The most prominent update to the Ethereum platform to date, The Merge, will be supported by the Crypto.com DeFi Wallet. Let’s understand The Merge, what it includes, and what customers can anticipate before, during and following the network update.
Customers of the Crypto.com DeFi Wallet, one of the top cryptocurrency wallets don’t need to take any action prior to the Merge and their funds will still be available. Users are advised to continue operations after The Merge to protect the security of the funds. The Merge is a procedure through which Ethereum’s Mainnet and Beacon Chain are “combined”. The present proof-of-work (PoW) consensus mechanism would be swapped with the proof-of-stake (PoS) consensus protocol offered by the Beacon Chain.
The two enhancements that make up The Merge are Bellatrix on the Consensus Layer and Paris on the Execution Layer.
As auditors keep an eye on the PoW chain to start the shift, Bellatrix is updating the Beacon Chain to be “Merge-aware,” integrating The Merge mechanism in the Beacon Chain. Bellatrix was completed on September 6, 2022, and it was planned for epoch 144,896 on the Beacon Chain.
The Paris update starts at the selected Terminal Total Difficulty (TTD) of 58750000000000000000000, which is anticipated to be between September 10 to September 20, 2022. Paris is the actual Merge, in which Ethereum switches its consensus method from PoW to the Beacon Chain’s PoS.
The proposed new deadline is September 15, 2022. The TTD is based on the complexity of the PoW consensus algorithm. The algorithm is impossible to predict, and the date may change. The Merge will be completed after the operation hits the TTD.
There seems to be two circumstances that The Merge will most likely follow:-
- A) The Merge does not lead to the creation of any new tokens. There will be no interruption in the Crypto.com DeFi Wallet’s ETH and ERC20 token operations. Users are cautioned to only move forward with their operations once The Merge has been completed.
- B) The blockchain divides in two, with one branching off to join the forked PoW blockchain and the other joining the revised PoS blockchain. Tokens created on the PoS chain will carry the ticker ‘ETH,’ whereas the ones built on the PoW chain would be forked tokens. Users are advised to continue with their operations using ETH and ERC20 tokens until The Merge is over.
Forked token developers can capture screenshots of users’ ETH holdings before the Paris update. Users will be given supported forked tokens proportional to existing ETH balances and can withdraw them. The forked POW blockchain will decide the distribution’s specifics in the future. The handling of any blockchain split may be subsequently updated any time by Crypto.com DeFi Wallet.