The ethereum ( ETH-USD ) blockchain is expected to undergo its Shapella upgrade on April 12 that will let users withdraw their staked ETH for the first time. Ahead of the network upgrade, the underlying token ( ETH-USD ) rose 2.7% to $1.89K at 1:01 p.m. ET, climbing 31.1% from a month before. Bitcoin ( BTC-USD ), +4.3% to $29.13K, and other major cryptos also changed hands in the green. "With the Shapella Upgrade, the liquid staking landscape will be transformed forever, and Ethereum will become the benchmark yield for crypto," said Chen Zhuling, founder and CEO of blockchain node network RockX. Shappela, a combination of Shanghai and Capella upgrades, "represents a game-changing development that positions Ethereum for sustained growth and success. As the platform continues to advance, Ethereum is well-positioned to further diverge from Bitcoin and emerge as a leading blockchain platform, driving innovation and progress in the cryptocurrency space," he added. The ability to withdraw staked ether ( ETH-USD ) might entice investors to stake the token and thus the network could see greater capital inflows. Nonetheless, some 60% of the staked ether go through liquid staking providers or centralized exchanges like Coinbase Global ( COIN ) that already offer liquidity access, digital asset research firm FS Insight wrote in a recent Twitter post . Up to the time of Shapella's implementation, users would have to use CEX's or decentralized finance protocols to exchange their locked-up ETH for an equally valued coin. "Shapella is likely a significant de-risking event and a formal conclusion to Ethereum's transition to proof-of-stake, resulting in a continued draw of investors to staking rather than an exodus," the firm continued in a follow-up tweet. In addition to unlocking staked ETH withdrawals, the upgrade is set to lower transaction fees and boost the blockchain's capacity to handle more transactions per second. Ethereum ( ETH-USD ) migrated to a Proof-of-Stake consensus mechanism in September -- the so-called "Merge" software upgrade -- that ultimately replaced miners with blockchain validators . More on Ethereum and its Shapella Upgrade Ethereum: Bank Crisis Bull Run But Staking Is Not A Nice Dividend Ethereum is at risk of losing its dominant status in DeFi -- Here's why Ethereum: The Zhejiang Testnet Means Staking Withdrawals Are Coming
