Binance Will Suspend Ethereum Withdrawal During The Merge

Bitcoin exchange Binance will suspend deposits and withdrawals in Ethereum and ERC-20 tokens while the blockchain migrates fromProof-of-Work (PoW) algorithm on Proof-of-Stake (PoS).

According to the developers' plans, approximately 6Bellatrix «consensus level» will be updated in September. (Beacon Chain). Presumably on September 15, the Paris «execution level» upgrade will be activated. (mainnet).

Binance noted that since duringhard fork, a new token may appear, the exchange decided to «take steps to reduce the risks of volatility and ensure the safety of user funds». 

The platform will suspend deposits and withdrawals  ether and ERC-20 tokens:

• September 6 from 14:00 (Kyiv/MSK);
• September 15 from 03:00 (Kyiv / Moscow time).

«Make sure you have enoughtime for your transfers in ETH and ERC-20 tokens to be fully processed by the time specified above. We will fulfill all technical requirements for asset owners on the platform,” the Binance team warned.

The restrictions will not affect trading operations on the site, with the exception of cross and isolated borrowing of Ether.

The company noted two possible scenarios after the merger (The Merge) of Ethereum:

• no new token is created. Binance is resuming deposits/withdrawals as soon as possible;
• The blockchain is split into two competing chains.The ETH ticker will remain with the Ethereum PoS network. The exchange credits the fork token at a 1:1 ratio based on the snapshot prior to the activation of Paris and adds a withdrawal option for the new asset.

The Binance Pool mining pool will exclude Ethereum mining from the service after The Merge. Users will be able to switch to Ethereum Classic mining. 

The Merge: what to expect from the biggest update of Ethereum

Recall that the largest hashrate in the network, the second largest cryptocurrency by capitalization, Ethermine pool also stated that it would not support any potential PoW forks of the blockchain.

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