What is the relationship between ETH and Beacon？| Tokenview

Smart contract are applications that extend Ethereum’s capabilities. When developers write smart contracts, they decide what operations the smart contract will support and what rules those operations must follow. In essence, smart contracts are open source applications that anyone can deploy to Ethereum. Smart contracts can be viewed and used by anyone from anywhere, without relying on an intermediary. It’s worth noting that unlike the Ethereum main network, the Beacon chain will not process transactions and smart contracts.

Beacon Chain

Beacon Chain is a completely independent decentralized network that operates in parallel with the Ethereum network. Beacon Chain will introduce a PoS consensus mechanism and validator in Ethereum, which will eventually merge with the main network. The Beacon chain transition began in November 2020 when the one-way bridge began moving the PoW chain to the PoS chain and began accepting deposits. A month later, the beacon chain launched and gained millions of ETH through multiple validator.

The Ethereum merge finally took place at block 15537393 at 14:42:42 Beijing time on September 15, 2022. After the merge, the network no longer relies on the PoW consensus mechanism.

Unlike the Ethereum main network, Beacon Chain will not handle transactions and smart contracts, it will be used to manage its Stakers and Shard chains to coordinate the entire Ethereum network.

Deposit & POS

Through Beacon chain explorer you can query Beacon chain deposits data and details, including deposits from Ethereum to the Beacon.

ETH and Beacon communicate with each other through a communication engine method provided by ETH. First, a validator public key (Pubkey) of its own is generated in Beacon, and a minimum transaction of 1ETH is issued to the Deposit Contract on ETH. Beacon will “listen ”to the DepositEvent event log through the communication engine, resolve ETH’s deposit on the deposit contract, and then join the queue to be verified. When the deposit reaches 32ETH, Beacon activates the validator identity of Pubkey and a validator is born.

ETH deposits to Beacon

ETH wallet address ：

0xa40dfee99e1c85dc97fdc594b16a460717838703

Deposit Contract：

0x00000000219ab540356cbb839cbe05303d7705fa

ETH2 pubkey：

0xb73da45ea6ef06784b849dab7752519156df9792c9d07c2d42d3193eeb2fef04e90a5245d3a155b9a428f88d4bdb6395

Wallet address 0xa40… 8703, deposit 32ETH into the ETH2 deposit contract, and then Beacon parses the ETH deposit on the deposit contract. If the deposit reaches 32ETH, Beacon activates the Pubkey validator identity. At this point, the deposit from ETH1 to ETH2 is completed.

So when encountered “deposit peak”, how should Beacon chain stake processing?

Beacon validators

When processing new validators, a waiting queue will be set according to a certain proportion, which will limit the number of new validators that can be added at the same time, and also prevent the impact of a sudden influx of new validators on network security and protocol, so as to ensure certain stability and security. Normally, when the deposit reaches 32ETH, it will activate in 3–4 hours, but not always, sometimes several days.

Although becoming a validator requires great technical knowledge and expertise, anyone who meets the minimum requirement of 32 ETH can join. When a validator is selected to validate the next block, he first verifies that all transactions in that block are valid. Once the confirmation is valid, the verifier updates the state of the blockchain by writing the block to the blockchain.This information is then confirmed by a “committee” of 128 other validators, a process known as Attestation. If a block is successfully checked out, the original validator receives a stake reward, usually the sum of all verified transaction fees in the block.

Beacon chain explorer can inquire all validators, active validators, unconfirmed validators and exit validators.

Finally, we summarize the relationship between ETH and beacon chain，In short, after the Ethereum merge, ETH is responsible for processing transactions and running smart contracts, while the Beacon chain is responsible for staking, reaching consensus, and completing the block. The transfer from “ETH1” to “ETH2” is completed by deposit contract between the two parties.