Over 14,000 ETH Staked in Eight Hours within ETH2 Deposit Contract

Jafrin  |  Nov 5, 2020

The much-awaited Ethereum 2.0 deposit contract has been officially deployed. Upon eight hours since the announcement, over 14,000 ETH has been staked, equivalent to roughly $5.5 million.

Ethereum Gears Up for Proof-of-Stake

According to an official blog post by the Ethereum Foundation, Ethereum 2.0 is set for its final launch on December 1, 2020.

The move will push the network towards a proof-of-stake consensus mechanism, enabling the holders of Ethereum to stake their cryptocurrencies instead of the old (proof-of-work) or mining to help run the network.

However, to help the network go live, each holder needs to stake 32 Ether (ETH) deposits to the contract via the dedicated launchpad. The total deposits should amount to 16384 deposits of the 32 ETH each, with a total of 524,288 ETH or $200 million.

The Ethereum Foundation also revealed a Launch Pad, where users can sign up to become an Ethereum 2.0 validator along with the main Ethereum contract address, where all the funds will be deposited.

Ethereum advocated Ryan Sean Adams even posted on detailed guide for those wanting to stake on the Ethereum network while describing it as:

Landing $5 Million Worth ETH2 Deposit Contract Within First 8 Hours

The official deposit contract address sparked interest among the crypto community with landing over $1million in ETH deposits within an hour alone.

With eight hours since the official announcement, over 14,000 ETH had been staked, equivalent to the current price of $5 million, at the time of publication. The news caused ETH prices to spike over 5% over the past 24 hours towards $405.

Meanwhile, Ethereum emphasized that funds should not be sent directly to the deposit contract, but should be staked through the Launch Pad. Even Ethereum software developer company, ConsenSys had to clarify on Twitter, that will cause a failed transaction, saying:

"REMEMBER: DO NOT SEND ETH TO THE DEPOSIT CONTRACT! Sending Eth to this contract address will result in a failed transaction, and does not mean you are staking on Eth2."

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