ETC Group Will Release New Ethereum ETP For Its Forked Chain

Farah Diana Patcha . September 08, 2022

Photo: freepik.com

Techspace - Following the Ethereum Merge in the mid-September, ETC Group announced its plan to release a new Ethereum exchange-traded product (ETP) on Wednesday (09/08). Previously, Ethereum decided to move its blockchain consensus,  upgrading from Proof-of-Work (PoW) to Proof-of-Stake (PoS) that provides mining-free service. This upgrade had a big impact on the most crypto-related platforms, including ETC Group.

According to its Whitepaper, ETC Group’s new Ethereum will depend on a forked PoW Ethereum chain, proposed to represent the miners who disagree about the Ethereum upgrade to PoS. For those who still want to stay in the forked PoW chain, ETC Group will create a new token called ETHW. This token will support a basis for ETC Group’s new physical-backed ETP, named ETC Group Physical EthereumPoW, aka ETHWetc. In addition, ETHWetc will likely be included on the list of Xetra, an electronic trading platform owned by Deutsche Boerse. On the Xetra, ETHWetc will be labeled under ZETW. ETC Group said the official listing will be released shortly, around the time of the fork event that will be held on September 16.

Read also: Ethereum Goerli Merge Testnet; Preparing For Its Big Revolution

Cited from Decrypt, the founder and co-CEO of ETC Group, Bradley Duke, commented on this plan, saying: “When we launched ETC Group, we committed to holders of our digital asset-backed securities that they would benefit assets and cryptocurrencies. We believe that it is only right that investors in our products should receive the proceeds of this fork.”

However, ETC Group stated that the release of ETHWetc will not replace ZETH as the original ETC Group Physical Ethereum. One of the ETC Group representatives said that ZETH will automatically move to ETH PoS, in a row with The Merge. Thus, the current ZETH holders will get ZETW, the new token of ETC Group, with a 1:1 ratio of unit basis on brokerage accounts.

Read also: What is Ethereum and How Its Works

Along with its big impact, there are many sides that disagree with the Ethereum Merge. The recent news was last month from a group of crypto miners. The group led by Chinese entrepreneur, Chandler Guo, showed a protest campaign to stop Ethereum transition from PoW to PoS consensus. They forked the ethereum network, while creating an alternate form of Ethereum minable with PoW algorithm. 

Same goes with OpenSea, the biggest-volume NFT marketplace in Web 3.0 that shows their zero interest towards any Ethereum forks. Even though OpenSea supports the Ethereum Merge, this secondary market said that it will not support any Ethereum forks on its platform. 


(FDP)

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