CoinShares: A Possible Ethereum PoW Fork is Unviable

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CoinShares experts remain skeptical about the prospects for a potential fork of Ethereum after the main network switches to the Proof-of-Stake consensus algorithm.

According to them:

“Some miners have announced their support for the Ethereum fork, which will not switch to Proof-of-Stake, but will remain on Proof-of-Work. From a technical point of view, this fork will not affect the current version of Ethereum, that is, the updated ETH2 network.”

They allowed for some price volatility in the future, eliminating “direct on-chain risks”.

CoinShares has listed the main factors why the updated Ethereum will emerge victorious from the current situation, including the fact that the current network has more social support from the Ethereum Foundation and the wider community, that stablecoin issuers will have to choose a chain and they will almost certainly stay with ETH2, “for reputational and regulatory reasons.”

According to a CoinShares analyst, “this doesn’t mean that exchanges will delist ETHPoW if/when this fork comes along.” In his opinion, many will sell the coins accrued as a result of the hard fork for the updated Ethereum.