Chandler Guo, the leading miner of cryptocurrencies in China, has announced that he will not be participating in the Ethereum Merge. Guo stated that he would split the Ethereum blockchain into two and develop an additional proof-of-work (PoW) community model. The cryptocurrency exchange known as Poloniex has announced that beginning the following week, it will support and list the Ethereum proof-of-work (PoW) fork that has been given the moniker ETHW. The inclusion of this item denotes a significant participant who is backing the Ethereum hard fork.
The Merge is a potential path that will take Ethereum in the direction of a PoS consensus rather than a PoW consensus. The Proof-of-Work (PoW) model is the one that is used to run the Ethereum network. This model enables miners to generate new Ether by employing massive amounts of electrical power to solve problems. Ethereum will become more scalable and faster as a result of The Merge.
Concern has been raised among Ethereum miners like Guo as a result of The Merge because it is likely that they will go out of business in the near future. Because of this, he is making preparations to launch ETHW, which will provide users the ability to mine a particular variety of Ether. Poloniex has decided to become a supporter of this effort.
Poloniex announced its intention to fully support the Ethereum upgrade and its hard fork in a blog post that was published on the company’s website. Customers will have the ability to trade ETH for ETHW as a result of the trade. If the Merge is successful, the trade might even list ETHS, which is a cryptocurrency asset that symbolizes the proof of stake Ethereum will have.
If the Merge goes ahead as planned in September, Poloniex will convert all of the ETHS it holds into ETH that has been created after the Merge. In the event that Guo and his fellow builders are unable to split the Ethereum chain by themselves, Poloniex will delist ETHW and any other properties associated with it.
The creator of Tron applauds the Ethereum hard fork
Justin Solar, who was the first investor at Poloniex, applauded the event once the information of this itemizing was disclosed. He added that the Proof-of-Work consensus was the most important factor that contributed to the expansion of the Ethereum community. In addition to this, it was eager to contribute to the group’s further growth.
Guo and the other miners of Ether are hopeful that the development of ETHW will make it easier to continue the practice of mining a version of Ethereum. Despite this, the brand new fork of Ethereum will operate on a community and cryptocurrency that are distinct from those of Ethereum. In addition, it is starting with no utility whatsoever, and the only people who will do it are builders, the market, and customers.
The legitimacy of this cryptocurrency has been increased because to the assistance provided by the Poloniex exchange. Despite this, the shift should not come as a shock because Justin Solar has maintained a contentious relationship with Ethereum and Vitalik Buterin, the co-founder of Ethereum.