The Ethereum blockchain recently shifted to a new consensus mechanism requiring less power consumption, but many are concerned it may affect NFTs.
- Ethereum Network is host to several decentralized applications (DApps) and home to several non-fungible tokens (NFTs) including Bored Ape Yacht Club (BAYC). The merge from the Proof-of-Work, (PoW) to the Proof-of-Stake (PoS) consensus mechanism occurred on September 15, 2022.
- This anticipated merge has stirred several discussions within the NFT community regarding what is in store for NFTs after post-merge. Despite the markets’ slow response to the merge, NFT holders can put their minds at ease.
- Ethereum’s shift to Proof of Stake (PoS) has dropped energy consumption on the network by 99.9%, and worldwide consumption by 0.02%. Yet, critics argue that NFTs consume vast amounts of power, and the Ethereum merge would significantly reduce NFT creation.
- In a statement written to Forkast, the head of Web3 and NFTs at Protocol labs, Jonathan Victor, discussed the highlights of the Ethereum merge and NFTs. He explained: “There’s been an incredible amount of misinformation about the energy consumption of NFTs, but this migration will put even the most vocal critic’s concern to rest.”
- The Blockchain Network and its community are excited about the Ethereum merge. They are committed to the goal of zero net emissions by 2050. Earlier this month, top-rated NFT Marketplace, OpenSea, openly announced its support of the Ethereum merge. Their stance remains unchanged post-merge. As we await future developments regarding this Ethereum merge, NFT holders should keep their digital assets safe and secure.
See Related: The Misconceptions With The Ethereum Merge