Grayscale Investments, the world’s largest crypto asset manager, recently highlighted the reason why the price of Ethereum Classic (ETC), which it describes as an alternative to Ethereum, has increased by 103 percent over the past 10 days, while Bitcoin (BTC) has risen only 13 percent. Here are the details…
Ethereum Classic (ETC) report from Grayscale
As we have also reported as Kriptokoin.com, ETC had a remarkable rally from $26 to the peak of $48.50. According to Grayscale, renewed interest in Ethereum Classic (ETC) was sparked by speculation that ETH 2.0, which is expected to happen possibly later this year, could cause miners to move hash rates to the ETC network.
ETH was announced a few days ago that the merger of the proof-of-stake (PoS) consensus mechanism was successful. This means the team can do the same on the mainnet before the end of the year. The much anticipated development is expected to prevent ETH miners from earning block rewards with their current setup, and they will need to find a place to contribute their processing power, hash rate.
ETC top choice for ETH miners
Currently, the Ethereum Classic network is probably the first candidate for ETH miners because the Ethereum Classic network has been using the Proof of Work (PoW) consensus algorithm for a long time and is very similar It is an Ethereum hard fork with code. The impact of miners on a PoW network such as Bitcoin, ETH, and Ethereum Classic can be observed through changes in the hash rate, which is the average computing power used to secure the network per second. The hash rate will increase as more miners mine the network and decrease when they leave.
Grayscale has noted that since the testnet launch of the merge was announced, the ETC hash rate has increased slightly by a relatively 1% percent from March 15 to March 22, 2022, and that this means that ETH miners indicated that it has not yet started migrating to the ETC network. However, the uptrend is expected later, as the hash rate from the ETH network needs to be moved somewhere. Grayscale believes that the transition of Ethereum miners to the ETC network will definitely increase the hash rate, which represents greater network security.
52480
