Miners are stocking up on more Ethereum as they prepare to transition the Ethereum (ETH) blockchain from proof-of-work (PoW) to proof-of-stake (PoS), the second most valuable cryptocurrency after Bitcoin.
The update, called Merge, is touted as the most important update for the Ethereum blockchain, as it will completely change the authentication system of the network. Total reserves of Ethereum miners as the update date approaches highest in four years reached level. Experts say that this increase in miner reserves is caused by the update. more than one He stated that it may be due to the cause.
On-chain data and analytics firm Oklink’s balance of Ethereum miner addresses, according to data 260,000 Ethereum (ETH) exceeded and to 261,848 reached. The total value of the reserves is at the current price. 415.8 equates to a million dollars.
Experts attribute the miners’ efforts to increase their Ethereum reserves to multiple reasons; The first of these reasons is that the Merge update of the miners in general will affect the prices. positive think they will reflect. rest of the market “Buy the rumor, sell the news” Although the miners believe that the prices will decrease after the update with the philosophy of in the opposite direction is thinking.
The second reason, according to analysts, is a possible hard forkIt is known that some of the Ethereum investors do not support the proof-of-stake system for different reasons. After several major Ethereum miners announced their plans to release an ongoing version of Ethereum in the proof-of-work system, miners move to new version It is thought that they may be accumulating Ethereum on behalf of them.
The last reason is that miners Trying to “dig” as much Ethereum as possible before the Merge update is expressed as. Miners may be trying to mine as much Ethereum as they can in recent times, as mining cannot be monetized when switching from a proof-of-work system to a proof-of-stake system.