The Ethereum 2.0 Deposit Contract Isn’t Getting Enough Transactions to Meet the Activation Deadline

BlocDesk Ethereum Transaction Fees Ethereum 2.0 0.1 ETH

As the entire Ethereum community eagerly awaits Ethereum 2.0, the deposit contract has already been launched. Despite attracting initial deposits, it is difficult to determine how successful this contract is today. Some statistics indicate things may not necessarily be looking too great.

Ethereum 2.0 Deposit Statistics

As we touched upon briefly on the website, the Ethereum 2.0 deposit contract is officially open for business. While the effective network upgrade has yet to be given an exact date,there is some interest in this contract already. Earlier this week, deposits tallied up to over $10 million, which is a very impressive statistic. 

That being said, there are other statistics worth paying attention to as well. To participate in Ethereum 2.0 staking, users need to own at least 32 Ether. In recent months, this “32 Ether Club” has grown by leaps and bounds. Many people eagerly await this promised switch to proof-of-stake, albeit there are still several unknown factors to take into account.

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Blocdesk Ethereum 2.0 Deposits
Source: Dune Analytics

Going by the current statistics, nearly 46,000 Ether has been deposited to the Ethereum 2.0 contract so far. A good amount, but nothing overly spectacular either. Ethereum’s market cap is well over $25 billion, thus this amount only represents a fraction of what the community can effectively contribute.

Speaking of which, there have been 209 unique depositors. A very low number, considering how there have been 1,466 transactions to date. This means every user sending money to the contract expects to run 7 staking “nodes”. There’s nothing wrong with wanting to get a bigger piece of the network staking rewards. At the same tie, it shows the overall interest is – for now – rather minimal. 

Other Curious Statistics

The main contributor to the Ethereum 2.0 contract balance has sent 13,888 ETH in recent days. That amounts to 434 proof-of-stake nodes reaping rewards once the network upgrade goes live. Competing with such whales will be a big challenge for “normal” users. That said, all users should be rewarded equally and evenly over time. 

Keeping in mind how there need to be at least 16,384 validators by December 1st, there is a very long way to go. Moreover, the overall threshold to be met is 524,288 ETH. Currently, there is less than 10% of the required amount deposited into the contract. 

BlocDesk ETH 2.0 Depositors
Source: Dune Analytics

While there is no reason to panic yet, it remains to be seen if the December 1 deadline will be met. If not, everything will be pushed by at least one week. More weeks will be added if the threshold fails to be met by that time. 

All things considered, it may take a while until Ethereum 2.0 goes live. Whether that is a good or bad thing, will always be subject to individual interpretation. Judging by the current rate of deposits, no major changes need to be expected overnight.