Ethereum (ETH) Calyx Token (CLX) Could Explode If These Two Things Happen
A significant change in the way the Ethereum (ETH) blockchain works, as well as whether Calyx Token (CLX) delivers on its revolutionary promises, could have far-reaching implications for cryptocurrency investors.
Despite the fact that the Ethereum (ETH) blockchain is home to many of the most exciting crypto innovations (such as the creation of NFTs and smart contracts), Ethereum (ETH) has always come in second to Bitcoin (BTC).
The market capitalisation of Bitcoin (BTC) is nearly twice that of Ethereum (ETH), and many casual investors may keep a close eye on BTC’s price while paying little or no attention to ETH’s.
However, all of that could change later this year. Following a much-anticipated upgrade to its technological infrastructure, ETH may finally overtake BTC as the crypto you need to own.
Furthermore, the long-awaited launch of Calyx Token (CLX), an upcoming liquidity protocol, could result in a major shift in the way exchange platforms are used, as well as filling the pockets of its presale holders.
Why is The Merge such a big deal?
Crypto investors are keeping a close eye on ‘The Merge’, which has become legendary in the crypto world. It’s when Ethereum’s (ETH) consensus mechanism transitions from Proof-of-Work to Proof-of-Stake.
It’s difficult to pinpoint when this shift will occur – it’s currently scheduled for early Autumn 2022 – but when it does, the blockchain will be greatly enhanced. Upstart blockchains use the new, innovative Proof-of-Stake model, whereas Bitcoin (BTC) still uses the old, archaic (at least by crypto standards) Proof-of-Work model.
Switching to Proof-of-Stake will reduce the Ethereum (ETH) blockchain’s energy consumption by up to 99%. Because Proof-of-Work requires mining, one of the most energy-intensive activities on the planet, this marks a milestone for the crypto industry.
Crypto miners, for example, consume so much electricity that China has banned all cryptocurrency mining. According to a New York Times analysis published in late 2021, Bitcoin (BTC) consumes more electricity than many countries, including Finland, Sweden, and Denmark. Proof-of-Stake, on the other hand, drastically reduces this issue.
Proof-of-Stake eliminates the need for miners to compete to solve complex computational problems in order to verify new transactions on the blockchain. As a result, sophisticated and costly mining rigs will no longer be required, resulting in a significant reduction in electricity consumption.
As well as this, congestion on the Ethereum (ETH) blockchain will vanish completely, allowing for a much faster TPS. Everything you do will become quicker, cheaper, and more efficient on the Ethereum (ETH) blockchain.
Gas fees may also decrease, making Ethereum (ETH) more accessible to the general public. An NFT purchased on the popular OpenSea marketplace, for example, currently costs between $35 and $40 in gas fees.
On a Proof-of-Stake blockchain, however, gas fees for the same transaction could be as low as $0.01. You’ll notice the difference right away if you buy NFTs on the Ethereum (ETH) blockchain in the future.
Furthermore, Ethereum (ETH) will have a much better chance of competing with Proof-of-Stake blockchains like Avalanche (AVAX), Solana (SOL), and Polkadot (DOT).
Why the buzz around Calyx Token (CLX)?
For some, the launch of Calyx Token (CLX) following its presale will be just as noteworthy as ‘The Merge’.
According to its White Paper, Calyx Token (CLX) has the potential to transform investors’ experiences with token exchange, and could even replace centralised exchange platforms with its upcoming Calyx Swap service.
Crypto exchange platforms have a long history of being slow and expensive, with platforms like Uniswap rendering investors who don’t want to invest more than $500 completely useless.
Calyx Swap, on the other hand, will enable users to receive their swapped tokens at the best possible rate immediately after submitting a swap request, thanks to interoperability. The platform facilitates this by pooling liquidity from various sources.
Calyx Token (CLX) also adheres to DeFi principles by being fully permissionless, ensuring the highest level of security for all of its users. As a result, anyone can decide to increase their earnings by becoming a Liquidity Provider for Calyx (CLX).
Users will simply need to exchange an equal number of tokens for LP tokens to begin earning a percentage of all swap fees.
Ethereum (ETH) and Calyx Token’s (CLX) Long-Term Prospects
Ethereum (ETH) will finish The Merge at some point, which will be huge news not only for crypto investors, but also for anyone concerned about the energy consumption of Proof-of-Work blockchains.
The new Ethereum (ETH) will be not only faster, cheaper, and more efficient for users, but it will also be greener and more environmentally friendly due to its lower energy requirements.
Ethereum (ETH) may finally overtake Bitcoin (BTC) once ordinary investors realise that different blockchains operate in different ways, with significant implications for key factors like throughput capacity and transaction costs.
If it has low gas fees, instantaneous swapping, and is completely decentralised, Calyx Token (CLX) could similarly overtake centralised exchange platforms like Binance and Coinbase.
The platform will be accessible to everyone by eliminating the need for users to register or undergo security checks, which will naturally increase demand for CLX.