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Some social media users have warned about interacting with EthereumPow citing chances of replay attacks as well as the possible volatility around the cryptocurrency’s value.
On Thursday, September 15, the Ethereum Merge went live triggering the transition to a Proof-of-Stake (PoS) blockchain. As we know that the ETH miner community had planned for a fork in the Ethereum blockchain to continue having a Proof-of-Work version. Soon after the Merge event, the ETHPoW also went live along with its mainnet. On Thursday, the ETHPoW team published a list of resources explaining key technical requirements and other details. The EthereumPoW team also published the official RPC for users to add ETHPoW to their wallets along with the block explorer URL.
— EthereumPoW (ETHW) Official #ETHW #ETHPoW (@EthereumPoW) September 15, 2022
However, soon after the links were released, the ETHPoW website servers shut down due to heightened activity. Some participants planned for the ETHPoW kick-off by borrowing ETH. However, others on social media also warned about interacting with the brand new chain. They also placed concerns regarding the potential replay attacks as well as the possible volatility around the cryptocurrency’s value.
A replay attack usually happens when two blockchain networks – Ethereum Proof of Stake and ETHPoW – run the same chain ID. This allows bad actors to submit transactions on both chains. Thus, users who interact with the ETHPoW network will face the risk of getting their Ethereum PoS stolen.
The EthereumPoW hardfork received a mixed response from the industry. Although some of the top exchanges announced support for the token, other big projects on the Ethereum network totally distanced themselves from it. Also, Ethereum co-founder Vitalik Buterin has said that they will be offering no technical support to ETHPoW after the Merge upgrade.
Ethereum Classic Price Tanks Post Merge
As Ethereum planned its transition to the Proof-of-Stake (PoS) blockchain with the Merge upgrade, miners in big numbers flocked to Ethereum Classic. As a result, the ETH hashrate touched a new all-time high taking the Ethereum Classic (ETC) price to new highs.
Soon after the Merge event, the Ethereum Classic (ETC) price tanked more than 6% and is currently trading at $34. ETC is the first forked version of the Ethereum blockchain. Similarly, the price of ETH also tanked by 9% to $1450 levels as Merge turns out to be a ‘sell-the-news’ event. Martha Reyes, head of research at BeQuant said:
“Now the excitement around the Merge is done, and we don’t have a catalyst for Ethereum in the short term. It would be natural to expect a bit of rotation back into Bitcoin.”
Read other Ethereum news on Coinspeaker.