Ethereum Proof-of-Work Hard Fork Team Dissolves for Autonomous Future
Summary:
The development team behind the Ethereum proof-of-work (PoW) hard fork has decided to dissolve, according to a Dec. 19 announcement. In an attempt to achieve full autonomy, EthereumPoW will continue running with PoW as its main consensus under decentralized governance. EthereumPoW servers are being transferred to decentralized protocol OneDAO for transitional maintenance. The separation follows dissatisfaction with the Ethereum’s shift from PoW to proof-of-stake, leading developers and miners to form EthereumPoW as an alternative means of preserving the original Ethereum concept.
In a declaration made on December 19, it was made known that the team behind Ethereum’s proof-of-work (PoW) offshoot has elected to dissolve. The primary developers behind the Ethereum hard fork have decided to dissolve for the sake of full autonomy. With decentralised governance taking the helm, the Ethereum fork will continue to function with PoW constituting its main consensus. The announcement included the phrase 'becoming a public chain without a deity', hinting towards more autonomous decision-making.
Existing Ethereum servers are in the process of being moved over to OneDAO, a decentralised Harmony network protocol. This is intended to provide 'transitionary maintenance' until longer-term ecological partners can be found. Jadal Page, a key player within the Ethereum PoW development team, stated that Ethereum PoW can feasibly function independently without the support of Core.
Just before the completion of the Ethereum Merge upgrade in September 2022, the Ethereum blockchain was subject to a hard fork. This upgrade shifted the network from PoW to a proof-of-stake consensus mechanism, helping to reduce energy consumption on the mainnet by a substantial 99%. The Ethereum PoS consensus had caused dissatisfaction due to the increased centralisation. As a result, miners who were discontented due to a decrease in their mining profit chose to create EthereumPoW, hoping to uphold the original Ethereum concept.
On September 20, Grayscale Investments, an ETF operator, halted its support for Ethereum PoW tokens that came after the Merge (ETHW). According to Grayscale, the lack of meaningful liquidity for ETHW, along with their custodian's inability to support these tokens, were the primary reasons. The inability to secure the rights to buy and sell these ETHW tokens for its users was consequently hampered.
ETHW tokens, which hit their highest price point at $100 in August 2022, have depreciated significantly and now stand at $2.59. Currently, the total market capitalisation of ETHW is estimated to be around $279 million.
Published At
12/19/2023 5:41:53 PM
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