In its latest report, CryptoQuant revealed that the amount of ETH staked on the ambitious Ethereum 2.0 upgrade has exceeded four million coins which is worth approximately $11 billion —this is based on the current value of the asset.
Ethereum 2.0 is a year-long upgrade that would shift the blockchain of Ether from the proof-of-work model to proof-of-stake, which would lead to the eventual reduction in the use of hardware and also reduce the rate of energy consumption. It is also expected that the record high transaction fees of the network would decline drastically with the upgrade.
Presently, the ETH 2.0 program is still at its initial phase tagged “Phase 0.” In 2020, it required as many as 16,000 validators and a total of 500,000 ETHs locked to launch the upgrade. Then, holders of the coin were reluctant to lock their assets for the upgrade, however, it managed to cross the minimum limit as deadline became imminent.
Since then, ETH inflows to Ethereum 2.0 has significantly increased. Users had locked a total of 1 million ETH by December 4 and twenty days down the lane; the figure more than doubled.
Besides that, the recent bull run of the crypto market has also had a positive effect on the price of Ethereum. As of last year, the second largest crypto asset by market cap was trading for $600 but today, that has increased to around $2,700, according to CoinGecko.