ETH 2.0 Fuels New Interest in ETC (ETH Classic) POW vs. POS
1 day candles from Bittrex ETC/USD
Many believe that the long anticipated ETH 2.0 (also called "The Merge") upgrade will happen this summer and for the end-users paying extremely high transaction fees - many are looking forward to the drop. As with anything crypto, not everyone agrees.
If you are fairly new to crypto a quick explanation of POW vs. POS
A quick explanation is with POW blocks are validated by miners after solving a mathematical problem. POS - Blocks and governance issues are stake-based. Both systems have strengths and weaknesses and EVERYONE has an opinion.
One advantage to POS Blockchain is they tend to be more energy efficient and do not require mining equipment. Currently ETH is mined and as they transition to a POS system that will leave a lot of mining equipment useless or needing to work on different projects.
Earlier this week many miners did in fact point their equipment at ETC and upping the hash rate, reducing a 51 percent threat on that chain.
Where it gets interesting is the Application Owners and Developers on ETH are often also the miners, and in will be validators in the future. IF THEY SO CHOOSE.
I am not an insider in the community to in addition to the fears that miners and some apps may go backward to ETC, there is also a concern of a new fork, and community split.
Although that would likely be difficult on the community and both chains would suffer at first, it would also result in a new chain and a new token that would initially trade at a similar price as ETH and as a ETH holder that is definitely something I want to pay attention to.
As a result of trying to get up to speed on the ETH progress towards ETH 2.0, I did buy some ETC as a speculation that there is some chance of the chain getting new attention, new devs and solving their Whale Stake Problems.
Who knows, but it is definitely a situation to keep your eye on this Summer.
Are you holding ETH? Mining ETH? Any concerns?
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