Vienna, Sept. 14, 2022 (GLOBE NEWSWIRE) — AllesBroker is an Austrian-based organization that informs investors about important events in the financial world. They announce that crypto exchanges such as Kraken, Coinbase, FTX and many others are announcing support for the Ethereum Merge, which is expected between September 14 and 15, 2022.
The switch from one consensus mechanism to the other marks a historic moment for the second largest cryptocurrency exchange after Bitcoin. The crypto community is currently awaiting a major event: the merging of the Ethereum cryptocurrency from Proof-of-Work (PoW) to Proof-of-Stake (PoS), which will result in “Ethereum 2.0”. For many crypto investors and traders, the main question is which trading platforms will support the merger so that their deposits in the exchange’s wallets remain safe. Currently, crypto exchanges that support the merger include Coinbase, Kraken, Binance, Bitfinex, Bitstamp, FTX and many others. Customers of smaller platforms are advised to check with their crypto exchange about the Ethereum merge support. “In individual and rare cases, it may make sense to store the cryptocurrency on your own wallet,” says Martin Fiedler, founder of AllesBroker.at.
There are some dangers, but also benefits that may arise during the merger. The risks include possible hard forks of the blockchain or errors during the transition. Should a hard fork occur, investors should be able to access the cryptocurrency on both blockchains on Coinbase, Binance, FTX and all other major exchanges. Among the benefits are that Ethereum staking will be possible on many crypto exchanges, transaction fees within the network will be reduced, and a more resource-efficient consensus algorithm will be used. The latter is also repeatedly criticized in Bitcoin, although a change of the consensus mechanism from proof-of-work to proof-of-stake is considered extremely unlikely in this case.
Traders should note that no trading is possible during the cryptocurrency merge. Coinbase, Kraken, FTX, Bitstamp and other platforms have already told their customers in email announcements over the past couple of weeks.
Alexander Höptner, CEO of the crypto exchange “BitMEX,” warns in an interview with Cointelegraph: “There is a chance of high volatility. And so you have to make sure your services are up and running.” But he also continues: “We don’t expect any major disturbances apart from the volatility.” There are similar quotes from CEOs of other crypto trading platforms. So all signs are green and from a current perspective no significant issues are expected from the major cryptocurrency exchanges.
Investors who have their cryptocurrencies stored in wallets with Coinbase, Bitfinex and Kraken do not need to do anything actively except to wait for the merge to happen.
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For more information about AllesBroker, contact the company here:
AllesBroker
Martin Fiedler
+43 677 635 316 79
[email protected]
