With the much-anticipated Ethereum Merge only days away, Bobby Ong, co-founder and COO of major cryptocurrency data aggregator CoinGecko, has shared some ways on how ETH holders can best take advantage of the upcoming event.
- In a tweet thread on Monday (September 5, 2022), Bobby Ong said that one of the best ways for existing ETH holders to get ETH proof-of-work (POW) airdrops will be to have their tokens in a hardware wallet.
- Meanwhile, Ong noted that it would be easier for the investor if their ETH coins were held on exchanges that support the impending fork.
- Other ways to ensure receipt of ETH POW tokens is to withdraw liquidity from decentralized finance (DeFi) protocols, while also advising traders to borrow ether from Aave and Compound.
- The CoinGecko executive also said it was important for holders to unwrap wrapped ether (WETH) before the Merge occurs, and also bridge all their ETH tokens back to the mainnet rather than holding them on layer 2 scaling solutions like Optimism, Avalanche, Polygon, or Arbitrum.
- While Ong believes he could be eligible for the forked tokens if his ETH is held on non-custodial wallets, the CoinGecko co-founder noted that claiming them all may not be wise as some airdrops could be scammers looking to get his keys.
- Ong further said:
“My strategy for these fork tokens is to sell them all immediately. Almost all the fork tokens are now dead as they are created solely to keep miners temporarily occupied with mining and have no incentive to grow their community and usage.”
- As previously reported by CryptoPotato, Ethereum is about to transition from proof-of-work (POW) – which is considered to be energy-consuming – to the environmentally-friendly proof-of-stake (POS) consensus algorithm.
- The transition, known as the “Merge,” was initially scheduled for September 19 but might happen sooner, on September 15.