Poloniex to back potential Ethereum forks on the PoW algorithm

The cryptocurrency exchange Poloniex will back a potential Ethereum fork on the Proof-of-Work (PoW) algorithm after the mainnet’s merger with the Beacon Chain, which scheduled for September 2022.

📢 The Ethereum Merge is expected to be in September 2022. Poloniex was the world’s first exchange to list #ETH and now the first one to support potential forking of ETH with listing of two potential forked ETH tokens: #ETHS & #ETHW.https://t.co/QipYETT5Rq

— Poloniex Exchange (@Poloniex) August 4, 2022

“Poloniex was the first exchange to list Ethereum, and now it is the first to back the proposed network fork with the listing of two potential fork tokens — ETHS and ETHW,” the statement said.

According to the press release, on August 8 the platform will launch an interface for trading ETH for ETHS/ETHW. The potential forked tokens will also be exchangeable in a pair with each other. The offer will remain in effect until the activation of the Ethereum mainnet upgrade.

Deposits and withdrawals for ETHS and ETHW will be unavailable. De facto, the tokens are digital options on the native assets of one of the chains.

The company stressed that, over time, it will tailor its offering to the latest market trends. Representatives noted that it remains unclear how the hard fork on the Ethereum network will look.

In late July, Chinese miner and Ethereum Classic advocate Chandler Guo said that he is assembling a group of developers to support a PoW Ethereum fork after The Merge. The latter envisages the network’s transition to the Proof-of-Stake consensus algorithm.

The community rates the probability of a fork after the Ethereum upgrade as quite high. According to a Twitter poll by hedge fund Galois Capital, a third of respondents believe that a PoW ETH1 blockchain will emerge in the process.

Question 1: What happens during the merge? If Choice 2 or 3 go to Questions 2-5.

— Galois Capital (@Galois_Capital) July 27, 2022

Sun said that the PoW mechanism is a “key growth factor for the Ethereum ecosystem”, so Poloniex and he personally are prepared to back the community.

As a reminder, on August 12 Ethereum developers will move the Goerli testnet to the PoS algorithm.

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