ETH Merge: CoinGecko co-founder shares strategy for forked tokens

Published at: Sept. 5, 2022

Many believe that after Ethereum transitions to proof-of-stake (PoS), a faction of Ether (ETH) miners will be creating a proof-of-work (PoW) fork of the network so that they can still keep mining. An executive believes that there are ways for ETH holders to take advantage of this upcoming event. 

In a Twitter thread, Bobby Ong, the co-founder of token information website CoinGecko, shared his strategies when it comes to the upcoming ETH Merge. According to Ong, ETH holders will soon be getting airdrops of ETH PoW tokens and shared some tips on how ETH holders can fully seize this opportunity. 

Ong noted that the easiest way to get the fork airdrops is to hold ETH at exchanges that support the forks. However, holding ETH in hardware wallets would also work and could make a trader eligible for all the forked tokens. 

To maximize the amount that holders can get, the executive also advised traders to bridge their tokens back to the ETH mainnet, unwrap their wrapped Ether (wETH) and remove their ETH liquidity from decentralized finance (DeFi) protocols. 

Related: What the fork? Ethereum's potential forked ETHW token is trading under $100

Despite these tips, Ong noted that while he may be eligible to get all of the forked tokens, he would not claim all of the airdrops as some of them could be scam attempts that would try to get access to his signature and keys. The executive also shared that his strategy for the forked tokens is to "sell them all immediately." He wrote:

“Almost all the fork tokens are now dead as they are created solely to keep miners temporarily occupied with mining and have no incentive to grow their community and usage.”

Meanwhile, nonfungible token (NFT) marketplace OpenSea said that it will not be supporting forked NFTs in its platform. The popular NFT trading platform recently announced that it will only support NFTs on the upgraded PoS blockchain. Apart from OpenSea, blockchain oracle project Chainlink also expressed its support for the upgraded ETH network by announcing that PoW forks will not be supported by Chainlink. 

Tags
Blockchain
Ethereum
Mining
Proof-Of-Stake
Proof-Of-Work
Related Posts
Experts debate Bitcoin climate footprint in latest Cointelegraph Crypto Duel
In the latest Cointelegraph Crypto Duel, founder of Digiconomist Alex de Vries and CEO and founder of Blockchain for Climate Joseph Pallant debated the intensity of Bitcoin’s footprint and possible paths forward to reduce it. As pointed out by de Vries, Bitcoin’s energy consumption has been increasing together with its network. The analyst predicts its carbon footprint could increase tremendously as Bitcoin gets closer to mass adoption. “I fear that this will quickly get completely out of control if adoption increases a lot more”, he said. According to de Vries, as long as Bitcoin functions with a proof-of-work system, bringing …
Technology / April 30, 2021
ETH Miners Will Have Little Choice Once Ethereum 2.0 Launches With PoS
As Ethereum is finally set to launch its Ethereum 2.0 upgrade later this year, putting an end to a long streak of delays, the network will start moving toward a proof-of-stake model. Consequently, the network will abandon the proof-of-work consensus algorithm, leaving Ether (ETH) miners with very few options. Since their equipment will become obsolete, they will be forced to start mining altcoins, or recertify as ETH stakers. So, what is the current state of ETH mining, and what exactly will happen to the industry as a result of the upcoming transition? GPU v. ASIC The Ethereum consensus is currently …
Blockchain / June 13, 2020
Ethereum Merge and the hefty tax bill you could be in for
Ethereum (ETH) hodlers that don’t play their cards right following the Ethereum Merge may be in for a hefty bill come tax time, according to tax experts. Around Sept.15, the Ethereum blockchain is set to transition from its current proof-of-work (PoW) consensus mechanism to proof-of-stake (PoS), aimed at improving the network’s impact on the environment. There is a chance that The Merge will result in a contentious hard fork, which will cause ETH holders to receive duplicate units of hard-forked Ethereum tokens, similar to what happened when the Ethereum and Ethereum Classic hard fork occurred in 2016. Tax compliance firm …
Blockchain / Sept. 1, 2022
What is PoW Ethereum (ETHW), and how does it work?
Ethereum blockchain shifted from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism on Sept. 15, 2022. Along with this move, ETHPoW, a distinct PoW blockchain (basically the old pre-Merge Ethereum) forked from Ethereum's Merge, became live. This forked version of Ethereum aims to maintain the proof-of-work mining process for ETH miners. Any miner is permitted to add a block to the PoW network with the clear stipulation that the first valid block published is the correct one. In reality, more than one legitimate block is occasionally discovered by the network due to the latency of data propagation, creating numerous …
Blockchain / Oct. 4, 2022
Is GPU mining profitable after the Ethereum Merge?
What is the future of GPU mining? The future of GPU mining depends upon miners’ willingness to continue mining alternative GPU mineable cryptocurrencies. Mining, the foundation of PoW cryptocurrencies, may continue to flourish, given that energy costs are low for GPU miners. Moreover, the application of graphics processing units beyond mining, including graphics designing, gaming and video editing, make them ideal for fixed capital investment. Also, when one blockchain migrates to alternative consensus algorithms, GPU miners can utilize their rigs to mine other cryptocurrencies. This implies that GPU miners can continue using their mining rigs during events like the Merge, …
Blockchain / Nov. 14, 2022