The upcoming upgrade in Ethereum Shanghai will allow the users to start withdrawing staked Ether- which would then increase the liquidity of the network, as well as the competitiveness whilst boosting the staking ratio far closer to the other competitors.
This upgrade is considered to be a hard fork of the crypto blockchain that has been tentatively scheduled to take place in March. The upgrade will also implement around five separate Ethereum Improvement Proposals- with the headline being the EIP-4895, which would then allow the users to start withdrawing their tokens- which have been locked up and also represents the staked Ether from the chain of Beacon.
Ethereum Shanghai Could Be A Boon To Other Investors
The ability that the upgrade of Ethereum Shanghai will present users in staking Ether could lead to a massive increase in the market liquidity- while making it quite easy for the users to access their funds. The liquid staking platforms of the blockchain, which did crop up in order to alleviate the prohibitive lock-up of the blockchain, as well as the staking requirements, could also benefit a lot from this upgrade. Since the network of Ethereum moved to a proof-of-stake in the September of 222, the increase in staked Ether has become quite necessary to secure the protocol.
According to an investor, many other investors will also look towards opting for a liquid staking option after the Ethereum Shanghai upgrade- for they will be able to utilize the liquid staking derivatives on a bunch of decentralized finance networks without having to forfeit their staking yield.
