The lengthy transition to Ethereum 2.0 seems to be getting even lengthier. The second most popular cryptocurrency is slated to move to a Proof of Stake model from a Proof of Work algorithm. This means that the present method of validating transactions using bandwidth and power-hungry GPUs will be replaced by a greener, eco-friendly alternative. As a result of this, Ethereum will become infeasible for GPU mining, thereby helping ease the ongoing shortages.
The Ethereum Foundation has announced the launch of the first Ethereum 2.0 Testnet dubbed Kintsugi. The testing and bug-fixing will be carried out for a few months, after which it will be merged with the primary node. It is worth noting that several other Testnets are planned to be launched after Kintsugi in order to eliminate any possible vulnerabilities before the full fledged merger of Eth1 and Eth2.
The exact dates of the Testnets haven’t been disclosed, but if all goes smoothly, you can expect a full-fledged migration to Ethereum 2.0 in the first half of 2022. This is also hinted at by the postponement of the activation of the Ehereum difficulty bomb to May 2022.
This implies that GPU miners have roughly six months or so to extract the most revenue out of their hardware. Although GPU mining will continue to exist with newer coins like Raven, Grin, Monero, bringing in decent rates of revenue for industrial miners. However, the vast majority of miners still rely on Ethereum for the bulk of their earnings, and the switch to Ether 2.0 will greatly curb GPU mining.
