Chainlink aligns with the decision of the Ethereum Foundation and its community. Therefore, the Chainlink protocol will no longer support versions from forks of the Ethereum blockchain, including proof-of-work (PoW) forks, after the merger.
In an official announcement, the Chainlink protocol revealed that its services will remain on the Ethereum blockchain after the long-awaited merger. The Ethereum blockchain is planning the merger in September 2022, which will result in the convergence of its main network with Beacon Chain.
This will transition all Ethereum operations from proof-of-work consensus to proof-of-stake (PoS).
The merger has already been pushed back from mid-2021 to September 2022. If it goes according to the developers’ schedule, phase 1 will begin transferring ecosystem transaction history and smart contracts onto the PoS network.
This move will affect all smart contracts on the Ethereum blockchain, of which there were 1.45 million as of Q1 2022. Chainlink’s role in providing hybrid smart contract services is no exception.
Therefore, in the latest announcement, Chainlink urged its users to prepare their smart contract operations accordingly to avoid future disasters during and after PoS implementation.
Also Read: Ethereum Merger: How Will the PoS Transition Affect the ETH Ecosystem?
The Ethereum merger is a milestone in the crypto industry. The move from PoW to PoS has been a major talking point in the community as a solution to sustainability, scalability and increased decentralization.
According to Ethereum’s official website, the network’s power consumption will be reduced by about 99.5% when it works in PoS mode. Previously, Ethereum’s total energy consumption was compared to the entire country of the Netherlands according to the official website.
However, critics of such a protocol change claim that PoS is less secure and therefore more susceptible to security breaches.
Currently, major networks such as Cardano, Avalanche, Polkadot, and Solana all operate through proof-of-stake blockchains.
As the merger approaches, Ether, the ecosystem’s native cryptocurrency, is seeing price increases of up to 50% against bitcoin (BTC) during the market downturn.