Ethereum 2.0, also known as Eth2 or Serenity, represents a major evolution of the Ethereum network. This upgrade introduces significant enhancements, including sharding, a Proof-of-Stake (PoS) consensus mechanism, and a new virtual machine. The transition is structured in multiple phases to ensure a smooth and secure rollout.
The New Ethereum 2.0 Roadmap
In late 2020, Vitalik Buterin introduced an updated, rollup-centric roadmap for Ethereum. This new direction emphasizes the use of layer-2 scaling solutions and optimizes the overall structure for faster implementation and greater efficiency.
Key Changes in the Updated Plan
The revised roadmap focuses on several critical adjustments:
- Emphasis on Rollups: Phase 1 has been simplified to data sharding, which serves as a data availability layer for rollups and other layer-2 solutions.
- Execution-Enabled Beacon Chain: The Beacon Chain will support execution, allowing the current Ethereum mainnet to merge directly into Ethereum 2.0 without being treated as a separate shard.
- Parallel Development: Work on light client support, data sharding, and the merge of Eth1 and Eth2 will proceed concurrently rather than sequentially.
- Postponement of Phase 2: Native shard execution is temporarily deprioritized but remains a possible future upgrade.
This approach accelerates Ethereum’s scalability and usability while maintaining flexibility for future improvements.
Development Phases According to the New Roadmap
Based on comments from core researchers, the expected delivery order is:
- Phase 0: Proof-of-Stake (Beacon Chain)
- Phase 0.5: Light Client Support
- Phase 1: Data Sharding
- Phase 1.5: Merge of Eth1 and Eth2
- Phase 2: Execution with Built-in Virtual Machine
These phases are designed to be implemented in a modular, parallel manner to reduce time-to-market for key features.
The Original Ethereum 2.0 Roadmap
The original Serenity upgrade was organized into multiple phases, each introducing foundational changes to the network’s architecture.
Design Principles and Goals
Ethereum 2.0 is built on core principles and goals that guide its development:
- Simplicity: Prioritizing minimal complexity in protocol design to improve security and reduce development overhead.
- Long-Term Stability: Creating a base-layer protocol that requires minimal changes over a decade or more.
- Resilience: Ensuring network operation continues even under significant node outages or partitions.
- Security: Leveraging cryptography and design techniques to maximize participant count and validation security.
- Light Client Verifiability: Enabling efficient validation with minimal data requirements.
These principles ensure that Ethereum remains decentralized, secure, and accessible.
Phase 0: The Beacon Chain
Phase 0 marks the launch of the Beacon Chain, which introduces Proof-of-Stake consensus to Ethereum.
Core Features of Phase 0
- Proof-of-Stake Consensus: Replaces energy-intensive mining with staking, where validators lock up ETH to secure the network.
- Attestations: Validators confirm block availability and participate in consensus through digitally-signed attestations.
- Finality: Implements Casper FFG (Friendly Finality Gadget) to ensure that confirmed transactions cannot be reversed.
ETH2 and BETH
A new asset, ETH2 (or BETH), is introduced for staking and validation. Users can acquire it by depositing ETH into a registration contract, where it is converted into ETH2 for use within the Beacon Chain. Initially, transfers and withdrawals of ETH2 are disabled.
During this phase, two chains coexist: the existing Ethereum PoW chain and the new PoS-based Beacon Chain.
👉 Explore staking and consensus mechanisms
Phase 1: Sharding and Data Availability
Phase 1 introduces shard chains designed to significantly improve data capacity and network scalability.
What Are Shard Chains?
Shard chains are parallel chains that store and process data independently. In Phase 1, they function primarily as data availability layers rather than full execution environments.
- Crosslinks: Periodically attest to the state of shard chains, allowing the Beacon Chain to confirm shard data and enable trust between shards.
- Scalability: With 64 shards planned, Ethereum can process transactions and data in parallel, dramatically increasing throughput.
This phase sets the foundation for cross-shard communication and more advanced functionality in later stages.
Phase 2: Execution and Smart Contracts
Phase 2 transitions shard chains from simple data storage to fully functional execution environments.
Key Components
- eWASM: A new virtual machine that supports smart contracts, accounts, and developer tools like Truffle and Solidity.
- Execution Environments (EEs): Allow developers to customize transaction processing, support various virtual machines, and implement unique economic models.
- Cross-Shard Communication: Enables seamless interaction between different shards, making the user experience similar to using a single blockchain.
This phase marks the full realization of Ethereum’s scalability and functionality goals.
Future Phases and Ongoing Development
Beyond Phase 2, Ethereum’s development remains adaptive. Research continues into further optimizations, including advanced sharding techniques, quantum-resistant cryptography, and more efficient consensus algorithms.
The roadmap may evolve based on technological advancements and community feedback.
Frequently Asked Questions
What is Ethereum 2.0?
Ethereum 2.0 is a multi-phase upgrade aimed at improving the scalability, security, and sustainability of the Ethereum network. It introduces Proof-of-Stake, sharding, and new execution environments.
How does Proof-of-Stake work in Eth2?
Validators stake ETH to participate in block validation and consensus. This system replaces mining with staking, reducing energy consumption and increasing participation.
What are shard chains?
Shard chains are smaller, parallel blockchains that process data and transactions independently. They help distribute network load and increase overall capacity.
When will Ethereum 2.0 be fully launched?
The upgrade is being rolled out in phases. Phase 0 is live, with subsequent phases in active development. The full transition will occur over several years.
Can I use my existing ETH in Ethereum 2.0?
Yes, through a one-way deposit contract, ETH holders can become validators or delegate stakes. After the merge, ETH will seamlessly integrate into the new system.
What is the role of rollups in Ethereum’s future?
Rollups are layer-2 solutions that process transactions off-chain while relying on Ethereum for security and data availability. They are central to the network’s short-term scaling strategy.