The Ethereum (ETH) blockchain changed from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism on September 2022. Many Crypto experts and investors looked forward to this change as this is an upgrade for the ETH blockchain, solving its scalability issue.
However, this fork away from PoW would put the ETH miners at risk, hence the ETHPoW was created to continue to support the miners by maintaining the proof-of-work process.
What is POW Ethereum ETHW?
ETHW EthereumPoW is a hard fork of the original Ethereum ETH blockchain network. It went live after the ETH blockchain merge. EthereumPoW continued with the contentious PoW consensus mechanism, while Ethereum will move over to the energy-efficient PoS consensus.
ETHW is created by a group of Ethereum miners. They supply massive computing resources for processing and validating transactions to sustain the old PoW network.
The group behind ETHW is known as the ETHW Core. The ETHW Core members are anonymous, but some significant backers include ETH miner Chandler Guo, and Justin Sun, founder of the TRON blockchain.
Why Did the Ethereum Hard Fork Occur?
Ethereum ETH blockchain was initially a PoW (proof-of-work) concept meaning it relies on miners to run the blockchain. However, the PoS (proof-of-stake) concept is a much-needed upgrade for the ETH blockchain to make it more efficient and less reliant on miners. As the upgrade was necessary to improve the ETH blockchain, the change was made.
Nonetheless, Over the years, there have been many miners that have already invested their assets into ETH mining. These miners have gathered and introduced a hard fork, which is ETHW.
Hard forking has been common in the cryptocurrency industry for a long time. It is the result of opposing interests that can only result in a break-off. Examples include Bitcoin Cash (BCH), Bitcoin SV (BSV), Terra Classic (LUNC), and Ethereum Classic (ETC).
Why Is EthereumPoW ETHW So Popular?
Even before the switch of Ethereum to PoS, the EthereumPoW was already popular among miners.
This is because mining Ethereum blocks give good returns. In a recent report by Arcane Research, Ethereum PoW miners were able to generate $18 billion in 2021, which is $1 billion more than Bitcoin mining returns.
Given that miners have already invested in mining equipment, they don’t want to give up their equipment and switch to PoS.
How to Buy PoW Ethereum ETHW
Crypto trading platforms and exchanges like Coinbase, Crypto.com, and Binance have already added support to ETHW. Users can go to these platforms to buy ETHW.
Binance launched Binance Pool's fee-free Ethereum ETHW mining service that offers ETHW withdrawals for a limited time. However, ETHW deposits are not possible. On Binance Convert, users can sell ETHW against BUSD and USDT which is very good.
How to Store PoW Ethereum ETHW
ETHW can be stored securely inside wallets like any other coin. However, not many well-known wallets have supported ETHW so choices may be limited.
One well-known and very secure cold wallet that we can recommend to store your ETHW with is the ELLIPAL Cold Wallet. The ELLIPAL is an air-gapped cold wallet, meaning it will protect your ETHW from any online hacks.
If you are an investor or a miner of ETHW, it is best to store your ETHW on a secure cold wallet like the ELLIPAL.
More Articles:What is Ethereum Fair (ETHF/ETF)?