Blockchain News

Before the merger, the price of ETHPoW tokens reached an all-time low

According to CoinMarketCap, ETHPoW, the coin that would be used in the event of an Ethereum PoW fork, hit an all-time low on Thursday of US$50.36, a 64% decline from its peak on August 2.

The ETHPoW token only has IOU status at this time, which means that it is only a debt contract that was sold in advance. It will only acquire official token status once the blockchain is activated. At US$52.46 at 1:40 p.m. Hong Kong time, the token was down 6.3% over the previous 24 hours, indicating decreased interest from traders.

Exchanges Intake On The Merge

In a study paper, BitMEX noted that the hypothetical proof-of-work (PoW) fork will be highly speculative since, if it takes place, Ether holders will receive an equal number of ETHPoW tokens on the PoW fork chain and will be able to make money by selling the ETHPoW tokens.

The token trading associated with Ethereum’s PoW fork would continue to be supported, according to statements made in August by cryptocurrency exchanges Poloniex and MEXC Global. Even a futures contract for ETHPoW was introduced by the cryptocurrency derivatives exchange BitMEX.

Around September 15, the Ethereum Merge is anticipated to switch the network from a proof-of-work (PoW) consensus process to a proof-of-stake one.

How The Merge Will Affect ETHPoW 

The changeover would take away the lucrative mining that depends on PoW techniques, which is why Ethereum miners were opposed to the event. To retain the PoW system and prolong the mining industry, miners are uniting and forking Ethereum.

A PoW fork is unlikely to achieve widespread, long-term adoption, according to Ethereum co-founder Vitalik Buterin, who also claimed that those engaged are merely a couple of outsiders that basically have exchanges, and largely just want to make a quick cash.

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