Ethereum Developers Set Official Date for Major Update

According to the developers’ description Ethereum The next major software update will happen around April 12.

Ethereum Staked Tokens Will Be Unlocked Gradually With The Update

This update, called Shanghai, will allow people who stake ETH tokens to withdraw them to enable transactions on the Ethereum blockchain.

Currently, approximately 17.5 million of such staked Ethereum tokens, worth approximately $29 billion at current prices, are not accessible over the network, but these tokens provide returns for their holders.

Ethereum software developers have been working on Shanghai for months, and they were finally able to set the date after running a final software test earlier this week. The developers confirmed the target date in a call on Thursday.

Once Shanghai is operational, a wave of withdrawals is expected to begin, but this wave will be limited to keep the network safe. Waiting in line to withdraw money can take weeks or months. However, many investors like Lido cryptocurrency They stake their coins through their platform, and these platforms already give investors some flexibility with their coins.

Henry Elder, head of decentralized finance at Wave Digital Assets, said:

“I doubt we’ll see a rush of withdrawals to sell Ethereum tokens. Stakers, especially the earliest and most illiquid, are often the most connected participants in the Ethereum ecosystem.

I think there may be a short-term deterioration in ETH prices as the market tries to decipher the withdrawal data, but ultimately it is a positive catalyst. It reduces the risk of ETH by allowing withdrawals.”

*Not investment advice.