Ethereum is in a position to transition to a proof-of-stake (PoS) network by Sept. 15 to 16, that will begin to see the finish of their current proof-of-work (Bang) consensus mechani and eliminate mining in the ecosystem.
Considering this type of significant upgrade, Ethereum’s Bang proponents, especially its miners, have made the decision to help keep the Bang chain alive. EthereumPoW, including the core Bang team, has suggested that Ether (ETH) holders withdraw their assets from liquidity pools (LPs) at places for example Uniswap, SushiSwap, Aave, Compound along with other decentralized exchanges (DEXs).
The terminal total difficulty continues to be set to 58750000000000000000000.
What this means is the ethereum Bang network presently has a (roughly) fixed quantity of hashes left to mine.https://t.co/3um744WkxZ predicts the merge may happen around Sep 15, although the exact date depends upon hashrate. pic.twitter.com/9YnloTWSi1
— vitalik.eth (@VitalikButerin) August 12, 2022
The main team stated they’d temporarily freeze EthereumPoW (ETHW) tokens in a few liquidy pools of DEXs and lending protocols to safeguard user assets following the hard fork.
The main team believes that soon after the Ethereum Bang hard fork, specifically for the very first several blocks, users’ ETHW tokens deposited in liquidity pools is going to be swapped or given out by online hackers and scientists using deprecated and worthless Tether (USDT), USD Gold coin (USDC) and Wrapped Bitcoin (WBTC), which may “create an enormous mess towards the whole network and community.”
The main team stated:
“ETHW Core has to help make the hard decision to temporarily freeze certain LP contracts to safeguard users’ ETHW tokens before the protocols’ controllers or communities find an easy method.”
They also stated freezing wouldn’t be put on the staking contracts that just involve just one asset, like the Ethereum 2. deposit contract and Wrapped Ether (WETH).
The thought of freezing users’ assets without their consent didn’t match many locally. One user advised the main team that “freezing hardcoded LP smart contracts in to the ETH clients is for sure not decentralized.”
Converting ETHW right into a slow, centralized chain, without any market fit.
If you wish to safeguard users from bots draining ETHW from LP, then other measures need to be taken.
Uniswap + AAVE + Compound have 1.8M ETH on their own pools. Around $108M of implied value for $60 ETHW
— Alberto Rosas (@albertorosasg) August 17, 2022
Others went so far as to it a gimmick and suggested reporting the Twitter account claiming is the core EthereumPoW team.
I suggest reporting this account like a fake. There’s no “official” ETHW core team, and they’re proposing a rushed altered to code which freezes contracts as selected by individual people. No EIP discussion or election or anything. This would just produce a 3rd fork. Scam. https://t.co/4bORc2bTZP
— Tommy Genesis (@0xTommyGenesis) August 17, 2022
The Bang hard fork has additionally found support from the prominent Chinese miner, Chandler Guo, who states be behind a 51% attack on Ethereum Classic.
I’m Chandler Guo, a 51% attack on Ethereum Classic (ETC) is originating with my 98G hashrate https://t.co/9VM6vPa8CS
— Chandler Guo (@ChandlerGuo) This summer 24, 2016
Nearly all crypto exchanges and stablecoin issuers have tossed their support behind the approaching PoS-based Ethereum network. However, various crypto exchanges have mentioned when a forked Bang chain gains traction, they’d be in support of listing the forked token too, with respect to the demand in the community.
The ETH mining sector is worth $19 billion, based on a quote from crypto analytics firm Messari. With vast amounts of dollars of infrastructure at risk, it’s understandable why miners would favor a tough fork, considering that mining other Bang tokens for example Ethereum Classic (ETC) or Bitcoin (BTC) will not be as lucrative.
Related: Ethereum devs read the perpetual date for that Merge
Experts believe a forked Bang Ethereum chain will not be as lucrative either, as the majority of the city will shift towards the new network. Kent Barton, tokenomics lead at ShapeShift DAO, told Cointelegraph:
“While the disposable market may ultimately decide, it’s likely following some initial cost discovery (along with a potential chance to market these forked tokens), these Bang forks will die out. A method that’s more prone to succeed is mining on other Bang chains for example Ethereum Classic.”
Ethereum co-founder Vitalik Buterin continues to be critical from the Bang fork too, calling it an action of avarice from the couple of outsiders. He suggested miners shift to Ethereum Classic too.
