Ethereum (ETH) deploys Pectra upgrade on Hoodi testnet, getting closer to mainnet launch

The Pectra upgrade is expected to significantly improve Ethereum's scalability and security, helping it offer services to more users

The Pectra upgrade, which is expected to significantly improve Ethereum's scalability and security, has been deployed on the Hoodi testnet, marking the last of three tests.

The upgrade is set to enhance the blockchain's ability to serve more users without encountering congestion issues, ultimately improving transaction throughput and reducing latency for the proof-of-stake network.

Pectra just finalized on Hoodi! ??

Get the scoop: https://t.co/RtsdamVUJm pic.twitter.com/euAeguHFhM

Running the upgrade on a testnet, which is an identical copy of the mainnet, allows developers to identify and fix any issues like bugs before deploying on the original network.

If the upgrade goes smoothly on Hoodi, Ethereum will likely see the upgrade on the mainnet by April 25.

One of the key features of the Pectra upgrade is that it will enable developers to run smart contracts on wallets and allow users to pay gas fees in different tokens instead of just Ethereum (ETH).

The successful Pectra upgrade on Hoodi has triggered whale accumulation due to the optimism surrounding the long-awaited improvements.

According to data from Lookonchain, four whale addresses withdrew nearly 16,000 ETH, worth roughly $32 billion, from leading crypto exchanges like Binance, Gemini, OKX and Kraken right after the Hoodi testnet received the Pectra upgrade.

Whales are accumulating $ETHThe newly created wallet "0x114E" withdrew 7,100 $ETH($14.27M) from #Gemini 4 hours ago.0xC377 withdrew 4,709 $ETH($9.47M) from #Binance 8 hours ago and deposited to #Aave, then borrowed 8M $USDT from #Aave and deposited to #Binance, possibly to open leveraged long positions.

After the successful Pectra test on the Hoodi testnet, which is identical to the mainnet, brought optimism to the market, and the price of $ETH may rise further.

The successful Pectra upgrade on the Hoodi testnet has brought optimism to the market, and the price of ETH may rise further. However, the leading altcoin is still facing correction toward the $2,000 mark.

The ETH price recorded a 2.2% decline in the past 24 hours despite the bullish news surrounding the network. Ethereum is currently trading at $2,020.

Moreover, the selling pressure triggered $48 million in ETH liquidations, $39 million longs and $9 million shorts, according to data provided by CoinGlass. The total amount of crypto liquidations reached $248 million.

The largest single liquidation order in the market happened on the HTX exchange and is worth $3.15 million in the ETH-USDT trading pair.

Spot ETH exchange-traded funds in the US also added to the bearish momentum with a net outflow of $5.9 million on March 26. The last time these investment products saw an inflow was on March 4, losing $410 million in value this month, according to data from SoSoValue.output: Named one of the worst crypto scams, the FTX bankruptcy case continues to unravel more details. According to a new report by the Financial Times, the exchange's founder, Sam Bankman-Fried, allegedly used a "backdoor" to siphon off billions of customer funds.

Sam Bankman-Fried allegedly used a backdoor to siphon off billions of customer funds from FTX to cover up personal trading losses at his hedge fund, Alameda Research, the outlet reported, citing sources familiar with the matter.

The report claims that the FTX founder had unfettered access to a "secret account" on the exchange, where he could withdraw unlimited amounts of cryptocurrency without needing to enter any passwords or two-factor authentication codes.

This account was reportedly used to transfer billions of dollars from FTX to Alameda in 2021, when the hedge fund began to accrue large losses on personal trading positions.

Bankman-Fried allegedly grew increasingly desperate to cover up Alameda's losses, which amounted to billions of dollars by the time FTX filed for bankruptcy in November 2022.

"Sam was in a corner and he had to get out of it," one of the sources said. "He was getting calls from people who had invested in FTX and Alameda and they were panicking."

After several failed attempts to raise funds from private equity firms and venture capitalists, Bankman-Fried is said to have turned to crypto lender Aegis Credit to provide a $4 billion loan.

However, Aegis backed out of the deal at the last minute, leaving Bankman-Fried with few options to save his company from collapse.

FTX's Pectra upgrade