OpenSea will support the Proof-of-Stake Ethereum chain once the Merge, a long-awaited upgrade to the network, is done.
The Ethereum Merge will change the blockchain’s Proof-of-Work consensus mechanism to a 99.9% more energy-efficient and environmentally friendly version. The event, anticipated to happen on or around September 15, has prompted numerous crypto sites to prepare for the transition.
In a Twitter thread, OpenSea stated, “First, and most importantly, we are committed to solely supporting NFTs on the upgraded Ethereum PoS chain.”
The existing non-fungible tokens (NFTs) on the Ethereum Proof-of-Work consensus mechanism would no longer be supported or reflected in OpenSea’s marketplace. It also alluded to hypothetical Ethereum PoW forks that might attempt to establish rival chains.
The impending transition of Ethereum has been heralded by many as a turning point for the blockchain industry. According to Asaf Naim, CEO of decentralized application developer Kirobo, most platforms that now run on Ethereum will also support the PoS chain because failing to do so would effectively cut them out of the ecosystem.
“However, I do not expect these platforms to follow OpenSea’s selective stance,” Naim told Blockworks. “I expect we will see these platforms inclined to also support a forked chain that remains on POW.”
Naim continued, “It is worth noting that any forked chain will lag behind the new PoS chain in terms of both use and price.”
Similar to OpenSea, stablecoin provider Circle has stated that their USD Coin (USDC) can only exist as a single legitimate version and that it would only support the PoS chain. The lack of compatibility will adversely affect DeFi applications on any forked chain, especially when combined with a comparable Tether move regarding its USDT stablecoin.
If you would like to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, and Instagram.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
