Ethereum 2.0 vs. Ethereum Classic?
Ethereum 2.0, aka Eth2 and Serenity, is the first upgrade to the existing Ethereum Classic blockchain, intended to increase the Ethereum network’s speed, efficiency, and scalability while boosting security and making the Network more sustainable. If you already hold ETH don’t worry; there is nothing you have to do; the ETH 2.0 upgrade is happening behind the scenes, and holders should never know there is a difference.
Users of Eth-1.0 have identified bottlenecks, and there remains a need to increase the number of possible transactions/second (currently 15 to 45). The two major structural changes in Eth2 are:
Proof of stake–this is a consensus mechanism for facilitators of the ETH blockchain called Validators that look at ongoing transactions rather than this being a job of Ethereum Proof of Work miners. Validators have to put up a bond of 32ETH which is intended to prevent malpractice.
Sharding -The splitting of a blockchain into shards (multiple blockchains.) Sharding improves efficiency, as the validators will maintain their own Shard’s info. Validators will also be shuffled between shards to avoid manipulation and strengthen security, with communication between shards using the Beacon Chain.
Beacon Chain – system that coordinates ETH2.0’s expanded network of shards and stakers. The umbrella linking the shards.