Grayscale Extends ETHPoW Review for 180 Days Amid Environmental Concerns

• Grayscale, the world’s largest digital asset manager, has extended its review of Ethereum PoW tokens following the upgrade to a Proof-of-Stake consensus mechanism.
• The 180 days extension will provide the company with ample time to decide when and how to sell ETHPoW tokens.
• The uncertain trading venues and crypto asset custodians could lead to fluctuations in price for ETHPoW tokens.

Grayscale Extends ETHPoW Review

Following the upgrade of Ethereum blockchain network from its former Proof-of-Work system to the current Proof-of-Stake consensus mechanism in September 2022, Grayscale, the world’s largest digital asset manager, planned to review and decide whether to sell the former PoW system tokens. However, in a recent report, Grayscale noted that it is extending its review for 180 days in order to give itself ample time to decide on the manner, time and possibility of selling ETHPoW – an asset after Merge in September 2022.

Environmental Concerns Motivate Review Extension

The environmental concerns surrounding PoW have motivated this decision as it requires high energy consumption levels for transaction validation. Additionally, there is also uncertainty about trading venues and crypto asset custodians as trading markets are yet not established for EthereumPoW tokens.

Price Fluctuations Possible

Accordingly, Grayscale’s review period extension may lead to price fluctuations if there are notable developments in trading markets or if crypto asset custodians support these tokens. Grayscale holds a significant amount of Ethereum in its Grayscale Ethereum Trust which makes this review even more important as other major institutions might reconsider their stance on proof-of-work systems based on it.

Ethereum Merges Into Two Blockchains

In September 2022 Ethereum completed a significant upgrade – Merge into two blockchains – one running on a PoS consensus algorithm while other using proof-of-work protocol with notable differences from previous version. Some members of community showed preference towards mining system but majority agreed that PoS is more secure and valuable for deploying new scaling solutions.


Grayscale’s extended 180 days review carries great significance as it will provide insight into future of proof-of work protocols and possible implications on prices of related assets like ETHPoW tokens based on certain developments such as support from custodians or different trading venues becoming available .