💥 Ethereum $10k in 2022
Biggest blockchain upgrade in history could happen in June
Dear Godfather Investor followers,
ETH is undoubtedly the most useful money in the cryptocurrency ecosystem.
Its process prospects look very promising, so it seems profitable to keep direct exposure to this asset.
Moreover, it is possible to take out about 4% extra while holding it through yield farming and staking strategies.
The famous Merge is expected to occur in mid-2022. This can catapult ETH to $10k by the end of 2022, and due to the drop in daily issuance, it can catapult your staking to 10-15%.
What is the Merge?
It is one of the most anticipated moves within the Ethereum ecosystem. It is about changing the mechanism by which ETH will stop being Proof-of-work (POW) to start being proof-of-stake (POS).
This has been commonly referred to as ETH2.0. Initially, it was planned to be available by mid-2020 but was delayed to ensure a secure migration.
Today we have a date of when this Merge will take place, and everything points to it being in:
Why be bullish.
ETH is the money of the future, not only in the real world but also in the metaverse. With this paradigm shift, we have that:
- ETH will stop being inflationary and become deflationary (partially) after EIP-1559.
- The Merge will cut validator rewards to solidify this.
- POS is > 99.99% more energy efficient
Expected staking rewards of 10-15%.
2 months to merge
Although the date could be modified, there are 5 factors that seem to indicate that it will happen in June.
- There’s a planned ‘difficulty bomb’ coming mid-June.
- Danny Ryan signaled that a delay in the bomb wasn’t needed.
- The Merge Mainnet Readiness Checklist is nearing completion.
- Devs are being picky about delays.
- The Kiln testnet is testing the Merge.
This would be the most important upgrade in the history of the blockchain and will surely be the most important upgrade in history. This upgrade would mean that Ethereum would become the first profitable network, and those who continue to believe that crypto has no cash flows should rectify.
Currently, we have the inflation rate of ETH at around 3.8% per annum. This is a rate at which it could already become money and would be infinitely better than FIAT money.
Once the Merge is completed in just a couple of months, we will have a (partially) deflationary product.
This means that our ethers increase in value over time.
On the other hand, POS will raise the incentive for staking ETH. The safest bet is Lido, which gives around 3.9% APY. This rate could reach 10-15% once the Merge happens.
Can you imagine your money being worth more and more and also having a 10% return?
This could mean a 2-3x increase in returns.
In addition, the issuance rate will be reduced by 90%. This will make ETH the world’s first profitable mainnet.
Currently, retail PoW miners are earning 12,000 ETH per day, and are forced to sell a significant percentage of that to cover expenses for their electricity consumption.
Post-merge, PoS validators will earn 1,280 ETH per day and have effectively no reason to sell ETH to cover operational costs.
We’re going from 12k to 1,280 ETH in daily issuance and thousands of ETH in daily sell pressure to 0.
For all these reasons, experts think that an intermediate scenario could send ETH to $10k.
Godfather Investor is very bullish on ETH. To not be bullish on a much better form of money than the existing one is to go against progress.
Anything that improves us as a society tends to stay with it. Therefore, ETH will stay.
At the regulatory level, central banks will try to ban it, as they have done so far. But always with the same result.
Many exchanges such as Crypto.com and Binance have already released cards to pay with ETH (they convert on the spot), and Ledger is expected to release theirs soon.
This will be a revolution in the way we understand finances and our children will tell us how we were able to pay the POW gas fees.
Over the next few weeks I will show you how to get the most out of your ETH.
If you want to keep up to date with all the news in the crypto world and not regret opportunities like this, do not hesitate to subscribe.
See you soon.
This article is for informational purposes only. It should not be considered Financial or Legal Advice. Not all information will be accurate. Consult a financial professional before making any significant financial decisions.