[ad_1]
Image: AI generated via Midjourney.
The Ethereum network reached a milestone of 1 million validators on Thursday, staking approximately 32 million ether worth an estimated US$114 billion.
This figure accounts for approximately 26% of Ethereum’s total supply.
The Ethereum blockchain’s transition to a proof-of-stake system in September 2022 helped attract this large number of validators, who were rewarded for their contributions to the network’s security.
Lido, a major staking pool, holds around 30% of all ETH staked and has emerged as the preferred platform, allowing individuals with small holdings to participate in staking.
However, the increase in the number of validators has sparked debate within the Ethereum community, with some raising concerns about the possibility of overstaking and a potential increase in transaction failures.
In the regulatory realm, the US Securities and Exchange Commission (SEC) has reportedly issued subpoenas to entities associated with the Ethereum Foundation.
According to Fortune, these legal actions are part of an investigation into the foundation’s dealings, with a focus on nonprofit organizations headquartered in Switzerland.
The Ethereum Foundation is known for its role in the development and governance of the Ethereum blockchain.
Some companies reportedly received subpoenas shortly after Ethereum moved to proof-of-stake from its previous proof-of-work model.
The regulator’s action sparked debate over the potential impact on classifying Ether as a security.
Regulators have postponed decisions on several of these Ether ETF applications and are expected to make decisions on May 23.
Larry Fink, CEO of BlackRock, one of the Ether ETF applicants, said such a financial product would be possible even if the digital asset were classified as a security.
[ad_2]
Source link