The Ethereum blockchain has been upgrading to Ethereum 2.0 throughout 2021, a project that will continue into 2022. The London hard fork, or split, in August introduced coin burning, which is expected to support the value of the ETH coin by reducing supply as its use grows.
The Altair upgrade was activated on the main network on 27 October. The upgrade to the Ethereum Beacon Chain tests the transition to proof-of-stake (PoS) block mining. The main Ethereum chain will merge with the Beacon Chain in 2022 to complete the Ethereum 2.0 upgrade.
The Arrow Glacier network upgrade will go into effect on 8 December, delaying the “difficulty bomb”, an increase in mining difficulty, until June 2022 as the blockchain transitions from proof-of-work (PoW) mining to PoS. Proof-of-work is the blockchain consensus algorithm used by bitcoin. It verifies block transactions and mines new coins by completing complex cryptographic calculations. PoS verifies transactions through validators that stake coins on the network, using less computing processing power and electricity.