Ethereum co-founder Vitalik Buterin on Monday said the next 10 years will transform Ethereum (ETH) and the whole crypto industry. The Merge will push for crypto payments adoption and new use cases as transaction fees will drop below $0.05 due to scaling and improved efficiency.
Merge Will Bring Back Crypto Payments and Usefulness: Vitalik Buterin
During the Korea Blockchain Week 2022 conference on August 8, Vitalik Buterin claims the Merge will bring back crypto payments and other usefulness of blockchain and crypto that subdued after 2018. The next 10 years will transform Ethereum and the crypto space.
The transition from PoW to PoS consensus with the Merge will drastically reduce the gas fees for transactions. In addition, scaling with Layer-2 Zk-rollups and blockchain compression with Verkle trees under the Surge and Verge phases will bring crypto payments and other use cases in the future.
“Once we have scaling technology, it actually becomes possible to really try to make crypto payments mainstream again. In the future, with rollups, with all of the improvements to efficiency, the transaction costs could go down to US$0.05 or even be as low as 0.2 cents.”
Vitalik Buterin believes lots of crypto applications are promising in theory, but are not practically possible today. However, the Merge will potentially make those applications possible.
Moreover, as the Ethereum developers look into Surge, Verge, Purge, and Splurge upgrades, the team is also planning to protect Ethereum from quantum computing attacks in the future.
Further, Vitalik Buterin confirmed that Ethereum miners moving to Ethereum Classic are unlikely to impact the Merge. After the Merge, it will take at least 6-8 months for Ethereum (ETH) to priced-in, in both market and psychological terms due to the cleanup phase.
Ethereum (ETH) Price Rally Ahead of the Key Event
The Ethereum (ETH) price has rallied fast due to the community’s optimism regarding the Merge. Despite enjoying the upside momentum, the market rally seems to be short-lived due to a bear market rally.
In the last 24 hours, the ETH price soared over 3%, with the current price trading at $1734, considerably higher above the psychological level of $1500.
The community reactions on the Ethereum price after the Merge remain mixed.