The leading stablecoin issuer, Tether declared its support for Ethereum Merge that will transit Ethereum main chain’s consensus from Proof-of-Work (PoW) to Proof-of-Stake (PoS).
Tether stated in a blog post that to avoid any disruption in the DeFi community, there should be a check on the PoS transition as it should not be “weaponized”.
Tether promised that it will closely monitor and follow the progress and preparation for Ethereum Merge. It believes a “smooth transition” is required to maintain the long-term health of the DeFi ecosystem, Tether added, “including those using our tokens”.
The most alluring event in blockchain history, Ethereum Merge, is going to probably take place next month. Many experts are envisaging one more hard fork on Ethereum similar to 2015, which split the chain into two different chains namely Ethereum and Ethereum Classic.
Following this event, one after another DeFi players are coming forward to raise support for this transition and possible forked chain. Recently, Coinbase, BitMEX, Chainlink, and others have announced their support for the PoS transition as well as the forked chain.
Surprisingly, this announcement just came after its tough competitor and USDC issuer, Circle Pay, claimed its support for Ethereum PoS.
Tether flexed its dominance over the market stating “As the biggest stablecoin in the market trading at 10 times the volume of our closest competitor, and the most used stablecoin on the Ethereum blockchain with 3 times more people holding tethers in their wallet than any other stablecoin, we know it is our responsibility to reassure the community of our support for its development.”
