The long-awaited deposit contract for Ethereum 2.0 has finally been rolled out opening up betting opportunities for ETH holders.
Observers like The Crypto Cactus started to seriously deposit more than $ 1 million worth of ETH in contracts within the first half hour.
“$ 1,000,000 locked in $ ETH 2.0 for 30 minutes … Just remember for anyone betting, a one-way bridge, I sent over 32 ETH.”
At press time, approximately eight hours after the official announcement, just over 14,000 ETH have been deposited according to ETH 2 Launchpad. At today’s prices, that equates to about 5.5 million dollars. For the Beacon Chain mainnet initialization event to start, 524,288 ETH from 16,384 validators are required.
The Ethereum team and some community members have targeted December 1 as the date when this will happen. The target amount must be in the seven-day contract prior to the Phase 0 launch, otherwise it will be delayed for one week until the threshold is reached.
The launch of the deposit contracts has sparked a staking debate in the crypto community and there appears to be some hesitation among the regular investors to date. In its third-quarter DeFi report, ConsenSys suggested that higher profitable opportunities in DeFi could hinder participation in betting.
For comparison, the $ 5 million stash is only a third of the amount DeFi degens poured into the uncensored, unreleased Eminence contract, hacked while developer Andre Cronje was sleeping.
Part of the reason for the hesitation could be that ETH staked on the Beacon Chain needs to be locked for a long time, prompting some to question whether the returns prove it. The ETH 2 touchpad explains:
“Switching between validators will be disabled until at least stage 1. Validators will have to wait until phase 2 (about two years) to be able to retreat to a particular segment. “
Ethereans Diehard people like Ethhub founder and Daily Gwei author Anthony Sassano are still unmoved.
See a lot of hot (and mute) today about eth2.
Regardless of what these people say, I will put my ETH at stage 0, knowing well about the risk I’m taking.
I’ve been waiting for this for almost 3 years – the trolls’ concern won’t stop me.
– Anthony Sassano | sassal.eth ⛽ (@ sassal0x) November 4, 2020
Ryan Sean Adams, an Ethereum advocate, who recently posted a ‘how-to’ guide for those thinking of betting, described it as;
“This is the biggest initial bond offering to the world’s largest non-sovereign economy that the world has ever seen.”
However, the annual returns decline rapidly, with more and more ETH staked. Five million ETH staked will yield a return of around 7%, which will drop to just under 5% when 10 million ETH is deposited.
Currently, there is a lot of excitement in the Ethereum community, as many have waited so long for everything to happen on ETH 2.0. ETH price reacted to this news with a 5% gain over the past 24 hours to reach $ 405.