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The Ethereum's transition to Proof of Stake (PoS) could potentially devalue tokens and risk ETH loans liquidation on the Aave PoW Ethereum, leading to concerns within the community. A vote is underway to halt ETH borrowing during the fork, but questions remain about protecting the already borrowed ETH on the PoW side from liquidation or permanent lockup.
The discussion primarily revolved around the potential implications of Ethereum's transition to Proof of Stake (PoS) on the Aave PoW Ethereum. O_O expressed concerns about the possible devaluation of tokens and the risk of ETH loans being liquidated. The shift to PoS could lead to centralized exchanges only supporting the PoS Ethereum chain's tokens, which might significantly reduce the value of tokens on the PoW side.
A vote is currently in progress to temporarily halt borrowing ETH during the fork to minimize risk on the PoS side. However, O_O raised valid questions about the protective measures for the 571 thousand ETH already borrowed on the PoW side to prevent them from being liquidated or permanently locked up1. This issue remains a significant point of concern within the community, and further discussions and solutions are anticipated.
Posted a year ago
Last reply a year ago
Summary updated 2 months ago
Last updated 09/12 13:53