problem (e.g. "dank-sharding"), in a perfect world, a normie would largely just interact with an application without needing to know any of this.

Spot on: This underlying infrastructure isn't meant for "regular people", it's meant for the people who directly build atop it. By way of example from TradFi, the news updates from SWIFT about ISO-20022 is similarly laden with jargon:

https://www.swift.com/news-events/news/iso-20022-bytes-payme...

Re: Mainnet Merge Announcement

#485

Post by simpleblend »

IncRnd wrote: post #474

If anyone wonders why many "regular people" are uncertain about doing anything with cryptocurrencies, look at the top of this article for the reason. It's not that people are incapable of understanding the subject, but that the purveyors of the subject constantly coin new words and meanings. * Ethereum is moving to proof-of-stake! The transition, known as The Merge, must first be activated on the Beacon Chain with th…

1. This is mostly for developers 2. The iPhone was once new. Electric vehicles were once new. People will adapt.

Re: Mainnet Merge Announcement

#486

Post by hartAtWork »

idiotsecant wrote: post #317

In this thread: A million crypto tribalists whatabouting and clutching pearls and absolutely nobody talking about what this is - a pretty cool organizational and technical achievement. Fantastically well done to the cat herders and cats that we call the Ethereum dev community, this is a prime example of how things can get done not by relying on the profit motive of a large corporation of the interests or a nation-sta…

Amen

Re: Mainnet Merge Announcement

#487

Post by AgentME »

swalsh wrote: post #351
exo762 wrote: post #245

Earlier quoted context omitted.

There is an amazing proposal [0] on building trustless bridge for BTC on Ethereum. Leona Hioki is GOAT. [0] https://ethresear.ch/t/trustless-bitcoin-bridge-creation-wit...

Check out btc.b on Avalanche. Already exists.

The Avalanche Bridge isn't trustless. It's dependent on specific privileged operators to continue functioning who have the ability to cheat or get hacked.

Re: Mainnet Merge Announcement

#488

Post by josu »

hn_throwaway_99 wrote: post #330
josu wrote: post #228

Earlier quoted context omitted.

Never. PoW is a fundamental part of what makes bitcoin valuable.

It's also fundamentally limits the growth potential of BTC. In a PoW system, the amount of work done must be proportional to the total value of all BTC (if not, it would make 51% attacks feasible). So if BTC uses an Argentina's worth of energy now, if the value of BTC grew 10X it would have to use on the order of 10 Argentina's worth of electricity. Obviously, that is not sustainable, and it ensures BTC can never gro…

If the hashrate can't keep up with the price increase because it has exhausted all sources of available electricity, then difficulty will adjust down.

This doesn't limit the potential growth of Bitcoin, it only puts an upper bound on the security per block.

Re: Mainnet Merge Announcement

#489

Post by josu »

operator-name wrote: post #407
josu wrote: post #228

Earlier quoted context omitted.

Never. PoW is a fundamental part of what makes bitcoin valuable.

It should be clear that a lot of Bitcoin's value is in its established history, legacy and to some extent trust. This is it's key differentiator to any other chain. PoW is part of Bitcoin's history and legacy, but it isn't PoW itself that gives bitcoin value.

Thanks for expanding.
Post reply on HN