Vitalik Buterin Ethereum, founder, said the payment system using virtual assets will be activated again after the planned conversion of equity certification (PoS) in mid- to late September.
The plan is to reduce transaction costs (gas costs) by transmitting data by compressing and processing the amount by switching the PoS chain.
Vitalik Butane, who took the stage at the main conference of ‘Korea Blockchain Week 2022’ held at the Parnas Hotel in Seoul on August 8, said, “PoS conversion is the biggest upgrade in Ethereum history and is the final stage.” “The development focus will be scalable after the transition.”
PoS conversions can improve transaction speeds and fees compared to existing “PoW” which has a slow pace and high commission. In addition, block verification based on the stake in virtual assets can significantly reduce power consumption compared to existing methods that require calculation.
“We will compress data with roll-up compression technology so that more transactions can be put into the block,” he said. “This will reduce gas costs and make it a chain that more people can easily use.”
Vitalik said, “The transaction cost has been expensive, but in general, the blockchain should be cheap to succeed.” In fact, in Argentina, virtual assets were used for actual economic activities such as corporate management and savings, “He said.
In particular, the plan is to revitalize the virtual asset settlement system, which was noticed at the beginning of the blockchain, through this process.”In low-income countries,
the existing financial system is often ineffective, and even if it is not linked to developed countries, it is using payment using multi-indexed virtual assets,” he said. “After the PoS transition, gas costs will be reduced from 0.002 cents to 0.005 cents, which will enable more people to use stable or efficient virtual asset settlements.”