Shortly after the main Ethereum merger, which changed the coin to the Proof of Stake process, ETH was subject to significant censorship. Most blocks were not subject to OFAC requirements. However, it is clear that these negative numbers are now declining. Non-compliant OFAC blocks fell to about 27 percent.
In December of last year, the percentage of non-OFAC compliant blocks was 80. Now it’s down 53 percent. This value made significant progress. This data comes from the analysis website mevwatch.info.
OFAC-compliant Ethereum blocks drop to 29%
Reduced from 80% in November 2022 👏 pic.twitter.com/JCzviOiJxL
— The Bitcoin Express (@The_BTC_Express) May 10, 2023
OFAC is the Office of the Foreign Assets Control Authority. Within the EU and US, all activity within the blockchain is checked from here. It is tasked with maintaining the countries security and detecting potential attacks.
Crypto companies that do not comply with OFAC regulations will be allowed. If a network has a high number of censored transactions, it can be severely blocked. That was the case with crypto mixer Tornado last year.
“Generally, OFAC sanctions apply to anything that could threaten the national security, foreign policy, or economy of the United States.”
The data published in the last few months also shows that more than 60 percent of Ethereum collectors use uncensored MEV relay operators such as Ultra Sound Money or Agnostic.
Collectors are tasked with checking transactions within the blockchain and then approving them. With the Proof of Stake mechanism used by Ethereum, these people are chosen randomly.
MEV Boost software pre-issues a block and passes it to a validator accordingly.
Mostly OFAC Compliant – Could That Mean a Rise for ETH?
The current block numbers show that Ethereum is now compliant with OFAC. Basically, this means that Ethereum is much safer from sanctions than other cryptocurrencies.
With the merger, you have taken a step towards a secure future. Because cryptocurrencies are constantly threatened by regulations. Within the EU, a restriction on the creation of workplaces was already being discussed. This would affect even the Bitcoin giant.
With such a regulation, politicians want to limit the enormous power consumption of cryptocurrencies. Mining produces coins that run on the Proof of Work process. The miners consume a lot of electricity, which often becomes a point of criticism for sustainability and environmental awareness.
Example: Within a year, mining Bitcoin coins consumes about as much electricity as about 40 percent of German households combined
This discussion can no longer affect Ethereum in the future, because of the big merger, electricity consumption in Ethereum fell by more than 95 percent.
If you look into the future, this could definitely be an advantage for Ethereum. Because the topic of sustainability is happening more and more in politics and also in the crypto sector.
If investors are looking for a promising cryptocurrency that is particularly sustainable, Ethereum would probably be one of the best candidates here.
Ethereum: The Shanghai Upgrade Is Complete – What Does It Mean For The Course?
The price of Ethereum today is $1,778. In the last 24 hours, the value has fallen by 2.50 percentage points. The market capitalization also fell slightly to the level of USD 213.93 billion.
Downtrend of ETH coin started last week. Initially, the price was still around the USD 2,000 mark. Step by step the support fell and the price landed at the current low of the month.
Initially, Ethereum had made significant gains after the completion of the Shanghai upgrade. From that day on, committed users could finally reap their rewards from the ecosystem.
Accordingly, shortly thereafter, ETH came under slight selling pressure. So a decline was predictable. However, the course is also suffering due to the overall weak market. Because Bitcoin, the leading cryptocurrency, is also performing poorly at the moment.
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Launchpad pre-sale: Demand is growing – first milestone reached
Anyone looking for a new investment right now should only keep an eye on known coins like ETH. New cryptocurrencies that are still in the pre-sale stage could bring returns to their traders in the future. Some also depend on a very important use case. Such as Launchpad XYZ.
The launchpad XYZ pre-sale is currently in its first phase. In this section, the LPX tokens cost $0.0375. The dynamic pre-sale should continue into the next quarter. After the launch of the coin, the developers are planning a platform on which all cryptographic applications will be listed.
From games, brokers and NFT markets to new projects, users should be able to find everything here. This should make it much easier for beginners especially to get into the crypto sector. The concept is to be rounded off with its own crypto wallet. It should also improve handling significantly.
Cryptocurrencies with potential in 2023
Cryptocurrencies are a highly volatile, unregulated investment product. Your capital is at risk.