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Roughly 2.6 million out of the currently existing 114.3 million (ETH) coins in supply has already been sent to , according to crypto metrics platform Dune Analytics.
That’s worth $3.2 billion at current prices.
To launch Ethereum 2.0 initially, users needed to stake at least 524,288 ETH on it. There is now 4.9 times more ETH staked than that.
According to CryptoQuant, over 4,800 users have deposited 32 (the minimum amount required for staking) or more ETH to the blockchain’s 2.0 iteration.
Proof of stake allows validators to stake their tokens for the right to verify a transaction. They are selected to propose a block based on how much crypto they hold—and for how long.
This will replace the current system that uses energy-intensive mining (as Bitcoin does), which heavily relies on raw computational power.
How does proof of stake work? Well, after enough validators have attested that they have “seen” a block, it can be added to the blockchain. The validator will be rewarded for the successful block.
The main advantage of such a system is that it is far more energy-efficient than proof of work. Validators also don’t need to have powerful computers in order to help secure the network.