Vitalik Buterin: “The viability of controversial Ethereum hard forks will be determined by stablecoin issuers”

Vitalik Buterin: “The viability of controversial Ethereum hard forks will be determined by stablecoin issuers”

The Ethereum co-founder, speaking at the BUIDL Asia conference in South Korea, said that the community will determine the future and viability of the network's controversial hard forks.

The decision of the issuers of centralized stablecoins, for example, Tether (USDT) and USD Coin (USDC), will influence the community’s verdict, Vitalik Buterin is sure. He sees “no indication” that any dissension and opposition from merger opponents will become an issue as the Ethereum network transitions to a Proof-of-Stake (PoS) consensus algorithm. 

Buterin noted that it is likely that in the coming years, the blockchain of the world's second-largest cryptocurrency in terms of capitalization may face controversial hard forks, and it is then that stablecoin issuers can have a great influence on the preferences of the community:

“I think this will definitely become a major problem over time. The fact that stablecoin issuers decide which blockchain is the true Ethereum could be a deciding factor in public acceptance of future controversial hard forks.”

Earlier, the Tether team, represented by CTO Paolo Ardoino and Frax Finance founder Sam Kazemian, said
about its full support for Ethereum 2.0 (ETH2). Sam Kazemian elaborated that “Frax is the fifth largest stablecoin in the world and therefore it makes sense to clearly communicate to the public the desire of FXS holders to support ETH2.”

Some participants in the crypto industry are not in the mood to make drastic decisions. Cryptocurrency exchange Poloniex has stated that it will support any potential Ethereum forks on the Proof-of-Work (PoW) algorithm after the mainnet merger with Beacon Chain, which is scheduled for September 2022:

“As the world's first exchange to support Ethereum and Ethereum Classic, Poloniex will fully support the ETH upgrade and its potential hard fork. If successful, the merge can create two parallel blockchains after the upgrade. All Ether holders on Poloniex will receive forked assets at a 1:1 ratio when the upgrade is completed.”

Cryptocurrency exchange Poloniex made a statement
after one of the largest players in the Chinese mining ecosystem, Chandler Guo, announced plans to continue PoW mining with the transition to the new ETHPoW blockchain.

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