Ethereum miners, particularly the ETHPOW group, have introduced a liquidity pool freezing know-how. ETHPOW is the group of Ethereum miners who’ve vowed to hardfork the chain after the merge.
In a Twitter announcement, they reveal that using liquidity pool freezing know-how was to guard the customers from hackers.
Liquidity Pool Freezing Plan Defined
On their Twitter account, the ETHPOW group reveal that they’re going to freeze some lending protocol good contracts. In response to them, within the preliminary days after the fork, customers’ ETHW tokens deposited in liquidity swimming pools may be compromised. Swimming pools like Uniswap, Aave, and Compound can have deposited ETHW tokens.
In response to the group, these tokens may be swapped by hackers and scientists with worthless USDT, USDC and WBTC. Subsequently the ETHW core is making the choice to freeze good contracts of lending swimming pools until these corporations can provide you with a greater answer.
They’ve additionally revealed that the freeze won’t be utilized to staking contracts in the event that they solely cope with a single asset. The ETHW core has additionally advisable that customers take away their tokens from liquidity swimming pools like decentralized exchanges and lending platforms.
This transfer has drawn criticism from varied influential figures within the crypto group. Foobar, a developer and blockchain auditor, has ridiculed the group by questioning their competence to efficiently pull off this transfer.
Alberto Rosas, the CEO of Gamium Corp, has questioned the blockchain’s decentralization if a small group could make such huge selections. He believes that the ETHW chain will change into a sluggish, centralized chain with none market worth.
Is The Ethereum Hardfork Possible
The Ethereum merge will change Ethereum’s consensus mechanism from Proof-of-work to Proof-of-stake. It will cut back Ethereum’s vitality consumption by greater than 99%. Nevertheless, it additionally replaces the miners at the moment required by the PoW system with validators.
Because of this, the miners may shift to a PoW chain like Ethereum Basic, or exhausting fork the Ethereum blockchain. Nevertheless, with a number of stress piling up towards Ethereum hardfork, such a transfer will in all probability not achieve traction.
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