About Ethereum Shapella Upgrade

7 min readApr 11, 2023

— TokenPocket Staking Vault, discover a new way to stake your $ETH.

Ethereum Shapella Upgrade is a major upgrade to the Ethereum blockchain, which is scheduled to take place on April 12, 2023. The upgrade will introduce a number of new features and improvements to the Ethereum network.

What is the Ethereum Shapella upgrade?

The Shapella upgrade is an upcoming Ethereum network upgrade aimed at improving the performance, security, and scalability of the Ethereum network.

The Ethereum Shapella Upgrade will introduce a number of new features and improvements to the Ethereum network, including but not limited to:

EIP-4895: The ability for validators to withdraw their staked $ETH.
EIP-3651: Reduced transaction costs for technical applications.
EIP-3855: Improved security and efficiency.
EIP-3860: Increased the richness and diversity of smart contract functions.

EIP-4895 is one of the most significant changes that will be introduced with the Ethereum Shapella Upgrade. It will allow validators to withdraw their staked ETH at any time after April 12th. This is a major change from the current system, which requires validators to lock up their ETH for a set period of time. It will also help to increase the decentralization of the Ethereum network. Currently, many people are reluctant to participate in staking because they are worried about being locked into the position for too long. With the ability to withdraw staked ETH at any time, more people will be likely to participate in staking, which will help to make the Ethereum network more decentralized.

Why is the upgrade of Ethereum important?

EIP-4895 is the most important point of this upgrade as stakers may want to withdraw the rewards they have earned over the past two years, or they just want to take more control of their funds due to the uncertainty of the crypto markets over the past year.

Aside from being able to withdraw the locked funds, it has not been fully functional since the launch of the Proof-of-Stake. Even though the blockchain is running normally today, stakers have had to commit to keeping their funds locked up to keep Ethereum running. Now, with the EIP-4895 mechanism to unlock staked ETH in place, the full functionality of the Proof-of-Stake will be realized, meaning stakers can finally take back their funds and have the autonomy to decide how to use these funds.

It will make the Ethereum network more user-friendly. By allowing validators to withdraw their staked ETH at any time, the upgrade will make it easier for people to participate in staking. This will help to increase the security and decentralization of the Ethereum network.

By reducing transaction costs for technical applications, the upgrade will make it cheaper and faster to use the Ethereum network for these applications. This will make the Ethereum network more attractive to developers and users.

What will happen after Ethereum Shapella Upgrade?

According to the Nansen report, there will be three phases of ETH selling pressure after the upgrade.

In the first phase, lasting 27 hours after the update, the selling pressure from partial withdrawals will be around 84,000 to 125,000 Ether per day (~$133m — $197m).

The second phase will see maximum selling pressure from partial and full withdrawals, amounting to 136,000 and 173,000 Ether per day (~$218m — $275m) in additional selling pressure. This phase will last between the third and fourth day after the upgrade.

The last phase of selling pressure, with mainly full withdrawals, will last between 19 to 52 days, adding a daily selling pressure of between 48,000 and 53,000 Ether per day.

➡️ More details

Use TokenPocket to experience the major changes of the Ethereum Shapella upgrade!

Introduction

TokenPocket Staking Vault has recently upgraded and launched a new “Self-Custodial staking” feature, providing users with more flexible staking options. We have also made new product design adjustments to meet users’ staking needs. Since its launch in 2020, TokenPocket Staking Vault has provided secure, convenient, and stable Ethereum staking profits to over 2,000 Ethereum users.

TokenPocket Staking Vault is now open for users to participate in the “StakingSelf-Custodial staking” feature. We are also pleased to announce our partnership with KeyPal, where all users who successfully participate in the “StakingSelf-Custodial staking” feature will be rewarded with a KeyPal hardware wallet to improve their staking experience and security.

Highlights of the “Self-Custodial Staking” Feature

Multiple participation methods.

TokenPocket Staking Vault’s “Self-Custodial staking” feature supports the use of Ethereum wallets such as TokenPocket, and Metamask, as well as hardware wallets such as KeyPal, Ledger, and Trezor. Users can choose their preferred participation method based on their needs and preferences.

Control your staking by yourself.

TokenPocket Staking Vault’s “Self-Custodial staking” feature allows users to have control over their staked assets with private keys. This returns the control of staked assets to users, enabling them to initiate staking withdrawals, which can be confirmed by the main network once completed, achieving fully decentralized and transparent management.

One-Time Charge, Continuous Maintenance

TokenPocket Staking Vault’s “Self-Custodial staking” feature only charges a one-time node maintenance fee, providing users with secure and convenient staking services continuously.

Note: The node maintenance fee is charged per stake operation. If a user stakes multiple times, corresponding node maintenance fees will be charged.

Staking and Get KeyPal Hardware Wallet

All users who successfully participate and stake in ETH using TokenPocket Staking Vault “Self-Custodial Staking” feature will receive a KeyPal hardware wallet, sponsored by KeyPal. This hardware wallet allows users to securely protect their wallet’s private keys and secret recovery phrases.

How to Participate in TokenPocket Staking Vault’s “Self-Custodial Staking”?

1. Open TokenPocket, you can click [Eth2.0] on the Etherum Assets page to access, and you can also click on [Discover], search for [ETH2.0 Staking Vault] at the search bar and access it.

2. Self-Custodial Staking

TokenPocket Staking Vault services are divided into [Self-Custodial Staking] and [Joint Staking]. Among them, the newly added Self-Custodial Staking method returns the control of staked assets to users. Users can initiate the withdrawal of staking by themselves, and after confirmation by the main network, they can complete the withdrawal, fully realizing decentralized transparent management.

Click on the [Self-Custodial Staking] entrance, and you can see relevant data about current pledges at the top, and at the bottom, you can see content such as [Validator status], [Staking history], [Common Questions], etc. Click on [Stake].

If the number of participating nodes is 1, it means that you need to stake 32 ETH. You can set this according to your actual needs. The node maintenance fee is charged only once. If you make multiple stakes, the corresponding node maintenance fee will be charged.

After viewing and selecting the [Staking Service Agreement], click on “Pay” to bring up the transaction details page where you can adjust the miner’s fee according to your actual situation. Finally, click [Confirm Payment] and sign to complete self-hosted staking.

How to Participate in TokenPocket Staking Vault’s “Joint Staking”?

Joint Stake refers to multiple participating nodes jointly staking, with a minimum participation threshold of 0.1 ETH. Compared with Self-Custodial Staking, the exit method of joint staking requires a unified window period and there will be restrictions on the exit time and quantity.

In the joint staking interface, you can view information such as stake data and validator’s reward trends, as well as check “Staking History” and “Common Questions”. Click on the “Participate/Exit Pledge” entry, select participate or exit (requires a unified window period) in the redirected interface, set your desired amount of ETH to participate, check and select the “Staking Vault Service Protocol”, then click Confirm.

After confirmed on the payment, you will be redirected to the transaction details page. Here, you can click on [Miner’s Fee] to set it according to your actual needs. Click [Confirm Payment] and sign it to complete participation in joint staking.

In the unstaking interface, you can see the amount that can be withdrawn below the input box. Fill in this number in the digital field, click [Confirm Withdrawal], and then confirm payment and signature on the transaction details page to complete the withdrawal process. (The rewards for participating in staking will only be available after ETH2.0 is officially launched.)

F&Q

TokenPocket Staking Vault is committed to providing users with better staking services and experiences, allowing users to manage their staked assets more conveniently. Use TokenPocket Staking Vault now and enjoy greater freedom and higher-quality staking services!

About TokenPocket

TokenPocket is the world’s leading multi-chain self-custodial wallet, which supports mainstream public chains including BTC, ETH, BSC, TRON, Polygon, Solana, HECO, Klaytn, Avalanche, OKC, HSC, Fantom, Polkadot, Kusama, etc. The trinity of TokenPocket mobile wallet, chrome extension wallet, and hardware wallet has been formally formed. The Secret Recovery Phrase and Private Key are stored in the user’s own device and the user can fully control his own crypto assets. TokenPocket has provided reliable services for over 20 million users around the world. The number of monthly active users exceeds 3.5 million and the users are located in more than 200 countries around the world.