The assumption that Ethereum will just migrate to a fully functioning proof-of-stake (PoS) network after the merger (The Merge) somewhat overlooks the risks and effort required to move an asset with a market cap of $193 billion and 400 decentralized. DApps.
This is exactly why keeping an eye on vital network conditions is essential for anyone looking to trade the event, which is scheduled for September 14th, according to ethernodes.org. Most importantly, traders must be prepared to spot any worrying developments if something goes wrong.
In addition to the total value allocated to smart contracts of $34.2 billion, another $5.3 billion worth of ether (ETH) is taking over Beacon Chain. Currently, the network is used by various tokens, oracle providers, stablecoins, Layer 2 scaling solutions, synthetic assets, non-fungible tokens (NFTs), DApps, and cross-chain bridges.
This partly explains why the merger has been delayed several times over the years, and why it is considered the most important update in the network’s history.
For this reason, three different testnets have gone through Merge, with Goerli the last one on August 11th. Interestingly, all testnet implementations, including Ropsten and Sepolia, were shown minor issues. For example, Ethereum developer Marius van der Wijden noted that “two different terminal blocks and many out-of-date nodes” slowed the process down a bit.
The core of any blockchain network is its blocks
Regardless of the consensus mechanism: all blockchains depend on new blocks being proposed and validated. There are fixed block parameters that need to be followed in order for the network participants to take them into account.
In the case of the Ethereum Merge, the squeezing is a stack of 32 blocks that must be validated within six and a half minutes. It is important to monitor the Eth2 Beacon Chain mainnet from trusted sources such as BeaconScan from Etherscan and Ethscan ETH2 Explorer from Redot.
Red alerts on this screen may be low voting participation in eras, no final after thirteen minutes (two epochs) or sudden stops in proposed blocks.
Monitor Infura’s Ethereum 2.0 API
Infura provides an infrastructure for building decentralized applications, allowing developers to deploy their solutions without hosting their own Ethereum full node. The company is wholly owned by Ethereum venture capital group ConsenSys, which is controlled by Joseph Lubin.
According to the Infura website, projects that rely on its infrastructure include Uniswap, Compound, Maker, Gnosis, Brave, Decentraland, and Web3 wallet provider MetaMask.
Thus, Infura API monitoring is a good starting point for evaluating the performance of DApps. Furthermore, your status page should reliably display real-time updates, considering how closely Infura is connected to the Ethereum ecosystem.
Cuts, Are Validators Punished?
The Ethereum Merge consensus mechanism included penalty rules designed to prevent attacks. Any validator who deliberately misbehaves is cut off, which means a portion of their 32 ETH stake is removed. Repeated slashes at the end will cause the validator to be dropped from the grid. Staking providers and validators have built-in protection to prevent someone from inadvertently dropping out, for example if a connection drops.
Traders need to understand that slashing is a standard network procedure, and it is a precautionary measure, so it should not be seen as an immediate disadvantage. A worrying environment may be that hundreds of validators are cut off at once, indicating that your program is not working as it should.
There are over 410,000 active validators, so even if 20% or 30% of them eventually go offline, the network will continue as designed. Reducing tracking is a precautionary measure because it most likely indicates that some service, such as a hosting provider, has stopped working or some incompatibility has arisen during the integration process.
Ethereum advocates should consider monitoring external data rather than just their own node and server. There may be delays or even false warning signals, so using multiple sources of information can help avoid misleading data from a single website or social media post.
The views and opinions expressed herein are solely those of author It does not necessarily reflect the opinions of Cointelegraph. Every investment and trading move involves risk. You should do your own research when making the decision.