Original Title: "Don't Sleep on the Merge [LITE]"
Source: Bankless HQ Newsletter
Author: David Hoffman
Compiled by: 0x711, BlockBeats
Why the Merge Happens in June—And What It Means for ETH
Three Months Until the Merge
SuperPhiz, an active member of the EthStaker and Rocketpool communities, has highlighted five key signals suggesting the Merge will occur in June (see detailed analysis):
- The planned "Difficulty Bomb" is set for mid-June.
- Danny Ryan confirmed no delay for the difficulty bomb is needed.
- The Mainnet Merge Checklist is nearly complete.
- Developers are meticulous about avoiding delays.
- The Kiln Testnet is actively testing the Merge.
Barring major unforeseen issues, the Merge is highly probable by June—just three months away.
This upgrade is unprecedented in blockchain history, with long-term implications for Ethereum’s role as a global settlement layer. Yet, many in and outside crypto remain unaware of its significance.
👉 Discover how Ethereum’s Merge could redefine crypto economics
Post-Merge ETH Dynamics
- Current Staking: 10.5M ETH locked in the Beacon Chain yields 4.8% APY.
- Post-Merge: Staking rewards surge to 10–15% APY (2–3x increase), while ETH issuance drops 90%.
- Reduced Sell Pressure: Daily ETH emissions fall from 12,000 to 1,280, eliminating miners’ forced sales for electricity costs.
Key Questions:
- How much ETH will be staked post-Merge?
- Where will ETH liquidity come from with reduced sell pressure?
- What price levels will emerge?
Answers arrive in three months.
The "Triple Halving" Effect
Bitcoin’s halving reduces new supply by 50% every 4 years, historically triggering bull markets. Ethereum’s Merge cuts supply by 90%—equivalent to three Bitcoin halvings in 12 years.
- Bitcoin (2020 Halving): Eliminated $3.6M daily sell pressure at $8,000/BTC.
- Ethereum (Merge): Removes $27–30M daily ETH sell pressure while boosting staking incentives.
If Bitcoin’s halving sparked rallies, Ethereum’s "triple halving" could be monumental.
👉 Explore ETH’s post-Merge investment potential
FAQs
1. When is the Ethereum Merge expected?
- Likely June 2022, pending final testnet success and developer consensus.
2. How does the Merge affect ETH staking rewards?
- Rewards jump from ~4.8% to 10–15% APY due to reduced issuance and fee burning.
3. Why is the Merge compared to Bitcoin’s halving?
- Both reduce new supply, but Ethereum’s 90% cut dwarfs Bitcoin’s 50%, potentially amplifying market impact.
4. Will the Merge end the crypto bear market?
- While bullish, macroeconomic factors may delay price effects. Bankless argues the Merge remains undervalued.
Conclusion
Ethereum’s Merge is a generational shift—underappreciated but poised to reshape crypto economics. As Bankless warns: Don’t sleep on it.
"Bankless told you."
### Keywords:
Ethereum Merge, ETH staking, Triple Halving, PoS transition, Crypto supply reduction, Post-Merge economics, Blockchain upgrade, Bankless analysis