Most members of the Ethereum community are counting down the days until the network “merges”. This is a major upgrade that promises increased efficiency and significantly reduced environmental impact. Unsurprisingly, the most excited is Ethereum co-creator Vitalik Buterin.
However, while the impending consolidation has generated excitement in the Ethereum community, it has also attracted criticism and speculation.
The merger will move Ethereum from a proof-of-work consensus model to a proof-of-stake model, but not everyone is happy about that. For example, some oppose consolidation by touting the possibility of continuation of the “ETH PoW” (“Ethereum Proof of Work”) chain after the upgrade.
In a phone call with reporters on Friday night, Buterin confirmed the ETH PoW move, but isn’t too concerned.
Referring to the 2016 hard fork, or split of the blockchain, that resulted in another chain known as Ethereum Classic, Buterin said, “I don’t think Ethereum will really suffer much from another fork.” “My impression from almost everyone I’ve spoken to in the Ethereum ecosystem is that they fully support the Proof of Stake initiative and are united around it. .”
After Ethereum transitions to Proof of Stake, miners have something to lose and Ethereum miners have income, so in most cases, and not surprisingly, current interest in ETH PoW , which is being driven by Ethereum miners like prominent Chinese cryptocurrency miner Chandler Guo.
Currently, Ethereum miners use Proof of Work to validate transactions on the network and, as a result, earn token rewards using very expensive equipment and computing power. Some miners invest tens of thousands of dollars to mine Ether for a living. With Proof of Stake, Ethereum relies on a network of trusted validators, virtually eliminating mining entirely. As such, miners may want to try and continue Ethereum’s proof-of-work chain, no matter how unlikely and risky the attempt may be, in order to preserve their investment.
Most of the time, according to Buterin, the forks are driven by “a few outsiders who basically have an exchange and mostly just want to make a quick buck.” . “So, just because we think Ethereum Classic already has a great community and a great product for those who support Proof of Work, I don’t think it will see substantial long-term adoption. not.”
But that doesn’t mean we won’t see “some splats” as Ethereum shifts.
“Undoubtedly more applications will have to choose one way or the other if the proof-of-work fork gets bigger,” Buterin said, adding that if ETH PoW gains significant traction, many market turmoil is expected. and problem. “I hope that whatever happens doesn’t lead to people losing money.”
Even if it did, the proper production of Ether (ETH) would not continue in the forked Proof of Work chain after the merge. Miners will have to create new coins (and new coin names) for what they mine and hope it will be accepted by the masses, while Ether itself will be Ethereum on the new Proof of Stake chain. remains limited to The same goes for applications and projects, he says Buterin.
“From everything I’ve seen, they’re all going to support the Proof of Stake side,” he said.
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