When does Ethereum pledge end (how does Ethereum pledge)

When will the Ethereum pledge end and when will the Ethereum pledge end? The more ETH pledged, the lower the price of Ethereum

Generally speaking, the number of tokens locked on Ethereum is fixed, but as time goes by, this situation will become less and less; The time of pledge is usually the result of changes in the price of Ethereum (such as Bitcoin); Therefore, the timing of the pledge also changes accordingly. (Note: Between 1am and 3am on April 23rd, which means the pledge has already started). This paragraph vividly outlines a cycle where when the price of Ethereum fell from $1000 to around $3000- $4000, investors believed that the ETH price had already fallen So when users sell their ETHs, they can transfer them to new ETH addresses in exchange for new ETHs to pay transaction fees. But if the price of ETH continues to rise and transaction costs decrease, then this process will be postponed to 5 days or more until it returns to normal. Then, holders need to wait for 6 months to fulfill their promises. In this way, even in extreme market conditions, investors may withdraw from the pledge plan due to insufficient collateral and market uncertainty, ultimately leading to a decline in the price of Ethereum. At present, there are two types of miners in the Ethereum network, namely, the PoS miner (Proofstock) and the ETH pledged by those who use the proof of interest mechanism. They are all operated based on the verifier node. Among them, workload certification is the most commonly used form of reward. Due to the popularity of workload certification and the fact that each participant receives different rewards, we typically see an increase in the number of “active” mining pools, which motivates miners to choose to join the Ethereum network. However, for most mining companies, “active” mining machines are not attractive, because the growth rate of Ethereum computing power is far faster than the cost of digging other Cryptocurrency, so there is little demand for Ethereum. On the other hand, Ethereum has also been significantly affected by the recent DeFi craze, such as Sushiswap, Aave, Compound, etc. In the past few quarters, the total market value of DeFi has reached $2 trillion However, although some predict that DeFi will become a huge industrial ecosystem within the next five years, people still hope to fund their investment behavior in a way that can maintain value, that is, by pledging ETH to obtain profits, as the price of Ethereum continues to decline. However, some people also said that this was a speculative gamble (just like avocado in 2017): before Ethereum 2.0 went online, many investors were still worried that they could not afford their pledged ETH

For example, after the launch of Ethereum 2.0 test online in early 2019, a large number of investors sold the pledged Ethereum, leading to a sharp rise in the price of Ethereum, but there was no actual use case

How does Ethereum pledge

Ethereum is the world’s largest distributed smart contract platform and one of the blockchain projects with the highest market value at present. The pledge process of Ethereum mainly includes four steps: verifying blocks; Mortgage ETH Through BeaconChain, users can participate in network governance, pledge their assets, and pledge rewards. At each stage, a simple check is required: will the validator receive the token? If they do not accept the commission, they will not be able to continue receiving rewards. To ensure that these data can be stored and used correctly, We suggest the following two ways to achieve this goal: 1. provide funds for transactions 2. purchase ETH for pledge rewards 3. pay gas fees with these Tokens 4. pay GAS fees to third-party wallets 5. send tokens or other things from external wallets 6. transfer to your Ethereum address anywhere 7. use the Staking function 8. pledge ETH to earn interest 8. and ETH holders have two ways to choose the three options with the highest yield 9. obtain interest through pledge According to the pledge yield, the pledgor can distribute the income proportionally to the pledged ETH share.