What is Ethereum 2.0?
Ethereum has pre-released its Ethereum2.0 specification in GitHub, In this, they divide this process into Two phases called phase 0 and phase 1.
Phase 0 – The Beacon Chains
Phase 1 – Shard Data Chains
Ethereum 2.0 is also called as serenity by Vitalik Buterin. Ethereum 2.0 is a system upgrade that solves a lot of Ethereum 1.0 issues and creates a better and faster Ethereum ecosystem.
Vitalik Buterin’s main vision is to move the proofing subsystem from proof of work (Pow) to proof of stake (Pos). As a result the Ethereum core team’s preparation began almost at the launch of Ethereum. They created a roadmap called “Serenity” to achieve this.
As planned the Ethereum team launched major system upgrades like Metropolis, Byzantium and more recently Constantinople/St. Petersburg.
Ethereum 2.0 Key Projects
1.Proof of Stake (Beacon Chain)
Currently, Ethereum blockchain is running with proof of work (PoW) consensus. In this new design, Ethereum network would run on the blockchain with proof of stake consensus and alongside the PoW network. This is called Hybrid PoW/PoS Consensus.
Proof of Stake
The Proof of stake consensus system uses cryptocurrency deposits to secure blocks on the blockchain network. It requires validators to purpose and vote on new block transactions. The weight of each vote is proportional to their deposited Ethereum on the network otherwise called the “stake”. The validators are rewarded to follow the protocol guidelines in the transaction fees associated with each Ethereum transaction. If validator acts dishonestly then their deposit will be burned by the network and they would be prohibited from participating in the validation process on the network. Other miners and voters choose the bad miners.
The beacon chain is the new proof of stake blockchain running in parallel with current PoW blockchain. They created and deposited a smart contract in Ethereum blockchain that will allow one to be a validator by sending ether(32ETH) into the contract. When validator deposit Eth into the Deposit contract they will be in pending validator set on the beacon chain. Once they become an active validator they will participate as a validator on the network. In beacon, the only active validator can propose and attest blocks to the beacon chain. Proposers and attestors are randomly selected from the active validators pool using a random process called RANDAO+VDF. This Process will reduce the validator influences in the network, and prevent gaming of the network.
Shard Data Chains
Sharding is the first phase of the Ethereum 2.0 scalability project. We know that Ethereum 1.0 transactions are processed sequentially. This serial transaction process increases the time delay in a transaction and is a one-way pipeline process. With the help of this sharding process, the ethereum netework creates a cross-link between different blocks on a network. It creates different sharded chains in between the ethereum platform. Therefore, all the nodes in the network need to participate in the transaction. With support for parallel transactions between different shard chains, many more transactions can happens per sec on the Ethereum network. This increases the performance of the network. It is expected that a sharded Ethereum will be able to process more than 15,000 transactions per second.
We all know that Ethereum Smart contracts are currently written in solidity/Vyper and compiled into EVM code which executed in ethereum blockchain but Ethereum2.0 will use the eWASM compiler to execute the transactions.
eWASM is being developed to replace EVM. eWASM is based on the web assembly, It is developed by open standard W3CCommunity group with a lot of active developers. eWASM will support different languages,easily portable and more secure than EVM.