Binance today announced its actions regarding the update of the Ethereum platform. The exchange plans to provide new Ethereum fork tokens to users who have Ether in their account after the Marj update, equivalent to users’ Ethers.
According to Blockchain Homeland and quoted by Cryptobriefing, Binance is preparing to update the Ethereum platform.
The Binance exchange has announced on Thursday that it intends to distribute new Ethereum tokens to users who have Ether in their accounts after the Marj event scheduled for September 6. to present
This exchange in Recent notification He has mentioned the possible conditions during which the Ethereum network may be divided into two separate chains and thus, a new token will be created. In this situation, Binance will still use the symbol ETH for the new proof-of-stake version of Ethereum. Many crypto companies and DeFi protocols have also stated that they will support this.
However, Binance Exchange intends to provide users with the new tokens that will be created if a new Ethereum chain is created. Binance’s announcement reads:
We offer the smaller chain token to users based on their Ether account balance at a one-to-one ratio. This will be done before updating the Paris implementation layer.
Binance has also stated that it will support the deposit and withdrawal of all possible Ethereum forks. However, like any other coin or token, the Binance exchange will list new fork tokens after a rigorous review process.
In a statement, Binance has confirmed that it will stop deposits and withdrawals of Ether and ERC-20-based tokens on September 6 to prepare for the Bellatrix consensus layer update. Also, this action will be taken on September 15 for the Marj event. Other exchanges, such as Coinbase, have announced that they will take similar preventive measures to protect users from losing their funds due to network updates.
We will publish more information about the spot market and other Binance markets regarding the Ethereum update in the exchange announcement on Sunday.
The Marj event is considered the most important update of the Ethereum network so far and is the result of many years of efforts and work by developers. Although the majority of Ethereum holders and stakeholders have welcomed the network’s transition from a Proof-of-Work consensus mechanism to a Proof-of-Stake, a group of Ethereum holders opposes the update. In recent weeks, those opposed to moving the Ethereum network to PoS have talked about forking the network and creating a version of the Ethereum network that still uses the PoW consensus mechanism. With these interpretations, it remains to be seen whether there will be sufficient support for forks on the Ethereum network after the release of the Marj update.