SwissBorg is Ready For the Ethereum Merge
The long-awaited Ethereum Merge will be a game changer in the crypto space ushering in a new, less carbon-intensive way of verifying blockchain transactions.
Rest assured that your assets will remain safe and secure during this period, and no action is required on your part.
Ethereum’s Proof-of-Work (PoW) chain will migrate to the Proof-of-Stake (PoS) chain when it hits the Terminal Total Difficulty (TTD) value of 58750000000000000000000. The execution layer upgrade (Paris) is expected to take place between 2022-09-10 and 2022-09-20. The current estimation lies at the ETH mainnet block height of 15,540,293, or approximately at 2022-09-15 00:30 (UTC) .
Before this, the consensus layer upgrade (Bellatrix) is scheduled for epoch 144,896 on the Beacon Chain at 2022-09-06 11:34:47 (UTC).
Major players in the Ethereum ecosystem, like Circle, Tether, Uniswap, Chainlink and more, have announced their support for the Ethereum Proof-of-Stake, making an eventual chain fork to hold no relevant projects and therefore not much intrinsic value.
SwissBorg has taken the following steps to ensure the safety of users' funds during the Merge and a potential hard fork :
1. ETH Deposits & Withdrawals
SwissBorg will take a similar approach to other crypto exchange platforms. We will suspend deposits and withdrawals for ETH and ERC-20 tokens for a few hours before and after the consensus layer and the execution layer upgrades, as follows:
- On 2022-09-06 for the Bellatrix consensus layer upgrade
- On the day of the Merge, which is expected between 2022-09-10 and 2022-09-20 for the Paris execution layer upgrade
Please note that other blockchains, like Binance Smart Chain and Avalanche chain, may also incur deposits and withdrawal suspensions during the Merge.
Please make sure that you leave sufficient time for your ETH and ERC-20 token transfers to be fully processed before we suspend withdrawals and deposits. We will take care of all technical requirements on behalf of users holding ETH and ERC-20 tokens on SwissBorg.
2. Regarding the Merge
The two likely scenarios to occur with the Ethereum (ETH) Merge are:
If no new token is created, SwissBorg will reopen deposits and withdrawals for ETH and ERC-20 tokens as soon as possible. A re-opening of deposits and withdrawals announcement will be made through in-app notifications.
If the chain splits into two competing chains and a new token is created, the “ETH” ticker will be used for the Ethereum PoS chain.
To give SwissBorg users as much opportunity and as many options as possible, any Forked Tokens will be converted into CHSB and airdropped to users, enabling users to hold or exchange their airdropped CHSB for the token of their choice. SwissBorg will execute the airdrop in such a way to maximise the value of the airdrop in CHSB based on the snapshot of ETH balances before the Paris execution layer upgrade (approximately at ETH mainnet block height of 15,540,293, or 2022-09-15 00:30 (UTC)).
SwissBorg will not support any representation of CHSB on any chain other than ETH Proof-of-Stake.
Please note that a fork may or may not happen.
3. Why CHSB airdrop?
In the case of a chain fork, the new “ETH PoW” will be a new chain, and there will be a new token. To add a new chain and token to the SwissBorg app takes weeks as it would still need to go through the same rigorous process as any other token listing. During this time, users wouldn't be able to trade the new “ETH PoW” asset. The Team at SwissBorg has therefore chosen this approach to give more decision-making power back to the users.
Details regarding this distribution will be communicated in a separate announcement.
Please note that SwissBorg may update the treatment of the chain split according to future developments. To protect SwissBorg users, any forked token would go through the same strict listing review process as other tokens/coins. SwissBorg does not guarantee listings per our internal policy.
4. SwissBorg Earn
During the Merge, all Earn programs will continue to operate unaffected, there is no action required on your side.
In case of the occurrence of scenario B, holders of ETH in the Earn program will receive a reward according to how the forked chain handles ETH Proof-of-Stake deposit contracts. A further announcement will be made when/ if needed.
We believe in the Ethereum network and think that the groundbreaking switch from Proof-of-Work to Proof-of-Stake promises a more sustainable future for the crypto ecosystem. We may experience some birthing pains as a space, but we will emerge as a more viable alternative to traditional finance.
Read more to discover what fuels our optimism about the Merge here.
- Uncredited ETH deposits and pending ETH withdrawals will not count towards the snapshot of users’ ETH balances before the Paris execution layer upgrade.
- A further announcement will be made regarding the timing for the resumption of deposits and withdrawals, as well as further information about the potential ETH chain split that may affect the above information.
- The Paris execution layer upgrade is estimated to occur at the ETH mainnet block height of 15,540,293. The estimated time is for users’ reference only and is subject to change depending on block propagation times.
Thank you for your support while we buidl the future of finance.
The SwissBorg Team
SwissBorg reserves the right in its sole discretion to amend or change or cancel this announcement at any time and for any reason without prior notice.
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