New All-Time High for Ethereum: 12.7 Million ETH Locked in Deposit Contract: Details

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Tue, 05/31/2022 - 11:22
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Glassnode has reported that the amount of Total Value Locked (TVL) in the Ethereum 2.0 deposit contract has increased to reach a new all-time high.

TVL in Ethereum 2.0 reaches new peak

As the time of the switch to Ethereum 2.0 and proof-of-stake is drawing closer, more people are deciding to invest in ETH 2.0.

By now, the all-time high of funds locked in the ETH 2.0 deposit contract has spiked to 12,718,148 Ethers. That is the equivalent of $25,017,868,930.

Earlier, U.Today reported that the switch (also known as "the Merge") to Ethereum 2.0 is expected in August.

The main improvement this event is expected to bring to the ecosystem is that Ethereum will change the proof-of-work algorithm it is currently using to proof of stake. The latter consumes 99% less energy, which would make it a lot more eco-friendly than cryptos that run on PoW, such as Bitcoin, Litecoin and DOGE.

Investors keep increasing the supply of Ethereum locked in the deposit contract in order to later receive profits from staking.

On April 10, according to the Glassnode chart, the amount of Ethereum locked in the contract was 11,347,810 coins. Over a million ETH have been added since then.

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Ethereum back above $1,900

At the moment, Ethereum is recovering some of its recent losses as it has risen back to the $1,970 level. Recently, the collapse of Terra's Luna and its algorithmic stablecoin, UST, pushed Bitcoin, Ethereum and the whole crypto market into a pit of red.

To cover their losses from the plunge of LUNA and Terra below zero, traders and investors began selling BTC, ETH and other cryptos. The Bitcoin price fell below $30,000, and Ethereum went down under $1,900.

At the time of this writing, BTC has recovered to the $31,570 zone and Ethereum is changing hands slightly under $2,000.