Whereas Ethereum devs promised no downtime throughout The Merge, some of the anticipated Ethereum upgrades, members of the crypto group determined to take proactive measures to make sure the security of investor funds. On this effort, crypto change FTX introduced to halt all Ether (ETH) trades on varied blockchains till the September improve concludes.
The Merge improve will completely transition the Ethereum blockchain from proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism — geared toward decreasing power consumption and introducing sharding capabilities.
Based on Ethereum builders, the Merge is designed to transition to PoS with zero downtime owing to the terminal whole problem (TTD), which is able to make sure the transition based mostly on the entire mining energy that goes into constructing a sequence. Regardless of the reason, FTX selected to droop “deposits and withdrawals till the Merge is completed and networks are secure.”
Because the ETH merge approaches, FTX will briefly disable blockchain transfers of secondary chains for ETH to be sure that settlement is clear; fundamental chain ETH transfers will keep energetic for longer.
— FTX (@FTX_Official) September 5, 2022
The commerce suspension for Ethereum on varied blockchains has been assigned to start at totally different instances however stays topic to alter based mostly on anticipated problems.
FTX additionally identified that the crypto change is just not chargeable for any losses in case of huge worth fluctuations, including that “It’s your accountability to know the implications of this announcement.”
Clarifying one of many greatest misconceptions tied to The Merge, Ethereum Basis clarified that the upcoming upgrade will not reduce gas fees. The official assertion reads:
“Fuel charges are a product of community demand relative to the community’s capability. The Merge deprecates the usage of proof-of-work, transitioning to proof-of-stake for consensus, however doesn’t considerably change any parameters that straight affect community capability or throughput.”
As a substitute, the improve goals to purely remove the necessity for energy-intensive mining.