ETHPoW, a proof-of-stake (PoW) blockchain developed from the Ethereum Merge fork, went live on September 15. However, the chain experienced technical issues after its launch, which put a downward pressure on the ETHW token.
Amidst the “ChainID” fiasco, ETH’s price dropped by 65%
Since ETHPoW launched on September 16, the price of ETHW has fallen by 65%, according to CoinMarketCap. At minimum, the token was changing hands for $9.50.
The vulnerability was linked to a technical issue with ETPoW’s ChainID.
ChainIDs are identifiers that help users distinguish one blockchain from another. Thus, ETHPoW needed a new ChainID to distinguish the transaction data from the main Ethereum blockchain after the merger, otherwise it ran the risk of creating duplicate transactions.
Lol EthPow miners are set to the wrong chainID, so they are mining. https://t.co/IichaPURjr
— David Teare (@daveytea) September 15, 2022
The team behind ETHPoW announced on September 15 that the unique ChainID is 10001. However, according to information from Chainlist, a cryptocurrency project called Smart Bitcoin Cash has the same ID operating under the token BCHT. This issue caused errors in the MetaMask cryptocurrency wallet.
ETHPoW became aware of the issue and fixed the chain ID on September 15th. However, while a few major pools continue to mine the PoW chain, it appears that many miners have already mined it.
Notably, after peaking at 80.56 TH/s earlier in the day, the ETHPoW hash rate fell to 66.64 TH/s on September 16.
In comparison, Ethereum Classic (ETC), another PoW alternative to Ethereum miners, was at 234.56 TH/s on September 16, compared to a near peak of 310.5 TH/s days earlier.
ETHW is listed on some exchanges despite the risk.
Eric Wall, chief investment officer at cryptocurrency investment company Arcane Assets; It is mentioned ETHPO miners are unable to sustain the chain at the current ETH price. He explained.
“The daily reward is 13100 ETH, $354k out of $20m.. No matter what problem you fix, there is no way miners can “mine” the ETHPoW chain. There simply aren’t enough rewards in the system to pay. For electricity bills.”
Related: Dogecoin will be the second largest PoW cryptocurrency.
However, ETHW is listed on some leading cryptocurrency exchanges, including FTX and Huobi. Also, BitTrue has it too Introduced An ETHW-based liquid payment service that offers depositors 6% annual returns.
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