Coinbase reveals it will "Evaluate any ETH fork tokens following the Merge"
The publicly listed firm Coinbase Exchange Global has revealed the firm is planning to evaluate any potential forks that may arise from the upcoming Ethereum upgrade known as “The Merge”. In a recently updated blog article, Coinbase global said that if a new Ethereum proof-of-work (PoW) token is created it “will be reviewed with the same rigor as any other asset that is listed” on the company is exchange platform.
The Merge is coming really soon and the data around it shows that it is roughly 16 days away from now. Essentially, The Merge is Ethereum is plan to transition from a proof-of-work (PoW) consensus scheme to a new proof-of-stake (PoS) consensus algorithm. Now, despite the fact that a PoW network similar to ETH already exists in Ethereum Classic (ETC), there is been talk of creating a new PoW fork when The Merge is implemented.
The proposed ETH PoW fork has gained traction in the market as a number of Cryptocurrency Exchanges have created IOU token versions called ETHW. At the time of writing, ETHW is changing hands for $49 per token and its up close to 5% during the past 24 hours. This past week on 25th August, Coinbase Global (Nasdaq: COIN) updated a blog article that was originally published on 16th August. The latest update concerns around the possibility of an ETH PoW fork arising from The Merge.
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The purposes of the blog post clarified how Coinbase global plans to pause any Ethereum or ERC20-based transactions amid The Merge. The recent update says that: “Should an ETH PoW fork arise following The Merge, this asset will be reviewed with the same rigor as any other asset that is listed on our exchange.” Coinbase global also tweeted about the update on Twitter the same day.
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“At Coinbase Exchange, our goal is to list every currency & asset that is legal and safe to list,” the exchange platform tweeted. “We will assess any ETH fork tokens following The Merge on a case-by-case basis in alignment with our general asset listing policy. Rest assured, all potential forked tokens of Ethereum, including PoW forks, will go through the same strict listing due diligence that is done for any other asset listed on our exchange platform,” Coinbase global added.
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It is well known that exchange platforms can and will take as long as they want to disperse forked assets and some trading firms have never offered support for specific cryptocurrency forks. Coinbase Exchange made similar decisions during Ethereum Classic and Bitcoin Cash forks. It is also well known by veteran Cryptocurrency participants that holding assets that may experience a fork in a non-custodial fashion, is the best possible way to make sure you will get a forked Cryptocurrency Asset, if a blockchain split happens to occur.
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